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Personal versus Bodily Injury
Course: Insurance PlanningLesson 4: Homeowners Insurance Student Question: Is there a definition for personal injury as noted under the personal injury endorsement? FROM LESSON: The personal injury endorsement expands the Section II liability coverage to include “personal injury” and “bodily harm, sickness or disease.” How does this vary from bodily injury that is covered without an endorsement? Thanks. Matthew Instructor…
Defining an Insurance Contract
Which of the following statements concerning insurance contracts is not correct? An insurance contract is bilateral because both the insurer and the insured make legally enforceable promises. In an insurance contract, the insurer has made legally enforceable promises for which it can be sued for breach of contract. Because property insurance contracts are personal, it…
Step Aside Tax Cuts and Jobs Act, There’s a New Sheriff in Town
Good to Know Before the Tax Cuts and Jobs Act (TCJA), a business with an available net operating loss (NOL)1 could offset as much as 100% of taxable income for two previous years (“NOL carryback”) or up to 20 years in the future (“NOL carryforward”). Carrying the loss back to previous years often generated an…
Other Dependent Credit
Course: Income Tax PlanningLesson 14: Tax Credits, Payments, and Forms Student Question: Is the statement correct on this page that “The dependent must be at least 17 years of age” and “other than a taxpayer’s child” for the Other Dependent Credit? From the Coursework: The Other Dependent Credit is a $500 nonrefundable credit for dependents other than a taxpayer’s child. The dependent…
Identifying Monetary Policy
Which of the following is a monetary policy that will tighten the money supply? Sell government securities Lower the discount rate Decrease government spending Increase taxes CLICK TO REVEAL ANSWER Expand A is the answer. Selling government securities is a monetary policy that will tighten the money supply as the cash used to purchase the…
Save Hundreds on CFP® Exam Registration and Resource Costs
CFP® Board Updates Here’s your chance to save hundreds of dollars in CFP® Exam fees and receive free resources for the next two CFP® Exams. Here’s an excerpt from a recent CFP Board email: “Your next chance to take the CFP® Exam is during the 8-day testing window from September 22-29, 2020. When you sign up by August 25 , you’ll…
IRA Distribution Rules
Course: Retirement PlanningLesson 1: Using IRAs to Build and Distribute More Retirement Income Student Question: Hi I was doing a little further reading on the new IRA distribution rules and wanted to see if “conduit” or “accumulation” trust rules will be necessary information for the exam? As I understand it, trusts as beneficiaries are held to the “five-year rule” or the “payout rule” depending on…
Debt Discharged in Chapter 7 Bankruptcy
Chuck lost his job last year when his company moved their factory overseas. Chuck has been unable to find another job and had to file for a Chapter 7 bankruptcy. Which of the following debts can be discharged in the bankruptcy? $10,000 of rent he owes his landlord $20,000 of taxes he owes the IRS…
Good to Know: Financial Planning, CFP® Certificants, and Implementation Responsibilities
Good to Know Here’s a quick quiz question for CFP® Professionals who provide financial planning services or for those preparing for the CFP Board Exam: A CFP® Professional who is providing financial planning services has no implementation responsibilities for financial products purchased as a result of recommendations if the Professional does not sell financial products.…