IRA ACCOUNTS TEST QUESTIONS AND
ANSWERS
tax-deferred - Answer-When no taxes are due until the required time and the payments are held off,
the action is called:
installment payments - Answer-Your IRA money can be meted out in periodic payments rather than one
large sum. This is called ________.
False - Answer-The great thing about IRAs is that you can withdraw money anytime you want with no
financial penalty.
False - Answer-IRAs are tax-free.
basic IRA - Answer-IRA withdrawals must begin at age 70 ½. This refers to the:
True - Answer-A "rollover" IRA is one that gets money from another qualified plan.
Roth IRA - Answer-Basic IRA or Roth IRA?
Taxes are paid when funds are invested, and there is not requirement for when withdrawal must begin.
ANSWERS
tax-deferred - Answer-When no taxes are due until the required time and the payments are held off,
the action is called:
installment payments - Answer-Your IRA money can be meted out in periodic payments rather than one
large sum. This is called ________.
False - Answer-The great thing about IRAs is that you can withdraw money anytime you want with no
financial penalty.
False - Answer-IRAs are tax-free.
basic IRA - Answer-IRA withdrawals must begin at age 70 ½. This refers to the:
True - Answer-A "rollover" IRA is one that gets money from another qualified plan.
Roth IRA - Answer-Basic IRA or Roth IRA?
Taxes are paid when funds are invested, and there is not requirement for when withdrawal must begin.
