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1.
Money that you contribute to a Roth 403(b) plan _______ eligible for tax deferral.
Is not. In exchange for this, your withdrawals, provided that you follow the rules, will not be taxed. Neither will the earnings that have built up in your account.
2.
Taxes are deferred on contributions to a 403(b) plan until _______.
The individual begins making withdrawals. Age and retirement do not affect the tax status.
3.
Employees must work full-time in order to be eligible for 403(b) participation.
False. Part-time employees are eligible unless certain plan requirements forbid them.
4.
If you participate in a 403(b) plan and you also have an individual retirement account, you might not be able to deduct your IRA contributions from your taxable income.
True. The law limits how much you may deduct from your taxable income when you participate in an employer-sponsored retirement plan.
5.
There are exceptions to the 60-day rule for 403(b) plan rollovers.
True. If you can prove hardship to the IRS, you may be given longer than 60 days to complete a rollover in limited situations.
