HS 354 Sources of Retirement Income questions with
verified answers graded A+ latest update
Old Age, Survivors and Disability Insurance system
1. Social Security as
(OASDI)
also known as?
2. What is Social Se- Medicare
curity combined
with to provide
a level of retire-
ment security for
the vast majority
of Americans?
3. How might a Most would not complain that they don't get their money's worth from a policy
planner use oth- because it didn't burn down. They would be content with protection from cata-
er forms of insur- strophic loss and happy that nothing happened. Planners need to show that lack
ance when com- curity funded?
municating with
clients?
4. How many peo-
ple receive So-
cial Security ben-
efits?
5. How is Social Se-
, HS 354 Sources of Retirement Income questions with
verified answers graded A+ latest update
of adequacy of retirement this tax.
income is a real catastrophic
concern. Explaining to the
clients that losing money if
they die after 62 is just one
way to look at the decision.
Insurance from extreme
poverty in old age may be
more important than extra
dollars to enhance a lifestyle
in the early years of
retirement.
A. One of six Americans receives
benefits from the system.
B. Approximately 96 percent
of working-age Americans
are covered by the sys-
tem.
C. Who receives Social Security?
(1) 34.7 million retired workers
(2) 8.2 million disabled workers
(3) 4.4 million widows and
widowers
(4) 2.5 million spouses
(5) 1 million adults disabled since
childhood
(6) 3.4 million children
A. There is a 6.2% payroll tax
(also known as FICA) up to the
taxable wage base. Both the
employer and employee pay
,HS 354 Sources of Retirement Income questions with
verified answers graded A+ latest update
B. There is a 1.45% FICA tax on all income.
C. There is a 12.4% Social Security self-employment tax (aka SECA tax) up to the
taxable wage base; half of the tax is deductible from income. 2% lower in 2012.
D. There is a 2.9% SECA tax on all income.
6. What are the A. Old-age and survivors insurance
2 Social Security B. Disability insurance
trust funds and C. Medicare Part A
Medicare fund? D. Medicare Part B
7. What is the eligi- A. Worker must earn 40 coverage credits to earn the basic retirement benefit.
bility for worker's B. Must earn a minimum of $4,800 (2014) and earn 4 quarters of coverage.
retirement bene- amount of So-
fits?
8. What are the
additional Social
Security benefits
paid once an
eligible worker
claims benefits?
9. What is the
, HS 354 Sources of Retirement Income questions with
verified answers graded A+ latest update
C. That means only 10 years of if in secondary school).
substantial employment to D. Benefits to children 18 or older who were disabled before age 22.
qualify. E. There is a family maximum for 2 benefit families.
D. Benefit formula is applied F. Divorced spousal benefit is paid to an unmarried divorced spouse as long as
to what is referred to a the marriage lasted 10 years, this doesn't attect the total family benefit.
average indexed earnings
looking at 35 highest years A. Discriminates in favor of lower paid workers.
of wage history. B. The amount of income SS replaces is called the SS replacement ratio.
E. If fewer than 35 years of
work, 0's go into the
calculation of the formula.
A person would benefit
from additional years of
work.
F. Full benefits begin at full
retirement age, but reduced
benefits can begin at 62 and
deferral credits can be
earned till 70.
A. A nonworking spouse age
62 can claim benefits if there
is a benefit based on their
own work history. Can get
the greater of the worker's or
spousal benefit.
B. Spouse caring for a child
under 16 can receive full
benefits regardless of the
spouse's age.
C. Benefits can also be paid
to dependent, unmarried
children under 18 (under 20
verified answers graded A+ latest update
Old Age, Survivors and Disability Insurance system
1. Social Security as
(OASDI)
also known as?
2. What is Social Se- Medicare
curity combined
with to provide
a level of retire-
ment security for
the vast majority
of Americans?
3. How might a Most would not complain that they don't get their money's worth from a policy
planner use oth- because it didn't burn down. They would be content with protection from cata-
er forms of insur- strophic loss and happy that nothing happened. Planners need to show that lack
ance when com- curity funded?
municating with
clients?
4. How many peo-
ple receive So-
cial Security ben-
efits?
5. How is Social Se-
, HS 354 Sources of Retirement Income questions with
verified answers graded A+ latest update
of adequacy of retirement this tax.
income is a real catastrophic
concern. Explaining to the
clients that losing money if
they die after 62 is just one
way to look at the decision.
Insurance from extreme
poverty in old age may be
more important than extra
dollars to enhance a lifestyle
in the early years of
retirement.
A. One of six Americans receives
benefits from the system.
B. Approximately 96 percent
of working-age Americans
are covered by the sys-
tem.
C. Who receives Social Security?
(1) 34.7 million retired workers
(2) 8.2 million disabled workers
(3) 4.4 million widows and
widowers
(4) 2.5 million spouses
(5) 1 million adults disabled since
childhood
(6) 3.4 million children
A. There is a 6.2% payroll tax
(also known as FICA) up to the
taxable wage base. Both the
employer and employee pay
,HS 354 Sources of Retirement Income questions with
verified answers graded A+ latest update
B. There is a 1.45% FICA tax on all income.
C. There is a 12.4% Social Security self-employment tax (aka SECA tax) up to the
taxable wage base; half of the tax is deductible from income. 2% lower in 2012.
D. There is a 2.9% SECA tax on all income.
6. What are the A. Old-age and survivors insurance
2 Social Security B. Disability insurance
trust funds and C. Medicare Part A
Medicare fund? D. Medicare Part B
7. What is the eligi- A. Worker must earn 40 coverage credits to earn the basic retirement benefit.
bility for worker's B. Must earn a minimum of $4,800 (2014) and earn 4 quarters of coverage.
retirement bene- amount of So-
fits?
8. What are the
additional Social
Security benefits
paid once an
eligible worker
claims benefits?
9. What is the
, HS 354 Sources of Retirement Income questions with
verified answers graded A+ latest update
C. That means only 10 years of if in secondary school).
substantial employment to D. Benefits to children 18 or older who were disabled before age 22.
qualify. E. There is a family maximum for 2 benefit families.
D. Benefit formula is applied F. Divorced spousal benefit is paid to an unmarried divorced spouse as long as
to what is referred to a the marriage lasted 10 years, this doesn't attect the total family benefit.
average indexed earnings
looking at 35 highest years A. Discriminates in favor of lower paid workers.
of wage history. B. The amount of income SS replaces is called the SS replacement ratio.
E. If fewer than 35 years of
work, 0's go into the
calculation of the formula.
A person would benefit
from additional years of
work.
F. Full benefits begin at full
retirement age, but reduced
benefits can begin at 62 and
deferral credits can be
earned till 70.
A. A nonworking spouse age
62 can claim benefits if there
is a benefit based on their
own work history. Can get
the greater of the worker's or
spousal benefit.
B. Spouse caring for a child
under 16 can receive full
benefits regardless of the
spouse's age.
C. Benefits can also be paid
to dependent, unmarried
children under 18 (under 20
