1.
A plan of your expected income and how you will use it to meet your expenses over a period of time
2.
budget: Sarah saves her tips from her job. Each day, she puts her money into different categories to save. This is called the ______ budget.
3.
of living- The amount of money needed to sustain a certain level of living, including basic expenses such as housing, food, taxes, and healthcare: often used when comparing how expensive it is to live in one city versus another.
4.
payment- A portion of the total cost of an item, such as a car or house, that must be paid at the time of purchase. The buyer will often take out a loan to finance the remaining balance.
5.
pay- total earnings before any deductions are taken
6.
pay- the total earnings after payroll taxes and other deductions have been taken out; also called the take-home pay.
7.
yourself first- after Sarah gets paid she decides to use the _____ _______ first method because she wants to make sure she has money to spend for herself.
8.
The basic services your home, apt, or business needs to keep it comfortable and functioning properly (water, electricity).
9.
Expanses that help you live more comfortably
10.
based budget: every time Sarah gets paid, she decides to designate all of her money into a certain category
11.
statement- A monthly document prepared by your financial institution which shows all of the transactions related to your account.
12.
interest- reinvesting earned interest back into the principal to allow money to grow exponentially over time
13.
card– A card that allows the holder to make purchases without cash by borrowing money
14.
card- A sum of money deducted FROM your account
15.
fund: Sarah got into a car accident and totaled her car, but she was smart and she had been saving a _______ fund for 3 years.
16.
A fee paid to you for keeping your money in an account or a fee charged to you for a loan or credit card
17.
fee- A monthly fee that some banks charge to provide access to checking or savings accounts
18.
check: Sarah wrote a check to her daughter's school for a class trip. When she went to check her bank account, the money had not been taken out of her account. This is because it was an _______ check.
19.
Personal Identification Number needed to use an ATM card
20.
Original amount of money saved or invested, separate from interest or earnings
21.
owed: throughout Sarah's life she has grown quite a bit of debt and has to pay it off, this term is called ________ owed
22.
The cost you pay each year to borrow money, including fees, expressed as a percentage
23.
user- A person who has permission to use and/or carry another person's credit card, but isn't legally responsible for paying the bill.
24.
who legally agrees to take responsibility for a person's debt if they cannot repay it.
25.
history- A record of a person's use of credit over time; 15% of your credit score is based on the length of your credit history.
27.
ball method: Sarah struggles with saving and decides to try out the ______ method because she wants to keep paying off all of her debt, and it makes her feel like she is paying more off.
28.
deposit- an automatic electronic deposit of net pay to an employee's designated bank account
29.
rate - a method of debt repayment whereby the borrower prioritizes paying down debts with the highest interest rates first
30.
history: Sarah likes to look at her ________ history because it shows her past purchases on credit and it's 35% of her credit score.
31.
- someone you financially support who can be claimed on a tax return to reduce your takeable income and lower your taxes
32.
income: Sarah has a full time job and receives _______ income because she has to work for it rather than just receiving it because of interest.
33.
tax- taxes paid by employees to federal and state government through a directs deduction from their paycheck
34.
stub: when Sarah receives her paycheck she also looks at the ______ stub because it shows how much the government took out in taxes and insurance.
35.
security- A federal program that provides monthly benefits to millions of Americans, including retirees, military families, surviving families of deceased workers, and disabled individuals
36.
return - an annual report to the IRS summarizing total income, deductions, and the taxes withheld by employers
37.
refund- an amount that a government gives back to a taxpayer who has paid more taxes than were due.
38.
any item subtracted from your paycheck, including state and federal income taxes, Social Security, health insurance, or 401(k) contributions.
39.
- an agreement where you make regular payments to a company and the company promises to pay you money if you suffer a specified injury, illness, loss, etc.
40.
the specified amount of payment required periodically by an insurer to provide coverage under a plan for a defined period of time.
