GA State Insurance Exam - GEORGIA LIFE,
ACCIDENT AND SICKNESS
A 10% penalty tax is applied to distributions made from a qualified plan prior to the plan
participant reaching the age of 59 1/2. - ANS-Maggie incurred a10% penalty to distributions
from her qualified plan because they were made before she turned:
A 10% penalty tax is applied to distributions made from a qualified plan prior to the plan
participant reaching the age of 59 1/2. - ANS-Mildred is age 58. She withdraws a sum of money
from her qualified plan. What is the penalty?
Distributions are taxed, both principal and interest, because neither the contributions nor interest
was previously taxed. - ANS-Special tax advantages of qualified plans include all of the
following, EXCEPT:
Distributions from a qualified retirement plan may be made regardless of age when an
employee retires, the employee ceases employment, or the plan is terminated. However, if
distributions from a qualified plan are made prior to the age of 59 , then a 10% penalty tax is
imposed.
The correct answer is: At any time. - ANS-If Becky wants to take a distribution from her qualified
retirement plan, she should know that distributions can be made:
Employee contributions to a qualified plan are made with pre-tax dollars.
The correct answer is: Contributions are not tax-deductible for the employee. - ANS-All of the
following are characteristics of qualified retirement plans, EXCEPT:
Employee contributions to a qualified plan are made with pre-tax dollars. - ANS-Which of the
following is not a characteristic of qualified plans?
If distributions from a qualified plan are made prior to the age of 59 1/2, then a 10% penalty tax
is imposed. - ANS-What happens if Becky takes her distributions from her qualified plan prior to
age 59 1/2?
Illustrations - ANS-Which document contains information about the nonguaranteed elements of
a life insurance policy?
Illustrations are part of the insurance contract. - ANS-Which of the following is false regarding
life insurance policy illustrations?
ACCIDENT AND SICKNESS
A 10% penalty tax is applied to distributions made from a qualified plan prior to the plan
participant reaching the age of 59 1/2. - ANS-Maggie incurred a10% penalty to distributions
from her qualified plan because they were made before she turned:
A 10% penalty tax is applied to distributions made from a qualified plan prior to the plan
participant reaching the age of 59 1/2. - ANS-Mildred is age 58. She withdraws a sum of money
from her qualified plan. What is the penalty?
Distributions are taxed, both principal and interest, because neither the contributions nor interest
was previously taxed. - ANS-Special tax advantages of qualified plans include all of the
following, EXCEPT:
Distributions from a qualified retirement plan may be made regardless of age when an
employee retires, the employee ceases employment, or the plan is terminated. However, if
distributions from a qualified plan are made prior to the age of 59 , then a 10% penalty tax is
imposed.
The correct answer is: At any time. - ANS-If Becky wants to take a distribution from her qualified
retirement plan, she should know that distributions can be made:
Employee contributions to a qualified plan are made with pre-tax dollars.
The correct answer is: Contributions are not tax-deductible for the employee. - ANS-All of the
following are characteristics of qualified retirement plans, EXCEPT:
Employee contributions to a qualified plan are made with pre-tax dollars. - ANS-Which of the
following is not a characteristic of qualified plans?
If distributions from a qualified plan are made prior to the age of 59 1/2, then a 10% penalty tax
is imposed. - ANS-What happens if Becky takes her distributions from her qualified plan prior to
age 59 1/2?
Illustrations - ANS-Which document contains information about the nonguaranteed elements of
a life insurance policy?
Illustrations are part of the insurance contract. - ANS-Which of the following is false regarding
life insurance policy illustrations?
