Small Business 401k Plans Trivia

This trivia will quiz you on the concepts explained in the article¬†401k Plans for a Small Business Owner. If there is any question you do not understand, it is advised to refer to that page for explanation. After selecting your answers, choose the “Grade Me!” button at the bottom to know your result & the right answers.

A small business 401k is also known by its other names.

Only sole proprietors, and not partnerships & corporations can own Small Business 401k plans?

You can require an employee to perform atleast ___ year of work service before he/she becomes eligible to make salary deferral 401k contributions.

For eligibility purposes, an employee has done 1 year of service if he/she has worked atleast _____ hours during the year.

Salary deferral contribution limit for small business 401k plans for the year 2007 is:

A small business owner can contribute upto ___% of his net business income towards his small business 401k plan, but no more than $_____ for 2007.

The Small business 401k allows you to deduct plan contributions of up to ___% of your eligible compensation.

For plan purposes, total compensation is limited to $_______ for 2006 and $_________ for 2007.

A small business 401k plan must be established by when? 

John is a small businessman and earned $85,000 net income for 2006. His maximum employer matched small business 401k contribution limit for 2006 is:

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