Utah Financial Literacy UPDATED Exam Questions And CORRECT Answers

401K A qualified plan established by employers to which eligible employees may make salary deferral (salary reduction) contributions on a post-tax and/or pretax basis. Employers offering a 401(k) plan may make matching or non-elective contributions to the plan on behalf of eligible employees and may also add a profit-sharing feature to the plan. Earnings accrue on a tax-deferred basis. 403 (b) A U.S. tax-advantaged retirement savings plan available for public education organizations, some non-profit employers (only Internal Revenue Code 501(c)(3) organizations), cooperative hospital service organizations, and self-employed ministers in the United States. 529 Plans The Utah Educational Savings Plan (UESP) is a nonprofit 529 college savings plan. 529 plans are tax-advantaged savings vehicles designed to encourage individuals to begin to save for the future costs of higher education. You do not have to be a Utah resident to save with UESP.