What Is the Major Limitation of a SIMPLE Retirement Plan

question 19

Multiple Choice

What is the major limitation of a SIMPLE retirement plan?

• A)It is limited to firms with 100 or fewer employees.
• B)Employee contributions to the plan are limited.
• C)SIMPLE plans are subject to all payroll taxes.
• D)SIMPLE plan funds must be invested in stock market securities.

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Definitions:

Abundant Natural Resources

The availability of a large quantity of natural materials that can be utilized for economic gain, such as minerals, forests, and water.

Long Hours

Working time that extends beyond the typical or standard working hours, often associated with high demands and stress.

Dependency Theory

A theory suggesting that economic development of nations is a relational process, where some countries' continued expansion is at the expense of others, leading to a state of dependency.

Conflict Theory

generally focuses on macrolevel or global structures and shows how major patterns of inequality in society produce social stability in some circumstances and social change in others.