An example of an employeecontribution retirement plan is a:
A) Roth IRA.
B) 401(k).
C) traditional IRA.
D) mutual fund.

Question

An example of an employee­contribution retirement plan is a:
A) Roth IRA.
B) 401(k).
C) traditional IRA.
D) mutual fund.

Quizplus · Accepted Answer

A 401(k) is a type of employee-contribution retirement plan, where the employee can contribute a portion of their salary and the employer may match a percentage of those contributions. This is a popular option for retirement savings due to the potential for employer matching and the tax benefits of contributions. A Roth IRA and traditional IRA are individual retirement accounts, not employer-sponsored plans. A mutual fund is a type of investment, not a retirement plan.

An Example of an Employee­contribution Retirement Plan Is A

An Example of an Employeecontribution Retirement Plan Is A