Investment and Retirement Quiz

What is the definition of Social Security?

• A monthly payment received after 30 years of service

• A comprehensive federal program providing workers and their dependents with retirement and disability income

At what age can you start receiving Social Security benefits?

• Age 62

• Age 67

What is the definition of a Teacher Pension?

• A comprehensive federal program providing retirement benefits to teachers

• A monthly payment received after 30 years of service

What is the advantage of having a diverse investment portfolio?

• Increased time for interest to compound

• Minimized risk through spreading investments

What is the percentage of Final Average Salary for a Teacher Pension?

• 50%

• 60%

What is the benefit of investing at a younger age?

• More time for interest to compound

• Higher interest rates

Where can you invest your money?

• All of these

• Finance Companies

• Mutual Funds

• S&L Banks

What is a Certificate of Deposit?

• An account that pays a higher rate of interest than a savings account

• A retirement plan offered by employers

What is the definition of a 401(k) plan?

• A type of retirement plan offered by employers

• A loan issued by a corporation

What is the benefit of diversifying your investments?

• More time for interest to compound

• Reduced risk