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Financial Planning Courses: Retirement

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1.
Why should you start thinking about your retirement years while you are still young?
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All of the above. All of these are reasons why you should get an early start on planning for your retirement.
2.
When calculating your future retirement income needs, you must consider inflation.
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True. After you have adjusted for inflation, you will have a true picture of the amount of income available for living purposes.
3.
Many retirement plans are tax-deferred. What does tax-deferred mean?
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The earnings that build up in them are not taxed until you start making withdrawals. This enables your retirement plan to grow more every year.
4.
Inflation risk, which is the risk that rising prices will erode your money's purchasing power, is a challenge for retired people because _______.
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They usually live on a fixed income. Fixed incomes don't change, so when prices rise, that affects the purchasing power of retired people's money.
5.
Social Security is a program that pays benefits for _______.
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Retirement. Social Security is a retirement program.