401k
Participants have seen growth rates of 50% over the
past 7 years. Long Term Contributors saw their savings
grow from $67,785 in 1999 to $102,014
in the year 2005.
Fact: Employee Benefit Research Institute and the
Investment Company Institute (EBRI).
Sample Q: In which of the following
circumstances can you NOT do a 401k Rollover?
a) You quit your current employer and want to rollover
into an Individual Retirement Account (IRA)
b) You officially retire at age of 65
c) You want to cash out your money with the sole intention
of passing it onto your heirs
d) You reach the age of 59.5 and want to withdraw your
money
1) Which of the
following is the correct choice regarding pre-tax
and after-tax 401k contributions:
a) Pre-tax contributions are made AFTER taxes while
after-tax contributions are made BEFORE taxes have
been paid.
b) Pre-tax contributions are made BEFORE taxes while
after-tax contributions are made AFTER taxes have
been paid.
c) Both have no effect on gross taxable income
d) None of the above
