Question

Which statements are true regarding a traditional individual retirement account? Choose three answers. Employers create them and match employee contributions. People can contribute to the account until retirement age. People can withdraw money penalty-free at any time. Contributions to the account are limited each year. Contributions reduce taxable income.

Answer 1

1. People can contribute to the account until retirement age. 2. Contributions to the account are limited each year. 3. Contributions reduce taxable income. Answers: B, D, E

Step-by-step explanation:

It can't be "People can withdraw money penalty-free at any time." because withdrawing too early from a IRA with result in 10% early withdrawal penalty.