Fill in the blank: Employees can make _____ to qualified retirement plans, such as 401(k) plans, 403(b) plans, and different IRA plans. 1 pointdirect deposits from family memberscontributions in the form of unused vacation daysdonations salary deferrals

Under a 401(k) plan, your employer makes nontaxable contributions to the plan for your benefit and reduces your salary by the same amounts.Group of answer choicesTrueFalse

These are retirement benefit plans under which the amounts to be paid as retirement benefits are determined by contributions to a fund together with the investment income thereon.*1 pointDefined benefit plansVested benefit plansDefined contribution plansDefined insurance plans

Question 14Under defined contribution plan:Answer :The employer’s contribution is unknown.   The benefits payable to the retiring employees is unknown.   The amount of benefits to be received by the retiring employees depends on the amounts originally contributed plus income from investments accumulated in the fund.    The benefits of gains or risks of losses invested under the fund are borne by the employees.

Under this plan, both the employer and employee share in the retirement benefit cost.*1 pointContributory planNon-contributory planFunded planUnfunded plan

Established by the employer to provide benefits to one or more employees after the formal retirement are termed as:*1 pointPension fundTermination benefitsPost-employment benefitsPost-employment benefit plan