Which of the following statements about the Saver's Credit is (are)true?
I.The Saver's Credit is $5,000 regardless of an individual's contribution to a Roth IRA,401(k)plan,SIMPLE IRA,or 403(b)plan.
II.The Saver's Credit was implemented to encourage low- to moderate-income earners to save for retirement.

Question

Quizplus · Accepted Answer

Statement II is true, but statement I is false. The amount of the Saver's Credit varies based on an individual's contribution to a retirement plan, and it can be as much as $1,000 for single filers and $2,000 for joint filers.

Which of the Following Statements About the Saver's Credit Is