Budgeting
A plan for how you'll spend and save your money.
What is a budget?
Important for emergencies and future goals.
What is saving money?
A number that measures how responsibly you use credit.
What is a credit score?
Putting money into something that can grow in value over time.
What is investing?
Money you earn or receive.
What is income?
When creating a budget, these expenses should be paid before spending on wants.
What are needs?
Money saved for unexpected expenses.
What is an emergency fund?
Missing payments, maxing out cards, applying for multple credit cards at once.
What are ways to lower your credit score?
True or False: Investing always guarantees you'll make money.
False
Something necessary to live, like food or housing.
What is a need?
If you earn $50 and save $20, how much can you spend?
$30
Happens to your money if your savings account earns interest
What is grow?
It is important with helping to build good credit and avoids late fees when paid on time.
What is paying your credit card bill?
A small ownership share in a company.
What is a stock?
Money earned on savings or paid when borrowing.
What is interest?
Make a shopping list beforehand, avoid impulse purchases, compare prices
What are ways to reduce unnecessary spending?
Save money before spending on other things.
What is "pay yourself first"?
Debit uses your money and credit borrows money.
What is the difference between a debit card and a credit card?
Compared to a savings account, this type of investment is generally riskier because its value can go up or down.
What are stocks?
A money target you want to achieve.
What is a financial goal?
You have $100. You spend $45 and save $35. How much is left?
$20
If you save $10 every week for 10 weeks, how much will you have?
$100
Paying bills on time and keeping balances low.
What are ways to build good credit?
Someone who buys a small piece of a company through the stock market is called this.
What is an investor?
A financial institution owned by its members instead of shareholders
What is a credit union?