Final answer:
The "Three-legged stool" of retirement income comprises Social Security, pensions, and personal savings, with pensions and personal savings often extended by investment incomes like stocks or bonds.
Step-by-step explanation:
The "Three-legged stool" of retirement income traditionally includes Social Security, pensions, and personal savings. Social Security is a government program funded by payroll taxes that provides income to retirees. Pensions, which are becoming less common in the private sector, are retirement plans that provide a fixed amount after retirement, often based on years of service and salary history. Personal savings, which may include investment income such as stocks or bonds, savings accounts, and retirement accounts like 401(k)s, are crucial for ensuring enough income during retirement, especially when Social Security and pension amounts may not be sufficient to cover all expenses.
While some people may include home equity as a part of their retirement plan by downsizing or taking out a reverse mortgage, it is not traditionally considered a part of the "Three-legged stool" of retirement income. Therefore, option B, which includes Pension, personal savings, and investment income, is the correct choice.