ASSPA QKA 1 EXAM |ACTUAL QUESTIONS AND
VERIFIED ANSWERS|BRAND NEW 2026-2027
UPDATE|GRADED A+
Question 1
Which of the following describes the taxation of Roth contributions in a 401(k) plan?
1) The contributions and earnings are included as taxable in the year contributed.
2) The contribution is taxable in the year contributed and the earnings may be tax fee if
certain reqs are met.
3) The earnings are taxable each year as they are earned.
4) The contributions are deductible in the year contributed and taxed in the year distributed.
CORRECT ANSWER
2) Roth contributions are taxable in the year contributed and tax free when distributed.
The earnings may be distributed tax free if the 5-yer holding period has been met and
the distribution is on account of death, disability, or attainment of age age 59.5.
Question 2
In addition to payroll deduction, which of the following is a way that after-tax
contributions may be made to a plan?
1) By a personal payment such as a check.
2) There is no other acceptable method.
3) By the employee's election to have the employer contribute match as after-tax.
4) Recharacterizing a defaulted loan.
CORRECT ANSWER
1) After tax contributions may be contributed to the plan via payroll withholding or by
personal payment to the plan.
1
, Question 3
Based on the following info, determine the max elective deferral in 2020 for the
participant:
-Plan is a calendar year 401(k) plan that allows the max deferral amount
-The participant is age 35
-The participant's compensation is $50,000
-The only contribution in 2020 are elective deferrals
CORRECT ANSWER
$19,500 The deferral limit in 2020 is $19,500. Participants may defer up to the lesser of
that amount or 100% of compensation. Catch-up contributions may only be made by
participants who have attained age 50.
Question 4
For a plan with 150 participants, the deadline for depositing deferrals into the plan after
they are withheld is which of the following?
1) As soon as administratively feasible
2) 7 business days
3) 25 business days
4) By the end of the quarter
CORRECT ANSWER
1) The deadline for depositing deferrals is as soon as administratively feasible but no
later than up to 15 days after the month withheld. There is a safe harbor for plans with
less than 100 participants of 7 business days after the amounts were withheld.
Question 5
Based on the following information, determine the max elective deferral in 2020 for the
participant:
2
VERIFIED ANSWERS|BRAND NEW 2026-2027
UPDATE|GRADED A+
Question 1
Which of the following describes the taxation of Roth contributions in a 401(k) plan?
1) The contributions and earnings are included as taxable in the year contributed.
2) The contribution is taxable in the year contributed and the earnings may be tax fee if
certain reqs are met.
3) The earnings are taxable each year as they are earned.
4) The contributions are deductible in the year contributed and taxed in the year distributed.
CORRECT ANSWER
2) Roth contributions are taxable in the year contributed and tax free when distributed.
The earnings may be distributed tax free if the 5-yer holding period has been met and
the distribution is on account of death, disability, or attainment of age age 59.5.
Question 2
In addition to payroll deduction, which of the following is a way that after-tax
contributions may be made to a plan?
1) By a personal payment such as a check.
2) There is no other acceptable method.
3) By the employee's election to have the employer contribute match as after-tax.
4) Recharacterizing a defaulted loan.
CORRECT ANSWER
1) After tax contributions may be contributed to the plan via payroll withholding or by
personal payment to the plan.
1
, Question 3
Based on the following info, determine the max elective deferral in 2020 for the
participant:
-Plan is a calendar year 401(k) plan that allows the max deferral amount
-The participant is age 35
-The participant's compensation is $50,000
-The only contribution in 2020 are elective deferrals
CORRECT ANSWER
$19,500 The deferral limit in 2020 is $19,500. Participants may defer up to the lesser of
that amount or 100% of compensation. Catch-up contributions may only be made by
participants who have attained age 50.
Question 4
For a plan with 150 participants, the deadline for depositing deferrals into the plan after
they are withheld is which of the following?
1) As soon as administratively feasible
2) 7 business days
3) 25 business days
4) By the end of the quarter
CORRECT ANSWER
1) The deadline for depositing deferrals is as soon as administratively feasible but no
later than up to 15 days after the month withheld. There is a safe harbor for plans with
less than 100 participants of 7 business days after the amounts were withheld.
Question 5
Based on the following information, determine the max elective deferral in 2020 for the
participant:
2
