Money Basics
The day-to-day financial activities of using limited income to meet needs and wants
*What is money management?*
The formula: Assets - Liabilities = This
*What is net worth?*
The "S" in SMART goals stands for this
*What is Specific?*
The annual deadline for filing income taxes
*What is April 15th?*
A benefit of financial planning that reduces uncertainty
What is gaining more control?*
planning carefully, saving regularly, and spending wisely
What are characteristics of an effective money manager?
Items of value like cars, jewelry, and furniture
*What are assets?*
Two common budget categories related to essential needs
*What are food and housing?*
A government charge to finance public services
*What is a tax?*
Two sources of retirement income from employers
*What are pensions and 401(k) plans?*
his statement shows income and spending for a specific time period
*What is a cash flow statement?*
Money owed to others like credit card debt and loans
*What are liabilities?*
A characteristic of an effective budget that allows for changes
What is flexible?*
This tax applies to purchases
*What is sales tax?*
insurance that protects your income if you can't work
*What is disability insurance?*
These expenses remain the same amount and occur regularly
*What are fixed expenses?*
oney available to spend from income
*What are cash inflows?*
The amount of money planned for a certain budget category
*What is an allowance?*
When employers deduct taxes from each paycheck
*What is withholding?*
The number of steps in the financial planning process
*What is five?*
These expenses change in amount or timing
*What are variable expenses?*
Money paid out for expenditures
*What are cash outflows?*
The recommended number of major budget categories
*What is eight?*
Free tax help for low-moderate income people
*What is VITA?*
Retirement income that comes from paycheck deductions
*What is Social Security?*