When thinking about retirement, which of the following is correct?

Question

Quizplus · Accepted Answer

Starting to save early for retirement is crucial as it allows for compound interest to work in your favor, ultimately resulting in higher savings over time.

Answer: B
 Even small amounts of savings can add up over time, so it is important to save as much as possible, even if it is not a large amount.

Answer: A and E are incorrect.
 Personal spending habits and lifestyle can greatly affect retirement expenses, so it is not always true that you will spend less money in retirement. Additionally, many pension plans do not offer inflation adjustments, so it is important to plan for inflationary pressures on retirement expenses. Social Security benefits may also not be enough to cover all basic living expenses, depending on one's individual circumstances.

When Thinking About Retirement, Which of the Following Is Correct