interest
what is money paid regularly at a particular rate for the use of money lent or for delaying the repayment of a debt?
Interest
How much should a teenager have in their Emergency fund?
$500
What is the purpose of a sinking fund?
Large purchases
Wealth building is a ______
Marathon
Percentage paid to a lender for the use of borrowed money (in debt); percentage earned on invested principal (in investing)
Interest rate
What is interest earned on interest
Compound interest
How much should an adult have in their emergency fund?
3-6 months of expenses
What can sinking funds save you from?
paying interest
Building wealth depends on what
discipline
The five steps to financial success
The five foundations
If you were to put $100 into a savings account with 10% annual interest how much would you have at the end of 1 year?
$110
Should you keep your emergency fund with the rest of your money?
No
What do you need to start saving?
Self discipline
You can be a millionaire by saving $___ per month
$100
Five hundred dollars in readily available cash to be used only in the event of an emergency; the goal of the First Foundation
emergency fund
When should start saving to earn compound interest?
When you are young
What things should teens use their emergency funds for?
A new phone or car repairs
Do teens need to worry about savings?
yes
Only a few people in america can be millionaires True/False
False
Interest paid on interest previously earned; credited daily, monthly, quarterly or semiannually
compound interest
What do credit card companies make most of their money on?
Interest
What is the main reason for an emergency fund?
Security
How do most millionaires become rich?
saving
Automate your wealth by using
pre-authorized checking withdraws
Saving money over time for a large purchase
sinking fund