Funding 401(k)s and Roth IRAs Directions
Complete the investment chart based on the facts given for each situation. Assume each person is following Dave’s advice of investing 15% of their annual household income. Remember to follow the sequence of contributions recommended in the chapter.
Joe
Melissa
Tyler & Megan David & Brittany Brandon
Chelsea
Joe will take advantage of the company match (5% of salary) then put the rest in a Roth IRA. Melissa will fund the 401(k) up to the match and put the remainder in her Roth IRA.
Tyler and Megan can each fund a Roth IRA then put the remainder in the 401(k). With no match, fund the Roth first (based on 2013 contribution of $5,500 per individual).
David and Brittany are still within the guidelines for a married couple (based on 2013 contribution of $5,500 per individual). After maxing out the IRA, they will fund the 401(k).
Brandon will fund his 401(k) up to the match, and then put the remainder in his Roth IRA. Chelsea will fund her Roth IRA.
INVESTMENT ANNUAL SALARY COMPANY MATCH 401(K) ROTH IRA
TOTAL ANNUAL INVESTMENT
$40,000
1:1 up to 5%
$55,000
1:2 up to 6%
$105,000
No Match
$150,000
No Match
$35,000
2:1 up to 6%
$28,000
No Match

Atrain traveled for 1.5 hours to the first station, stopped for 30 minutes, then traveled for 4 hours to the final station where it stopped for 1 hour. the total distance traveled is a function of time. which graph most accurately represents this scenario? a graph is shown with the x-axis labeled time (in hours) and the y-axis labeled total distance (in miles). the line begins at the origin and moves upward for 1.5 hours. the line then continues upward at a slow rate until 2 hours. from 2 to 6 hours, the line continues quickly upward. from 6 to 7 hours, it moves downward until it touches the x-axis a graph is shown with the axis labeled time (in hours) and the y axis labeled total distance (in miles). a line is shown beginning at the origin. the line moves upward until 1.5 hours, then is a horizontal line until 2 hours. the line moves quickly upward again until 6 hours, and then is horizontal until 7 hours a graph is shown with the axis labeled time (in hours) and the y-axis labeled total distance (in miles). the line begins at the y-axis where y equals 125. it is horizontal until 1.5 hours, then moves downward until 2 hours where it touches the x-axis. the line moves upward until 6 hours and then moves downward until 7 hours where it touches the x-axis a graph is shown with the axis labeled time (in hours) and the y-axis labeled total distance (in miles). the line begins at y equals 125 and is horizontal for 1.5 hours. the line moves downward until 2 hours, then back up until 5.5 hours. the line is horizontal from 5.5 to 7 hours