The first step towards saving for retirement is choosing where to store your savings – this decision should be made based on employment and growth. Contributing to a retirement savings account will help you achieve your retirement goals.
Watch the video to learn about Starting Your Retirement Plan, then test your knowledge at the end of the lesson.
Contributions to a retirement account are invested in mutual funds. This money is then invested in…
A. Stocks, bonds, and other securities
B. High-performing companies on the S&P 500
C. Low-risk stocks and U.S. Treasury Bills
D. Stocks, bonds, and startups
At age 55, you should already have retirement savings that equal:
A. Two times your annual salary
B. Three times your annual salary
C. Five times your annual salary
D. The exact amount of your annual salary
In our younger years, investing in lower risk funds can lead to bigger gains. As you approach retirement age, it makes sense to increase the risk.
A. True
B. False