Question

Which statement about a 401(k) is true?(1 point) Responses A 401(k) account cannot help you save for retirement. A 401(k) account cannot help you save for retirement. Money put into a 401(k) is pre-tax, lowering your overall tax paid. Money put into a 401(k) is pre-tax, lowering your overall tax paid. Using money in a 401(k) for an emergency should be your first choice. Using money in a 401(k) for an emergency should be your first choice. Having a 401(k) is mandatory.

Answer 1

The true statement about a 401(k) is: Money put into a 401(k) is pre-tax, lowering your overall tax paid.

This means that contributions to a traditional 401(k) are made with pre-tax dollars, which can reduce your taxable income for the year in which you make the contributions. The other statements are not accurate.