Paychecks & Deductions
It’s the total amount of money an employee earns before any taxes, CPP, or EI are deducted from their paycheque.
What is gross pay?
Unlike a credit card, which uses borrowed funds, this payment card immediately pulls money directly out of your own chequing account.
What is debit card?
Social media advertising, peer pressure, and a desire for high status are examples of these non-financial factors that heavily influence our spending habits.
What are societal factors?
While real estate usually appreciates over time, a brand-new car experiences this financial process the exact second it is driven off the lot.
What is depreciation?
This basic type of interest calculates your financial return or cost only on the original principal amount that you started with.
What is simple interest?
This term describes the regular schedule or timeframe on which an employer calculates and distributes an employee's earnings.
What is a pay period?
Doing only this on your monthly credit card statement means you will be charged high interest on the remaining balance, putting you into debt.
What is making the minimum payment?
This modern payment method lets you pay at a cash register using a digital wallet on your smartphone via contactless technology.
What is a mobile payment (or Apple Pay / Google Wallet)?
"Buy now, pay later" plans, limited-time clearance events, and deals are examples of these tactics used by stores to get you to spend money.
What are sales incentives?
Albert Einstein famously called this type of interest the "eighth wonder of the world" because it calculates interest on both the principal and the accumulated interest.
What is compound interest?
What does the acronym "YTD" stand for on a pay stub, which shows your total earnings accumulated since January 1st?
What is Year to Date?
This type of tax is paid straight to the provincial and federal governments based on the money you earn from your job.
What is income tax?
If a Canadian crosses the border to go shopping in New York, they must swap their Canadian dollars for this official currency.
What is the US Dollar (or American Dollar)?
In the popular 50/30/20 budgeting rule, this is the specific category of flexible spending that gets allocated exactly 30% of your income.
What are wants?
This is the financial action you are taking when you take out a loan and have to pay interest.
What is borrowing?
What mandatory Canadian deduction takes money from your paycheque to provide you with an income when you retire?
What is Canada Pension Plan?
Homeowners pay this specific tax to their local municipality to fund community services like public schools, firefighters, and snow removal.
What is property tax?
It is the official shared currency you would need to use if you travelled on vacation to France, Spain or Switzerland
What is the Euro?
Rent, basic groceries, and utility bills fall under this specific "50%" category of the 50/30/20 budget framework.
What are needs?
This is the financial action you are taking when you put money away to earn interest.
What is saving?
Which deduction is designed to provide temporary financial assistance to workers who have lost their jobs through no fault of their own?
What is employment insurance?
In Ontario, this 3-letter tax combines provincial and federal sales taxes to add 13% to the cost of most retail items.
What is the HST (Harmonized Sales Tax)?
This type of decentralized, digital money uses cryptography to secure online transactions without relying on a traditional bank.
What is cryptocurrency (or Bitcoin)?
You must always calculate this hidden cost before heading to an Ontario checkout line, as it is never listed on the item's price tag.
What is sales tax (or needs)?
For a borrower, compound interest is incredibly dangerous because it causes your outstanding balance to grow in this rapid, snowballing way.
What is exponentially (or faster and faster)?