What does tax deferred mean when considering a Traditional 401(k)? Taxes never need to be paid on the income placed into a Traditional 401(k). Taxes will be paid on the income placed into a Traditional 401(k) when it is withdrawn; not when it is earned. (If you withdraw funds prior to age 591/2 there will be a 10% penalty.) Taxes will be paid on the income placed into a Traditional 401(k) when it is earned. Roth IRAs tax income when it is earned. This means there are no taxes when the money is withdrawn. True False Question 10 (1 point) If you rollover your Traditional IRA to a Roth IRA, you would NOT need to pay taxes. True False An HMO limit what providers you are allowed to choose. True False Question 12 (1 point) A Primary Care Physician Is your everyday doctor. Refers you to other specialists for medical needs. Is who a specialist will refer you to. With a Point of Service plan, you have a network of medical professionals to choose from and also have to have a Preferred Care Provider (PCP) who needed to refer you to specialists. 15 IS NOT Question 14 (1 point) If you are in good health, you can save money by choosing a plan with A higher deductible (amount paid when you go to the doctor.) A higher premium (amount paid throughout the year regardless if you go to the doctor or not). A Fee for Service provider Chooses a provider for you and is more costly. Allows you to chose your provider and is cheaper. Allows you to choose your provider and is more costly. Question 16 (1 point) With a Preferred Provider Organization, You have to always stay in network. You have a wider range of providers to choose from. A Point of Service plan is like an HMO but with a Preferred Care Provider True False Question 18 (1 point) Which of the following is a type of health-insurance plan? HMOs (health maintenance organizations) PPO (preferred provider organizations) PCP (preferred care providers) Indemnity plans All of the above HMOs are the most affordable, but least flexible type of health insurance plan. True False Question 20 (1 point) Both HMOs and PPOs require referrals from a primary care provider (PCP) in order to see a specialist. True False Which of the follewing is NOT a type of benefit offered by employers? Administrative benefits Feature benefits Discretionary benefits (voluntary) Statutory benefits (mandatory.) Question 22 (1 point) Which of the following IS NOT a statutory benefit? Minimum wage Health insurance Employment taxes Overtime (assuming the position is not exempted) Which of the following types of insurance may be included as a benefit? Health insurance Pet insurance Dental insurance All of the above Question 24 (1 point) Which of the following savings options might be included as a benefit? Retirement plans (such as 401(K) ) Direct deposit Credit union benefits All of the above Employee discounts are a benefit. True False Question 26 (1 point) Which type of benefit is sick pay? Discretionary benefit Statutory benefit Which of the following IS NOT a type of employee assistance program? Legal services Pet assistance program Counseling services Financial services Question 28 (1 point) When a employer offers health insurance who is covered? Only the employee The employee and the spouse The employee, the spouse, and the employee's children It depends on the employer's health insurance plan Which of the following is considered a benefit? Flexible scheduling Telecommuting Working in a remote office All of the above Question 30 (1 point) A benefit statement is a statement that shows the value of both salary and benefits. True False