Which one of the following is an advantage of a qualified plan in retirement benefits?

Question

Quizplus · Accepted Answer

A qualified plan provides an immediate tax deduction for the funds that employees contribute to the plan. This means that the amount contributed to the plan is deducted from the employee's taxable income for the year, reducing the amount of taxes owed. This is a significant advantage for both the employee and the employer as it encourages employees to save for retirement and reduces the employer's payroll taxes.

Which One of the Following Is an Advantage of a Qualified