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Financial Planning Courses: Retirement

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1.
People who retire early have less time to get their finances together than those who retire at normal retirement age do, and will likely need more money to fund their retirement.
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True. This is because they will have to fund their retirement over more years than a person who retires at an older age.
2.
Long time horizons generally enable us to assume _______ short-term ones.
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More risk than. Time reduces risk.
3.
It is possible to have your employer add its own money to a retirement account.
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True. If you have a 401k plan, your employer might make contributions to it on your behalf. This is one reason 401k plans are so popular.
4.
Social Security is a program that pays benefits for _______.
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Retirement. Social Security is a retirement program.
5.
When prices of goods and services rise over time and eat into your money's purchasing power, that is called _______ risk.
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Inflation. Inflation risk is the risk that rising prices will make it harder to buy the things you need.