Dean has earned $71,000 annually for the past six years working as an architect for WCC Inc. Under WCC's defined benefit plan (which usesa seven-year graded vesting schedule) employees earn a benefit equal to 4.0 percent of the average of their three highest annual salariesfor every full year of service with WCC. Dean has worked for six full years for WCC and his vesting percentage is 80 percent. What is Dean'svested benefit (or annual retirement benefit he has earned so far?Multiple ChoiceO $17,040$56,800$13,632

"Vested profit" is the part of an employee's retirement account balance that they are allowed to…

Answered: Dean has earned $71,000 annually for…

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter15: Choice Of Business Entity—other Considerations

Section: Chapter Questions

Problem 55P

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Dean has earned $75,000 annually for the past seven years working as an architect for WCC Inc. Under WCC's defined benefit plan (which uses a 7-year graded vesting schedule) employees earn a benefit equal to 4.5% of the average of their three highest annual salaries for every full year of service with wCC. Dean has worked for seven full years for WCC and his vesting percentage is 99%. What is Dean's vested benefit (or annual retirement benefit he has earned so far)? Multiple Choice $23,625 $74,250. $23,389. $0.
Jeff has worked as an engineer with Harris Company for five full years to date and has earned annual salaries $65,000, $70,000, $75,000, $80,000, and $85,000, respectively. Under Harris 's defined benefit plan (which uses a seven year graded vesting schedule) employees earn a benefit equal to 3.5% of for every full year of service. What is Jeff 's maximum vested benefit (or annual retirement benefit he has earned so far)?
Javier recently graduated and started his career with DNL Incorporated DNL provides a defined benefit plan to all employees. According to the terms of the plan, for each full year of service working for the employer, employees receive a benefit of 1.5 percent of their average salary over their highest three years of compensation from the company. Employees may accrue only 30 years of benefit under the plan (45 percent).
Javier recently graduated and started his career with DNL Inc. DNL provides a defined benefit plan to all employees. According to the terms of the plan, for each full year of service working for the employer, employees receive a benefit of 1.5 percent of their average salary over their highest three years of compensation from the company. Employees may accrue only 30 years of benefit under the plan (45 percent). Determine Javier’s annual benefit on retirement, before taxes, under each of the following scenarios (Use Exhibit 13-1): (Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount. Leave no answers blank. Enter zero if applicable.) Q: Javier works for DNL for six years and three months before he leaves for another job. Javier’s annual salary was $93,000, $103,000, $109,800, and $115,700 for years 4, 5, 6, and 7, respectively. DNL uses a five-year cliff vesting schedule.
Javier recently graduated and started his career with DNL Inc. DNL provides a defined benefit plan to all employees. According to the terms of the plan, for each full year of service working for the employer, employees receive a benefit of 1.5 percent of their average salary over their highest three years of compensation from the company. Employees may accrue only 30 years of benefit under the plan (45 percent). Determine Javier’s annual benefit on retirement, before taxes, under each of the following scenarios (Use Exhibit 13-1): (Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount. Leave no answers blank. Enter zero if applicable.) Javier works for DNL for six years and three months before he leaves for another job. Javier’s annual salary was $93,000, $103,000, $109,800, and $115,700 for years 4, 5, 6, and 7, respectively. DNL uses a five-year cliff vesting schedule. Q: what is annual before-tax benefit ?
Javier recently graduated and started his career with DNL Inc. DNL provides a defined benefit plan to all employees. According to the terms of the plan, for each full year of service working for the employer, employees receive a benefit of 1.5 percent of their average salary over their highest three years of compensation from the company. Employees may accrue only 30 years of benefit under the plan (45 percent). Javier works for DNL for six years and three months before he leaves for another job. Javier’s annual salary was $80,000, $87,000, $90,000, and $95,000 for years 4, 5, 6, and 7 respectively. DNL uses a five-year cliff vesting schedule. Determine Javier’s annual benefit on retirement, before taxes.
Alicia has been working for JMM Corporated for 32 years. Alicia participates in JMM's defined benefit plan. Under the plan, for every year of service for JMM, she is to receive 2 percent of the average salary of her three highest consecutive calendar years of compensation from JMM. She retired on January 1, 2021. Before retirement, her annual salary was $570,000, $600,0o0, and $630,000 for 2018, 2019, and 2020. What is the maximum benefit Alicia can receive in 2021? Maximum benefit in 2021
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Lisa is enrolled in a defined benefit plan. She has worked 6 years for the plan. Her salaries were $25,000, $30,000, $35,000, $40,000, $45,000, and $50,000. The defined benefit plan allows for a benefit of 3% for every year of service of their average salary for their three highest years. The company uses a 7-year vesting schedule. What annual benefit has Lisa vested? (also known as her taxable benefit)
Alicia has been working for JMM Corp. for 33 years. Alicia participates in JMM’s defined benefit plan. Under the plan, for every year of service for JMM she is to receive 2 percent of the average salary of her three highest years of compensation from JMM. She retired on January 1, 2019. Before retirement, her annual salary was $609,000, $639,000, and $669,000 for 2016, 2017, and 2018. What is the maximum benefit Alicia can receive in 2019?

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