Key Terms #1
A(n) __________________ is anything you owe that has value.
Asset
As a(n) _______________, it's up to you to make choices about what you buy and use.
Consumer
Personal Finance is ___________________.
Personal
What percentage of Americans are living paycheck-to-paycheck?
80%
What are the two types of money personalities?
Spender and a Saver
American culture and businesses have convinced consumers that using ________________ is normal.
Credit
What is Financial Literacy?
Having the knowledge and skills to manage your personal finances.
You're a consumer because you use _____________ and _______________.
Products and Services
Personal finance is 20% head knowledge about money. What's the other 80%?
Behavior
How much student loan debt is owed in the U.S. currently?
$1.5 trillion
__________________ __________________ relates to all the different money decisions you make each day.
Personal Finance
What is the starting point for a financial plan?
Knowing your net worth.
American's haven't always had so much debt. Our debt total has risen over time and now includes a serious amount of ______________ ______ ______.
...student loan debt
Almost half of all Americans report having less than $______ in savings.
$1,000
While most people may appear to be doing really well, they're actually using ________ to pay for everything.
Debt
Having a(n) _________________ _____ _________ means the amount of your liabilities is larger than the value of your assets.
Negative Net Worth
What is interest?
A fee charged for using borrowed money for a purchase.
When talking about personal finances, always remember that you will either manage your money or the lack of it will ____________ ____________ _______.
...always manage you
The Five Foundations provide a simple ______________ to help you win with money.
Action Plan
List the tree types of financial goals:
Short-term, Medium-term, and Long-term.
What is Net Worth?
1. Save a $500 emergency fund.
2. Get out and stay out of debt.
3. Pay cash for your car.
4. Pay cash for college.
5. Build wealth and give.
In order to get clarity on your money goals and have a powerful reminder to keep you on track, you need to _________________________.
...write your goals down
Living on less than you make means not:
...spending all of your money
Your financial goals should be ___________, _______________, time-sensitive, yours, and _________.
Specific, measurable, and written.