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pre tax dollars

When you pay for benefits such as health insurance with pre-tax (also called before-tax) dollars, the deductions are taken off your gross income before income taxes are paid. Taxes are then calculated on the reduced salary amount

social security credit

You can earn a maximum of four credits for any year. The amount needed to earn one credit increases automatically each year when average wages increase. You must earn a certain number of credits to qualify for Social Security benefits.Apr 8, 2014

keogh plan

A Keogh plan is a tax-deferred pension plan available to self-employed individuals or unincorporated businesses for retirement purposes. A Keogh plan can be set up as either a defined-benefit or defined-contribution plan, although most plans are defined as contributions.

social security statement

Estimated retirement, disability, and survivor benefits (and related information) now appeared before the worker's earnings history. Finally, the commissioner's message, presenting introductory information on the first page of the statement, began to appear under the title "What Social Security Means To You."

full retirement age

Full retirement age is the age at which a person may first become entitled to full or unreduced retirement benefits. ... Here's how it works if your full retirement age is 67.

tax deferred

In the investment world, "tax deferred" refers to investments on which applicable taxes (typically income taxes and capital gains taxes) are paid at a future date instead of in the period in which they are incurred.

403b

A 403(b), commonly referred to as a Tax-Deferred Annuity (TDA) or Tax-Sheltered Annuity (TSA) plan, is a retirement savings plan available to employees of certain public education organizations, non-profit employers and cooperative hospital service organizations, as well as to self-employed ministers.

after tax investments

A contribution made to any designated retirement or any other account after taxes has been deducted from an individual's or companies taxable income. After-tax contributions can be made on a tax deferral, and on a non tax deferral basis, pending on the type of account the entity is making contributions to.

401k

A qualified retirement plan sponsored by an employer

traditional ira

A traditional individual retirement account (IRA) allows individuals to direct pretax income towards investments that can grow tax-deferred; no capital gains or dividend income is taxed until it is withdrawn.

individual retirement account

An individual retirement account is an investing tool used by individuals to earn and earmark funds for retirement savings. There are several types of IRAs as of 2018

old age survivors and disability insurance

OASDI' The official name for Social Security in the United States. The OASDI is a comprehensive federal benefits program that provides benefits to retirees, disabled people and their survivors.

social security benefit

Social Security benefits are paid out monthly to retired workers and their spouses who have, during their working years, paid into the Social Security system.

tax exempt

Tax exemption is a monetary exemption which reduces taxable income. Tax exempt status can provide complete relief from taxes, reduced rates, or tax on only a portion of items. ... Tax exemption also refers to removal from taxation of a particular item rather than a deduction.

roth ira

an individual retirement account allowing a person to set aside after-tax income up to a specified amount each year. Both earnings on the account and withdrawals after age 59½ are tax-free.

semi retired

having retired or withdrawn from employment or an occupation but continuing to work part-time or occasionally.

retirement

the action or fact of leaving one's job and ceasing to work.