1. Apply What You've learned - Managing Your Employer's Retirementplan Scenario: You are 23-years-old and working in the marketing department of a medium-sized corporation. You are earning an annual salary of $45,000 paid every two weeks. Your employer provides a 401(k) plan, and matches employee contributions by 50% up to a maximum of 3 of your annual salary. You are in a 25% marginal tax rate Read each of the statements below and indicate whether it reflects an advantage associated with investing in a tax-sheltered retirement account Statement You have the flexibility of borrowing from your retirement account. An Advantage Not an Advantage By being able to make contributions with pre-tax income, you have additional funds with which to make larger deposits . Taxes are due immediately, so you have the benefit of knowing what tax rate will be applied to your account The maximum dollar amount your employer will contribute to your 401(k) account this year is Assume that you contrtute of your gross income to your 401(k) account. How much will you contribute annually and per day period to your retirement account? $525 and $158, respectively $3,150 and $525, respectively $3,150 and $121, respectively 53.150 and 5263, respectively $135,000 and $131, respectively Given your employer's contribution matching program, a total of will be deposited into your retirement account each pay period. The actual tax savings for the employee from their portion of the contributions will be In income taxes per year. (Round all dollar amounts to the nearest whole dollar. Do not round Intermediate calculations.) All other things being equal, what is the best type of investment Income? Taxable income Tax-exempt income Tax-deferred Income Tax-sheltered income When seeking professional financial advice fee-only financial planner is the most likely to offer unbiased advice 1. Apply What You've Learned - Managing Your Employer's RetirementPlan Scenario: You are 23-years-old and working in the marketing department of a medium-sized corporation. You are earning an annual salary of $45,000 pald every two weeks. Your employer provides a 401(k) plan, and matches employee contributions by 50% up to a maximum of 3% of your annual salary. You are in a 25% marginal tax rate. Read each of the statements below and indicate whether it reflects an advantage associated with investing in a tax-sheltered retirement account. An Advantage Not an Advantage Statement You have the flexibility of borrowing from your retirement account. By being able to make contributions with pre-tax income, you have additional funds with which to make larger deposits. Taxes are due immediately, so you have the benefit of knowing what tax rate will be applied to your account. The maximum dollar amount your employer will contribute to your 401(K) account this year is $1,350 nnually and per pay period to your Assume that you contribute 7% of your gross income to your 401(k) account. How much will you retirement account? $52 $225 $525 and $158, respectively $3,150 and $525, respectively $135,000 $3,150 and $121, respectively $3,150 and $263, respectively $135,000 and $131, respectively Given your employer's contribution matching program, a total of will be deposited into your retirement account each pay period. The actual tax savings for the employee from their portion of the con will be in income taxes per year. (Round all dollar amounts to the nearest whole dollar. Do not round Intermediate calculations. $173 $3,460 All other things being equal, what is the best type of investment $4,152 Taxable income $4,500 Tax-exempt income Tax-deferred income Tax sheltered income Given your employer's contribution matching program, a total of will be deposited into your retirement account each pay period. The actual tax savings for the employee from their portion of the contributions will be in income taxes per year. (Round all dollar amounts to the nearest whole dollar. Do not round intermediate calculations.) $726 All other things being equal, what is the best type of investment income? $605 Taxable income $787 Tax-exempt income $2,360 Tax.deferred Income Tax-sheltered income Given your employer's contribution matching program, a total of will be deposited into your retirement account each pay period. The actual tax savings for the employee from their portion of the contributions will be in income taxes per year. (Round all dollar amounts to the nearest whole dollar. Do not round intermediate calculations.) All other things being equal, what is the best type of investment income? Taxable income feeonly Tax-exempt income Tax-deferred income fee-based commission only Tax-heltered income fee-offset when seeking professional financial advice, fee-only financial planner is the most likely to offer unbiased advice. 1. Apply What You've learned - Managing Your Employer's Retirementplan Scenario: You are 23-years-old and working in the marketing department of a medium-sized corporation. You are earning an annual salary of $45,000 paid every two weeks. Your employer provides a 401(k) plan, and matches employee contributions by 50% up to a maximum of 3 of your annual salary. You are in a 25% marginal tax rate Read each of the statements below and indicate whether it reflects an advantage associated with investing in a tax-sheltered retirement account Statement You have the flexibility of borrowing from your retirement account. An Advantage Not an Advantage By being able to make contributions with pre-tax income, you have additional funds with which to make larger deposits . Taxes are due immediately, so you have the benefit of knowing what tax rate will be applied to your account The maximum dollar amount your employer will contribute to your 401(k) account this year is Assume that you contrtute of your gross income to your 401(k) account. How much will you contribute annually and per day period to your retirement account? $525 and $158, respectively $3,150 and $525, respectively $3,150 and $121, respectively 53.150 and 5263, respectively $135,000 and $131, respectively Given your employer's contribution matching program, a total of will be deposited into your retirement account each pay period. The actual tax savings for the employee from their portion of the contributions will be In income taxes per year. (Round all dollar amounts to the nearest whole dollar. Do not round Intermediate calculations.) All other things being equal, what is the best type of investment Income? Taxable income Tax-exempt income Tax-deferred Income Tax-sheltered income When seeking professional financial advice fee-only financial planner is the most likely to offer unbiased advice 1. Apply What You've Learned - Managing Your Employer's RetirementPlan Scenario: You are 23-years-old and working in the marketing department of a medium-sized corporation. You are earning an annual salary of $45,000 pald every two weeks. Your employer provides a 401(k) plan, and matches employee contributions by 50% up to a maximum of 3% of your annual salary. You are in a 25% marginal tax rate. Read each of the statements below and indicate whether it reflects an advantage associated with investing in a tax-sheltered retirement account. An Advantage Not an Advantage Statement You have the flexibility of borrowing from your retirement account. By being able to make contributions with pre-tax income, you have additional funds with which to make larger deposits. Taxes are due immediately, so you have the benefit of knowing what tax rate will be applied to your account. The maximum dollar amount your employer will contribute to your 401(K) account this year is $1,350 nnually and per pay period to your Assume that you contribute 7% of your gross income to your 401(k) account. How much will you retirement account? $52 $225 $525 and $158, respectively $3,150 and $525, respectively $135,000 $3,150 and $121, respectively $3,150 and $263, respectively $135,000 and $131, respectively Given your employer's contribution matching program, a total of will be deposited into your retirement account each pay period. The actual tax savings for the employee from their portion of the con will be in income taxes per year. (Round all dollar amounts to the nearest whole dollar. Do not round Intermediate calculations. $173 $3,460 All other things being equal, what is the best type of investment $4,152 Taxable income $4,500 Tax-exempt income Tax-deferred income Tax sheltered income Given your employer's contribution matching program, a total of will be deposited into your retirement account each pay period. The actual tax savings for the employee from their portion of the contributions will be in income taxes per year. (Round all dollar amounts to the nearest whole dollar. Do not round intermediate calculations.) $726 All other things being equal, what is the best type of investment income? $605 Taxable income $787 Tax-exempt income $2,360 Tax.deferred Income Tax-sheltered income Given your employer's contribution matching program, a total of will be deposited into your retirement account each pay period. The actual tax savings for the employee from their portion of the contributions will be in income taxes per year. (Round all dollar amounts to the nearest whole dollar. Do not round intermediate calculations.) All other things being equal, what is the best type of investment income? Taxable income feeonly Tax-exempt income Tax-deferred income fee-based commission only Tax-heltered income fee-offset when seeking professional financial advice, fee-only financial planner is the most likely to offer unbiased advice