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CRPC EXAM | Questions And Answers Latest {} A+ Graded | 100% Verified
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CRPC EXAM | Questions And Answers Latest {} A+ Graded | 100% Verified
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CRPC EXAM | Questions And Answers Latest {2024- 2025} A+ Graded | 100% VerifiedA worker's primary insurance amount (PIA) is the amount they receive from Social Security - if he or she
began payments at full retirement age
Carla is collecting $600 per month from a government pension and is also eligible to receive a Social
Security spousal benefit of $1,000 per month. Due to the GPO, her Social Security spousal benefit will be
reduced to - $600
David began receiving Social Security benefits in June 2023. He later learned that he should have
delayed receipt of his benefits until a later age. He has until _______ to pay back all payments and refile
for increase benefits at a future date. - June 2024
Which one of the following is a correct statement about old-age Social Security benefits? - Old-age
Social Security benefits are not reduced for persons who have attained their Social Security FRA
regardless of the amount of earned income received.
An individual's Social Security payment amount will be adjusted annually to account for increases in
inflation as measured by the - CPI-W
Which of these statements correctly compares the catch-up provisions for governmental 457 plans and
403(b) plans? - 403(b) plans and governmental 457 plans share the same age 50 and older catch-up
amount.
Tom, 59, is a widower and is receiving a widower's benefit on his deceased spouse's record. Tom is
considering getting remarried. As a planner, you should suggest which one of the following? - He should
wait until age 60 to remarry.
`Which one of the following counts as "earnings" for the Social Security earnings test? - Self-
employment net earnings
Social Security provides individuals with protection against which of the following risks? - Longevity risk,
Market risk, Inflation risk
,Social Security began as a program to provide retirement income, but has been expanded to provide all
of the following income - survivor benefits to spouses at age 60-61, disability. survivor benefits to
children under age 19.
Which of the following true concerning the Thrift Savings Plan (TSP) used for military members? - The
default investment choice for the TSP is an L Fund that approximates their retirement time horizon.
Margaret is confused about her options and takes a friend's advice to file and begin collecting benefits
at age 62. Two years later, she attends one of your seminars on Social Security and realizes that this was
a mistake, as she has sufficient personal assets to get her through until at least age 70 and her life
expectancy is nearly 100. What can you suggest to her? - She can voluntarily suspend payments at her
FRA, keep the benefits she has received, and resume payments later at an increased rate.
Norman and Breanna Walker, both age 40, are married taxpayers filing jointly. Norman earned $132 this
year, and Breanna earned $125,000. Breanna is an active participant in the qualified plan offered by her
employer, and she contributed $1,500 to her IRA for 2023.
How much, if any, can be contributed to a spousal IRA and deducted for Norman for 2023? - 6,500
- The maximum deductible contribution to a spousal IRA for Norman in 2023 is $6,500, and the
deductible amount phases out for AGIs of $218,000-$228,000 for Norman, who is the nonactive
participant spouse. Their income is aggregated since they file jointly, so he is not limited to his own
earned income for the purpose of contributing to a spousal IRA.
Joan is a married taxpayer. She and her husband, Johnny, file jointly and have a combined AGI of
$144,000. Johnny is covered by his employer's profit sharing plan. No employer or employee
contribution was made for this plan year, but Johnny's account balance increased by $1,200 due to
investment earnings. Joan does not have a plan where she works. If they contribute $12,000 to their
IRAs for this year, what amount, if any, can they deduct? - $12,000
-Because he's not active (there was no worker contribution, employer contribution, or reallocated
forfeiture for this year), Johnny receives the full $6,000 deduction. The IRA deduction for Joan is also
$6,000, since she is not active. The total deduction is $12,000 for 2023. They are each $500 short of their
maximum allowed contribution for 2023.
, Lucy received a $1,200 profit sharing contribution this year. Lucy and George are married, filing jointly.
George is an artist who had no earnings this year. Their combined AGI for 2023 is $235,000. How much
of their $13,000 IRA contributions can they deduct? - $0
-Lucy is an active participant since she received an annual addition. Their AGI is greater than the
phaseout limit for active participants, so Lucy cannot make a deductible contribution. George has the
full spousal deduction available, but the spousal IRA is also phased out because their AGI is greater than
$228,000 in 2023. Thus, Lucy and George's total deduction is zero.
Sally and Joe are married, filing jointly. They are both 45. Their combined AGI is $148,000, and they are
both active participants in their employers' plans. Their plan is to first contribute the maximum to their
deductible IRAs and then use the remaining available IRA contribution amounts for contributions to
their Roth IRAs. How much will they be able to contribute to their Roth IRAs? - 13,000
-Both are phased out from making deductible IRA contributions since both are active. A Roth IRA is not
affected by active status. Sally and Joe can make the full Roth contribution ($13,000) since their AGI is
below the Roth phaseout threshold for 2023 ($218,000).
Allen Baker, a single taxpayer with AGI of $85,000, is covered by his employer's profit sharing/401(k)
plan. During the current plan year, no employer contribution was made, and Allen did not make any
salary reduction contributions to the 401(k) portion of the plan. Allen's account balance increased by
$120 this year, which was attributable to investment earnings of $80 and forfeitures of $40. If he
contributes $6,500 to his IRA for this year, what is the amount of his allowable IRA deduction? - $0
-Allen is an active participant because of the forfeiture allocation. Since his AGI is over the maximum
phaseout amount of $83,000 for 2023, he is not entitled to any deduction. However, he could contribute
to a Roth IRA because he is well below the 2023 Roth IRA phaseout range that starts at $138,000 for
2023.
Johan is married and his spouse is not employed. They file jointly and their AGI is $125,700. Each has
contributed $6,500 to an IRA. Johan is covered by his employer's defined benefit plan. What is the
amount of their IRA deduction for 2023? They are both 40. - $9,850
-$136,000 - $125,700 = $10,300; ($10,300/$20,000) x $6,500 = a $3,347.50. However, this is bumped up
to a $3,350 deduction for Johan since he is an active participant at work. His wife is allowed the spousal
deduction of $6,500. Their total deduction is $9,850. If the calculation would have produced $3,340.01,
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