Why Is It Difficult for Almost Half of Americans to Save

question 49

Multiple Choice

Why is it difficult for almost half of Americans to save for retirement?

• A) They are living beyond their means.
• B) Financial pressures are too high.
• C) They don't have pension or retirement savings plans.
• D) They have unlimited needs and wants.

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Definitions:

Capital Gains

The profit realized from the sale of assets like stocks, bonds, or real estate, when the selling price exceeds the purchase price.

Marginal Tax Rates

The rate at which the last dollar of income is taxed, showing the percentage of tax applied to your income for each tax bracket.

Total Tax

The comprehensive sum of all taxes a person or entity is liable to pay, including federal, state, local, and other forms of taxes.

Provincial Tax Brackets

The divisions at which tax rates change in a progressive tax system within specific provinces or territories.