Which of the following statements about Section 401(k) plans is true?
A) Elective salary deferrals to these plans are free of federal income taxation until the funds are actually withdrawn.
B) These plans are exempt from rules that prevent discrimination in favor of highly compensated employees.
C) There is no limit on the actual percentage of salary that can be deferred by highly compensated employees under a qualified plan.
D) If an employee takes the funds made available to him or her in cash, the money received is not taxable.
Answer: A
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A. increased commitment since their jobs are likely to be enriched. B. increased stress since they may need to relocate. C. increased commitment as they are able to make a greater contribution to competitive advantage. D. increased stress since they must perform additional duties that people who have left used to perform.
Think about a constant sum question. When determining the average number of points allocated to a particular object, you divide the total number of points given to that object (by all respondents) by the number of respondents answering the question
A) True B) False