What does "Financial Security" mean?

What does "Financial Security" mean?

• The ability to invest money for the future

• Having enough money NOW and SAVING for the FUTURE

• The condition of having a high-paying job

• The ability to spend money without planning

what is the main reason for saving ?

• Education

• Financial security (peace of mind)

• Home Ownership

• Estate Planning

Which of the following is NOT one of the long-term goals for why you should save?

• Education

• Retirement Income

• Investing

• Health

Which of the following is not one of the components of the 3 prong approach to retirement income ?

• Pensions

• Social Security

• Retirement Savings

• all are part of retirement income

What is Social Security supposed to be when you retire?

• The only source of income

• One of multiple sources of income

• A loan to be repaid

• A temporary financial assistance

What is a characteristic of a regular savings account?

• Penalty for early withdrawal

• Variable interest rate

• Higher liquidity

• Earns fixed interest payable at the maturity date

What is a feature of a Certificate of Deposit (CD)?

• Variable interest rate

• High liquidity

• Penalty for early withdrawal

• Ability to write checks

Which type of account allows you to write checks as long as you maintain a high balance
and a Variable interest rate?

• Regular savings account

• Certificate of Deposit (CD)

• Money market account

• Fixed deposit account

What type of investment is usually chosen for retirement?

• Stocks

• Bonds

• Mutual funds

• Real estate

Which type of retirement account is typically offered by tax-exempt organizations?

• Traditional IRA

• Roth IRA

• 401(k)

• 403(b)