Financial IQ Quiz
Test Your Retirement Knowledge
Put your financial literacy to the test!
Take our quick, multiple-choice Financial IQ Quiz to see how your retirement knowledge measures up and gain insights to help make more informed financial decisions.
Results
Whether you’re a financial novice or already have a strong footing, getting a second opinion can provide both clarity and reassurance about your financial future. Our team of fiduciary financial advisors are here to help you build a well-rounded retirement plan aligned with your long-term goals.
Whether you’re a financial novice or already have a strong footing, getting a second opinion can provide both clarity and reassurance about your financial future. Our team of fiduciary financial advisors are here to help you build a well-rounded retirement plan aligned with your long-term goals.
#1. To withdraw retirement savings tax-free, which type of account should you contribute to?
A Roth account allows you to contribute after-tax dollars, meaning you pay taxes on the money upfront, but your investments can grow tax-free, and qualified withdrawals are also tax-free.
#2. What does ETF stand for?
An ETF, or an Exchange-Traded Fund, is a type of investment fund that holds a collection of assets – such as stocks and bonds – and trades on stock exchanges, similar to individual stocks.
#3. What is the benefit of estate planning?
With the right tools in place and the guidance of an experienced estate planning attorney, a comprehensive estate plan can accomplish all these objectives and more.
#4. The best time to take Social Security is:
The ideal time for you to claim Social Security benefits will depend on several key factors, including your current savings and other income, marital status, health and live expectancy, work status, and overall retirement goals.
#5. What is the 10-year IRA rule?
Under the SECURE Act 2.0, most non-spouse beneficiaries are required to withdraw all funds from an inherited IRA within 10 years of the original owner’s death.
#6. True or false: All financial professionals are fiduciaries.
Not every financial professional is a fiduciary. Many, like insurance agents and stockbrokers, recommend products that are appropriate but not always the best for your long-term success. In contrast, fiduciaries are legally required to act in your best interest and prioritize your long-term financial well-being.
#7. Which of the following statements is true about required minimum distributions (RMDs)?
RMDs are typically taxed as ordinary income in the year they’re taken. The required age for RMDs is currently 73, not 70. You are permitted to withdraw more than the RMD amount, just not less.
#8. What is the recommended percentage of your salary that you should save during your working years?
As a rule of thumb, financial planners typically recommend contributing about 15% of your annual income to your 401(k) or another qualified retirement plan. If that’s not feasible, aim for at least 10%.
#9. True or false: Medicare typically covers the cost of long-term care.
Generally, Medicare and private health plans don’t cover long-term care costs. You will be personally responsible for the costs unless your income level qualifies you for Medicaid. There are several ways to pay for long-term care, including long-term care insurance, hybrid policies, and personal savings.
