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Q.1
The longer you delay saving for retirement, the higher % of income you'll need to save to maintain your standard of living in retirement
True
False
Q.2
According to research, which of the following can encourage young adults to save earlier and more for retirement;
1) Visualizing their "older" self
2) Working with a financial professional
3) Incurring a large amount of debt
4) #1 & #2
5) #2 & #3
Q.3
Studies show that self assessments of financial knowledge tend to be a poor measure of financial well being in retirement
True
False
Q.4
According to a 2014 Statistics Canada study, __% of Canadians don't know how much they need to save for retirement
40%
60%
80%
Q.5
Many people retire earlier than planned due to;
Health reasons for themselves or loved ones
Premature job loss
Inability to find suitable or desired employment
All of the above
Q.6
Studies show that the sequence of returns earned on your investments during retirement matters. Your money will last the longest under which scenario;
Low returns or losses in the early years of your retirement followed by higher returns in your later years
Higher returns in the early years of your retirement followed by low returns or losses in the later years
Q.7
The closer you get to retirement, the more comprehensive your planning should be
True
False
Q.8
It can be emotionally difficult to transition from the saving/accumulation years while working to the spending/decumulation years during retirement
True
false
Q.9
Risks that can impact your wealth during retirement include;
How long you live/your health
Inflation
Unexpected expenses
Uncertainty of investment returns
All of the anove
Q.10
Ways to reduce financial risks in retirement are;
Spend conservatively, especially in the earlier years
Pay off your debt prior to retiring
Maintain a reasonable cash reserve or emergency fund
Keep your fixed or regular expenses low
Have multiple streams of income and, ideally, some "guaranteed" income
All of the above
Q.11
The longer your period of retirement, the smaller your financial risks
True
False
Q.12
There is little need to work with a financial advisor during retirement
True
False
Q.13
Developing a strategy to "draw down" your assets in retirement is important to reduce risk, tax and maximize cash flow
True
False
Q.14
Income taxes during retirement will have little impact on your finances when you are no longer working
True
False
Q.15
Many financial professionals believe that the "4% spending rule" in retirement is safe and will ensure that you don't outlive your money. The rule means;
Spending 4% of your investment portfolio each year, over a 30 year retirement period
Spending 4% of your investment portfolio each year adjusted for inflation, over a 30 year retirement period
Spending 4% of your investment portfolio each year over a 40 year retirement period
Q.16
Non-financial considerations are as important to a happy retirement as financial considerations
True
False
Q.17
It is a bad idea to hold stocks in your investment portfolio after retirement
True
False
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