| A | B |
|---|
| Assisted Life Facility (ALF) | A residence complex that provides personal and medical services for the elderly. |
| Defined-Contribution Plan | Consists of an individual account for each employee to which the employer contributes a specific amount annually. |
| 401(k) Plan | When you set aside a portion of your salaryfrom each paycheck to be deducted from your gross pay and placed in a special account. |
| Vesting | The point in which you become eligible to receive the employer's pension plan contributions that you've gained, even if you leave the company before retiring. |
| Defined-Benefit Plan | Specifies the benefits you'll receive at retirement age, based on your total earnings and years on the job. |
| Individual Retirement Account (IRA) | A special account in which the employee sets aside a portion of his or her income for retirement. |
| Keogh Plan | A retirement plan specially designed for self-employedpeople and their employees. |
| Annuity | A contract purchased from an insurance company that provides for a sum of money to be paid to a person at regular intervals for a certain number of years or for life. |
| Heirs | The people who will have the legal right to your assests when you die. |
| Estate | Consists of everything you own. |
| Estate Planning | The process of creating a detailed plan for managing your assets so that you can make the most of them while you're alive and ensure that they're distributed wisely after your death. |
| Beneficiary | A person who you've named to receive a portion of yor estate after your death. |
| Will | The legal document that specifies how you want your property to be distributed after your death. |
| Intestate | Without a valid will. |
| Trust | An arrangement in which a designated person known as a trustee manages assets for the benefit of someone else. |
| Probate | The legal procedure of proving a will to be valid or invalid. |
| Executor | Someone who is willing and able to perform the tasks involved in carrying out your will. |
| Guardian | A person who accepts the responsibility of providing children with personal care after their parents' death and managing the parents' estate for the children until they reach a certain age. |
| Codicil | A document that explains, adds, or deletes provisions in your existing will. |
| Living Will | A document in which you state whether you want to be kept alive by artificial means if you become terminally ill and unable to make such a decision. |
| Power of Attorney | A legal document that authorizes someone to act on your behalf. |
