Author: Anonymous

Which of the following is not true about a SIMPLE IRA?

A life insurance contract can be used as a “golden handcuffs” offer to an executive.

A “fiduciary” typically includes which of the following?

Walter Graves, owner of Graves Excavating wants to deposit employer stock in a qualified individual account plan. The stock is not publicly traded. Which of the following is (are) true for Walter?

The death benefits of key employee life insurance are payable to the employer.

A life insurance contract can be used as a “golden handcuffs” offer to an executive.

Beason Manufacturing loans executive Tom Rice $35,000, interest-free, payable in 7 years. The present value of the loan is $25,000. Which of the following is true?

Tandy is a self-employed owner of Candle Creations. She has a Keogh plan that provides incidental insurance through a cash value life insurance contract. This year, her premium is $1,400, of which $800 is for pure life insurance protection and the rest is used to increase the cash value. Tandy

Wheels, a small bike sales and repair shop, has ten employees, five full-time and five part-time. Walt Morgan, the owner, can’t afford to provide many employee benefits, but he does provide all employees with three full-pay sick days a year. He funds the sick pay out of his general assets. He also provides his full-time employees with basic health insurance that has a high deductible to keep costs down. Walt pays an annual premium for this insurance out of his general assets. Under ERISA,

Under a qualified domestic relations order (QDRO)