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PART 7—KEY TERMS

Define the following:

holistic retirement planning (2.1–2.2)

spendthrift lifestyle (2.4)

replacement ratio method (of determining needed income) (2.9)

expense method (of determining needed income) (2.10–2.11)

retirement income deficit (2.12)

defined-benefit plan (2.18)

defined-contribution plan (2.18)

unit-benefit formula (in a pension plan) (2.20)

money-purchase pension plan (2.21–2.22)

401(k) plan (2.22–2.23)

403(b) plan (2.23–2.24)

spousal IRA (2.27)

reverse annuity mortgage (2.33–2.34)

pension maximization (2.34–2.35)

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