Financial Fitness Quiz for Military Personnel
Select your answers from the choices below each question. Then enter your name and email, and click submit to get your results.
The term “inflation” is generally defined as:
The growth of an investment portfolio
The rate credit card companies charge on your outstanding balance
The annual increase in how much consumers pay for goods and services
The expansion of a country’s economy
The abbreviation “IRA” stands for:
Investor’s Resource Account
Interest Receiving Account
Individual Retirement Account
Independent Retirement Arrangement
If an investment earns 8% per year, its value should double in approximately:
7 years
9 years
11 years
12 years
By only making the minimum monthly payment on the average credit card, you will pay off your entire balance in:
3 years
9.5 years
15 years
30 years
Which of the following has the biggest affect on your credit score?
Payment History
Total Amount Owed
Number of Times You Apply For Credit
How Much Money You Make
What type of retirement plan pays you a fixed amount each month during retirement?
401k
Pension
Thrift Savings Plan
All of the above
What is the name of the Federal Retirement Plan that military personnel can contribute additional funds to?
401k
Pension
Social Security
Thrift Savings Plan
What is the approximate historical rate of return in the US stock market:
6%
8%
10%
12%
Which of the following would be the best place to put an “emergency fund”?
Checking Account
Your Retirement Plan
Money Market
No-Load Stock Mutual Fund
A Roth IRA:
Allows you to withdraw money tax-free after age 59 ½
Gives you a tax deduction for money you contribute each year
Is primarily for saving money for your child’s college education
Gives investors a guaranteed rate of return
You should review your entire financial plan every:
Six months
Year
2-3 Years
5 years
Pay-day or cash advance loans are generally:
A good way to get money in a pinch
Cheaper than taking a cash advance on your credit card
A really bad idea
Better than making a late-payment on your credit card, auto loan, or mortgage
A 'term' life insurance policy:
Lets you take a loan in emergencies
Is guaranteed for the rest of your life is you make the payments
Is generally the cheapest type of life insurance
Should be bought for children when they are born
The initials CFP stands for:
Certified Financial Professional
Counselor for Financial Problems
Credit & Financial Processor
Certified Financial Planner
True or False: IRA's give you a guaranteed rate of return
True
False
Which of the following is true concerning VA home loans?
You can often purchase a home with no down-payment
The VA helps to guarantee you won't lose money on your house
The VA protects you against buying a home with major defects
You can get a VA loan even you have bad credit
Which of the following is available to all military personnel to fund their child's college education?
Montgomery GI Bill
Section 529 Plans
Scholarship and Grants
VA Loans
Which of these would be considered the lowest risk investment?
Corporate Bonds
County and State Bonds
CD's
A mutual fund containing only government bonds
What approximate percentage of income does Social Security replace?
20%
40%
60%
80%
Which of the following can you usually deduct on your tax return, even if you don't itemize your other deductions?
A Traditional IRA contribution
A Roth IRA contribution
An Education IRA contribution
All of the above
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