Term Answer A. Keogh plan SEP plan Description If you change jobs, arrange for your IRA funds to transfer from one firm to another. Although dependent on several variables, any gainfully employed person can have this type of account. B. Alt Individual retirement arrangement Traditional IRA With this type of account, earnings accrue tax free and are not subject to tax until they are withdrawn (after the individual reaches age 59 1/2). IM Like contributions to 401(k) plans, payments from this account may be taken as deductions from taxable income. For Keogh and IRA accounts, the magic age is 59 1/2 or will be subject to a 10% Nondeductible IRA penalty. Roth IRA With no special record-keeping requirements or forms to file, an IRA can be an excellent vehicle for sheltering income from taxes. Aimed at small-business owners, this plan is just like a Keogh plan. Self-directed retirement plan Withdrawal H. With this account, all withdrawals from the account are tax free provided that the account has been open for at least five years and the individual is past age 59 1/2. An individual, who decides which investments to buy and sell, designs this retirement Rollover I. plan. A possible investment decision J. This type of account can be opened by anyone without a retirement plan at his or her place of employment, regardless of income level. Term Answer A. Keogh plan SEP plan Description If you change jobs, arrange for your IRA funds to transfer from one firm to another. Although dependent on several variables, any gainfully employed person can have this type of account. B. Alt Individual retirement arrangement Traditional IRA With this type of account, earnings accrue tax free and are not subject to tax until they are withdrawn (after the individual reaches age 59 1/2). IM Like contributions to 401(k) plans, payments from this account may be taken as deductions from taxable income. For Keogh and IRA accounts, the magic age is 59 1/2 or will be subject to a 10% Nondeductible IRA penalty. Roth IRA With no special record-keeping requirements or forms to file, an IRA can be an excellent vehicle for sheltering income from taxes. Aimed at small-business owners, this plan is just like a Keogh plan. Self-directed retirement plan Withdrawal H. With this account, all withdrawals from the account are tax free provided that the account has been open for at least five years and the individual is past age 59 1/2. An individual, who decides which investments to buy and sell, designs this retirement Rollover I. plan. A possible investment decision J. This type of account can be opened by anyone without a retirement plan at his or her place of employment, regardless of income level