Question 1

What is the 2016 elective deferral limit for 401(k) and 403(b) plans?

Accepted Answer

A)  3 percent of compensation. 
B)  5 percent of compensation. 
C)  $12,000.00. 
D)  $18,000.00. 
A)  3 percent of compensation. 
B)  5 percent of compensation. 
C)  $12,000.00. 
D)  $18,000.00. D

Question 2

Which of the following benefits will provide payments for the employee's lifetime, as well as the spouse's lifetime?

Accepted Answer

A)  Qualified first and survivor annuity. This is a distractor. 
B)  Qualified joint and survivor annuity. 
C)  Qualified life only annuity. This is a distractor. 
D)  Qualified required distribution annuity. This is a distractor. 
A)  Qualified first and survivor annuity. This is a distractor. 
B)  Qualified joint and survivor annuity. 
C)  Qualified life only annuity. This is a distractor. 
D)  Qualified required distribution annuity. This is a distractor. B

Question 3

The sale of a security that has experienced a loss in value is:

Accepted Answer

A)  Net unrealized appreciation. 
B)  Required minimum distribution. 
C)  Section 72(t). 
D)  Tax loss harvesting. 
A)  Net unrealized appreciation. 
B)  Required minimum distribution. 
C)  Section 72(t). 
D)  Tax loss harvesting. D

Question 4

In order for an employer-sponsored retirement plan to be considered a qualified plan, it must provide that the retirement benefits cannot be assigned, alienated, or subject to attachment, or garnishment. Which of the following is an exception to this provision?

Accepted Answer

A)  The collection of state employment taxes. This is a distractor. Should read: The collection of federal taxes. 
B)  Limited assignment of participant payments. This is a distractor. Should read: Limited assignment of benefit payments. 
C)  Loans secured by the participant's forfeitable benefits. This is a distractor. Should read: Loans secured by the participant's nonforfeitable benefits. 
D)  Qualified Domestic Relations Order. 
A)  The collection of state employment taxes. This is a distractor. Should read: The collection of federal taxes. 
B)  Limited assignment of participant payments. This is a distractor. Should read: Limited assignment of benefit payments. 
C)  Loans secured by the participant's forfeitable benefits. This is a distractor. Should read: Loans secured by the participant's nonforfeitable benefits. 
D)  Qualified Domestic Relations Order.

Question 5

Which of the methods listed below is not used to determine substantially equal periodic payments?

Accepted Answer

A)  Amortization method. 
B)  Annuitization method 
C)  Periodic method. 
D)  Required minimum distribution method. 
A)  Amortization method. 
B)  Annuitization method 
C)  Periodic method. 
D)  Required minimum distribution method.

Question 6

Which of the following plans does not allow for a catch-up contribution?

Accepted Answer

A)  401(k). 
B)  403(b). 
C)  457(b). 
D)  Profit sharing. 
A)  401(k). 
B)  403(b). 
C)  457(b). 
D)  Profit sharing.

Question 7

Plan participants who were born before January 2, 1936 and who receive a lump-sum distribution from a qualified retirement plan may be able to elect:

Accepted Answer

A)  5-year averaging. This is a distractor. 
B)  10-year averaging. 
C)  Qualified joint and survivor annuity. A lump sum distribution was elected therefore, this option is not available. 
D)  Required minimum distribution method. This is a distractor. 
A)  5-year averaging. This is a distractor. 
B)  10-year averaging. 
C)  Qualified joint and survivor annuity. A lump sum distribution was elected therefore, this option is not available. 
D)  Required minimum distribution method. This is a distractor.

Question 8

Under _____ , defined-benefit plans and _____ are protected from all forms of creditor judgments.

Accepted Answer

A)  ERISA / defined contribution plans. 
B)  ERISA / profit sharing plans. 
C)  PBGC / defined contribution plans. 
D)  PBGC / profit sharing plans. 
A)  ERISA / defined contribution plans. 
B)  ERISA / profit sharing plans. 
C)  PBGC / defined contribution plans. 
D)  PBGC / profit sharing plans.

What is the 2016 elective deferral limit for 401(k) and 403(b) plans?

Which of the following benefits will provide payments for the employee's lifetime, as well as the spouse's lifetime?

The sale of a security that has experienced a loss in value is:

In order for an employer-sponsored retirement plan to be considered a qualified plan, it must provide that the retirement benefits cannot be assigned, alienated, or subject to attachment, or garnishment. Which of the following is an exception to this provision?

Which of the methods listed below is not used to determine substantially equal periodic payments?

Which of the following plans does not allow for a catch-up contribution?

Plan participants who were born before January 2, 1936 and who receive a lump-sum distribution from a qualified retirement plan may be able to elect:

Under _ , defined-benefit plans and _ are protected from all forms of creditor judgments.

Personal Financial Planning

The Statement on Standards in Personal Financial Planning Services

Time Value of Money Concepts

Fundamentals of Personal Financial Planning

Estate Planning Basics

Charitable Gift Planning Basics

Principles of Risk and Insurance

Insurance Planning Basics, Part I

Insurance Planning Basics, Part II

Investment Basics

Investment Planning

Planning for Retirement and Financial Independence

Planning Vehicles for Retirement

Elder Planning Basics

Education Planning Basics

Applications in Estate Planning

Applications in Risk Management

Applications in Investment Planning

Applications in Employee Benefits Planning

Applications in Executive Compensation Planning

Applications in Personal Financial Planning in Special Circumstances

Delivery Models and Regulatory Issues

Filters

Exam 19: Applications in Planning for Retirement

What is the 2016 elective deferral limit for 401(k) and 403(b) plans?

Which of the following benefits will provide payments for the employee's lifetime, as well as the spouse's lifetime?

The sale of a security that has experienced a loss in value is:

In order for an employer-sponsored retirement plan to be considered a qualified plan, it must provide that the retirement benefits cannot be assigned, alienated, or subject to attachment, or garnishment. Which of the following is an exception to this provision?

Which of the methods listed below is not used to determine substantially equal periodic payments?

Which of the following plans does not allow for a catch-up contribution?

Plan participants who were born before January 2, 1936 and who receive a lump-sum distribution from a qualified retirement plan may be able to elect:

Under _____ , defined-benefit plans and _____ are protected from all forms of creditor judgments.

Personal Financial Planning

The Statement on Standards in Personal Financial Planning Services

Time Value of Money Concepts

Fundamentals of Personal Financial Planning

Estate Planning Basics

Charitable Gift Planning Basics

Principles of Risk and Insurance

Insurance Planning Basics, Part I

Insurance Planning Basics, Part II

Investment Basics

Investment Planning

Planning for Retirement and Financial Independence

Planning Vehicles for Retirement

Elder Planning Basics

Education Planning Basics

Applications in Estate Planning

Applications in Risk Management

Applications in Investment Planning

Applications in Employee Benefits Planning

Applications in Executive Compensation Planning

Applications in Personal Financial Planning in Special Circumstances

Delivery Models and Regulatory Issues

Filters

Under _ , defined-benefit plans and _ are protected from all forms of creditor judgments.