Which statement is NOT true?
A) Contributions to 401(k) programs are tax deferred.
B) Withdrawals from 401(k) programs made after the minimum age for withdrawals are tax-exempt.
C) Withdrawals from 401(k) programs made before the minimum age for withdrawals are (with few exceptions) subject to a 10% early withdrawal penalty.
D) 401(k) programs are offered by most private and public companies.

Question

Quizplus · Accepted Answer

Withdrawals from 401(k) programs made after the minimum age for withdrawals are not tax-exempt, but they are subject to income tax.

Which Statement Is NOT True