| A | B |
|---|
| provides a homeowner with tax-free income in the form of a loan to be paid back when the property is sold. | reverse mortgage |
| a tax-sheltered retirement plan to which working people make annual contributions of up to $2,000 per year. | IRA |
| A plan that self-employed individuals and their employees may contribute to | Keogh |
| this annuity allows the tax-free buildup of interest or dividends during the contract time. | deferred |
| In this plan, the contract specifies the benefits promised to the employee at normal retirement age. | defined-benefit |
| In this plan, a minimum contribution is made by both employer and employee; no particular benefit is promised. | defined-contribution |
| An employee is _________ when a certain number of years or other condition of employment has passed. | vested |
| A plan available through companies that operate for a profit; taxes are deferred until the money contributed is withdrawn. | 401(k) |
| a plan for employees of government or not-for-profit organizations; taxes are deferred until the money contributed is withdrawn. | 403(b) |
| When a person is living, all he or she owns, less debts owed, is called | estate |
| the process of planning for the administration and transfer of property during one’s lifetime and at one’s death. | estate planning |
| the person who makes or draws a will. | testor |
| a will that is written in a person’s own handwriting. | holographic |
| A person who dies without having a valid will is said to die | intestate |
| People entitled to receive the property or assets from another person who has died. | heirs |
| Used to make small changes to an existing will. | codicile |
| A legal document that authorizes another person to act upon your behalf | power of attorney |
| A court process when a will is validated and processed. | probate |
| A tax is levied by the federal government on the transfer of property at death. | estate |
| The greatest gain on your principal | compounded daily |
| A savings account at a credit union | share account |
| money left over after your have paid bills | discretionary income |
| weekend trip | short term need |
| retirement | long term need |
| The type of financial institution that employs a stock brocker | borkerage firm |
| Quick liquidity | savings account |
| The date on which a certificate of deposit is due | maturity date |
| penny stocks | risky investment |
| A big risk that you could make or lose a lot of money in a short period of time | speculation |
| retirement plan | IRA |
| A treasury security that is available in denominations of $10,000 | Treasury bill |
| A technique for estimatting the numbe rof years required to double your money | Rule of 72 |
| A large, professionally managed group of diversified investments | mutual fund |
| Carefully managing your investments in or der to maximize your portfolio | strategic investing |
| The amount you can give without paying tax. | gift tax |
| The major insurance concern for retired persons | health insurance |
| A tax deferred retirement savings plan available to self-employed individuals and their employees | Keogh |
| A complicated will providing for assets and money for minors or others | Trust |
| The person who manages money for another | trustee |
