Debt
The reason why payday loans are dangerous
Extremely high interest rates and short terms
An example of a Fixed Expense
Rent -- Subscriptions -- Car Payments -- Etc.
The majority of tax dollars go to these types of government programs.
Healthcare (Social Security, Medicare, Medicaid)
Employment form that confirms your identity and employment eligibility
I-9
To Default on a loan
To be unable to keep up payments on a loan
The reason why some people use payday loans, despite their risk
Little to no access to other forms of credit or short term loans
Utilities would be an example of these types of expenses
Recurring
Agency responsible for handling taxes
IRS
Tax Day in the United States
April 15th
The amount of time you have to pay back a loan
Term
The reason why if able, you should pay more than the minimum towards debt payments.
The overall interest is lowered.
How you could plan for unexpected expenses
Emergency Fund
The amount of income the federal government could tax you on in you earned $100,000 last year. (2023 Standard Deduction)
$86,150
The purpose of a W-2
To report and record wages and earnings from a job.
This can be seized if you fail to make payments on your loans.
Collateral
What you can do if you are having trouble making debt payments on time
Negotiate a better interest rate with lender -- ask from help from a loved one -- cut unnecessary spending
Budgeting framework that ensures every single dollar is used.
Zero-Based Budget
The stipulation(s) that must be met for someone to be claimed as a dependent.
Related to you -- has at least 50% of expenses covered by you
The purpose of the W-4
To ensure employees have the correct amount of money withheld from their paychecks for taxes
Way(s) you can build and establish credit before taking out loans or getting a credit card
Be an authorized user on guardian's credit card -- get a credit card for yourself attached to your guardian
An example of a Variable Rate, Secured Debt
House
2 ways you can stop yourself from Impulse Spending
Give yourself a limit to spend -- make a list of things to purchase -- etc.
The rich often legally do not pay as much in taxes due to this way they make money.
Capital Gains (Stocks)
Due date for filing taxes with an extension
October 16th
Auto Loans are usually use this type of loan (2 parts)
Fixed rate, secured loan