Personal Finance Chp 3

Question 1

Retirement plan for self employed

Answer 1

Sell

Question 2

Gross tax free

Answer 2

Roth IRA

Question 3

The typical retirement plan found in most corporation

Answer 3

401k

Question 4

Used for college savings

Answer 4

Esa

Question 5

The typical retirement plan found in non profit groups such as a schools and hospital

Answer 5

403b

Question 6

Pre-tax means the government is letting you invest money for taxes have been taken out

Answer 6

True

Question 7

Savings bonds are you good way to save for college

Answer 7

False

Question 8

Never borrow money from your retirement plan unless you’re trying to avoid bankruptcy

Answer 8

True

Question 9

When you leave a company don’t move your money is on the retirement accounts

Answer 9

False

Question 10

And IRA is a specific type of investment

Answer 10

False

Question 11

The Roth IRA grows

Answer 11

Tax free

Question 12

In educational savings account ESA is for

Answer 12

College

Question 13

Which of the following is not a retirement plan

Answer 13

529 (401k, 403b, 457]

Question 14

Which is not a benefit of the Roth IRA

Answer 14

Unlimited contribution

Question 15

What should you do with your retirement accounts when you leave a company

Answer 15

Direct transfer

Question 16

Never save for college using

Answer 16

Pre-payed tuition, .. savings bonds

Question 17

Baby stepn5

Answer 17

College

Question 18

Once the emergency fund is in place you should………….which falls within a long-term investing for wealth building

Answer 18

Retirement plan and college funding

Question 19

Baby step one

Answer 19

1000

Question 20

Baby step 2

Answer 20

Debt snowball

Question 21

Baby step 3

Answer 21

3-6 months of expenses

Question 22

Baby steps to 4

Answer 22

Investing 15%of your household income

Question 23

Tax favored

Answer 23

The. Investment is in a qualified plan or has a special tax treatment

Question 24

SEPP

Answer 24

Simplified employee pension plan

Question 25

IRA

Answer 25

Individual retirement arrangement

Question 26

Why Roth IRA

Answer 26

Has more choices Higher bracket Tons of flexibility

Question 27

Flexibility of a Roth IRA

Answer 27

Tax-free and penalty free withdrawals | After 5 years

Question 28

401(k)

Answer 28

Asset of the company

Question 29

403B

Answer 29

Found in non profit organization churches hospitals schools

Question 30

457

Answer 30

Deferred compensation government employees