CONALINGI $4\mathrm{.}2$: Reterment and: $x$

UNIT $4-$ CHALLENGE $4\mathrm{.}2$: Retirement and Successio

Rohan, an accountant, chooses to participate in his company's defined contribution

$1$

$2$ plan instead of a traditional IRA or a Roth IRA. Hes company will match the first $5\%$ of what Rohan contributes.

Is Rohan's decision productive? Why or why not?

a$.)$ It is productive because for every $5\%$ that Rohan contributes, his company will contribute the remaining $95\%.$

b$.)$ It is not productive because contpany$-$run retirement plans are quickly being replaced by IRAs.

e$.)$ It is not productive because Rohan wall pay a $10\%$ penalty if he decides to remove money from the plan before age $5912.$

d$.)$ If is productive because if Rohan starts early and takes advantage of the company match, he should reach hes financial goals.

$697$

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