Investing for Retirement

Front

Which of the below is an employer based retirement plan that both employees and employers contribute to?
Options: 401k, Roth IRA

Back

401k

Front

Which of these accounts do you set up at a brokerage firm or other financial institution? 401K, Roth IRA

Back

Roth IRA

Front

What is the difference between a 401k and Roth IRA?

Back

A 401k's contributions are not taxed until you withdraw them at retirement. A Roth IRA's contributions have already been taxed.

Front

Which of these accounts will NOT change if you switch jobs? Roth IRA, 401K

Back

Roth IRA

Front

Which of below accounts is your contribution directly taken out of your paycheck?
Options: 401K , IRA

Back

401K

Front

Which type of account will your employer often "match" your contributions?

Back

401K

Front

What does tax deferred mean?

Back

You pay taxes at a later date when the money is withdrawn.

Front

The money put into this type of account has already had taxes taken out.

Back

Roth IRA

Front

What type of account allows for instant diversification (you are investing in various types of accounts and investment options)?

Back

mutual fund (a combination of stocks, bonds, and other types of investment options that helps reduce risk)

Front

A bond allows you to be _____________

Back

a lender to the government or a company