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What are the two most popular personal retirement plans? A) Keogh accounts and individual retirement accounts B) 401(k) and Social Security C) Keogh account and Social Security D) Social Security and Roth IRA

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User SLoret
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1 Answer

3 votes

Final answer:

The two most popular personal retirement plans are B) 401(k) and Social Security.

Step-by-step explanation:

The two most popular personal retirement plans are 401(k) and Social Security. A 401(k) is a retirement savings account that is sponsored by an employer. It allows employees to save and invest a portion of their paycheck before taxes are taken out. The money in a 401(k) grows tax-deferred, meaning you don't pay taxes on the earnings until you withdraw the money in retirement.

Whereas, a social Security is a retirement insurance where workers contribute a percentage of their income to receive income and health care benefits when they retire. The IRAs, Roth-IRAs, and other similar plans also exist but are typically less popular.

answered
User Mark Pegasov
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