Budgeting
The total amount of money you earn on a paycheck before taxes, health insurance, or retirement deductions are taken out.
What is gross pay?
An investment that automatically pools your money to buy tiny fractions of hundreds of different stocks all at once.
What is an index fund or ETF?
Borrowing money with the promise to pay it back later is called this.
What is credit?
This account is commonly used for everyday spending and paying bills.
What is a checking account?
FAFSA stands for this.
What is the Free Application for Federal Student Aid?
This budgeting rule suggests spending 50% on needs, 30% on wants, and 20% on savings.
What is the 50/30/20 rule?
This retirement account allows you to invest after-tax money and take tax-free withdrawals in retirement.
What is a Roth IRA?
This three-digit number represents your creditworthiness.
What is a credit score?
This account typically earns interest and is designed to help people save money.
What is a savings account?
Independent contractors typically receive this tax form.
What is a 1099?
In the 50/30/20 budgeting rule, what does the "30" represent?
What are wants?
The money a bank pays you for keeping money in your account is called this.
What is interest?
What type of student loan does not accrue interest until certain requirements are no longer met?
What is a subsidized loan?
The general economic term for why movie tickets, coffee, and rent cost more today than they did ten years ago.
What is inflation?
Name a state that does not have a state income tax.
What is Texas? (Florida, Nevada, Washington, Alaska, Wyoming, South Dakota, Tennessee, and New Hampshire are also acceptable.)
Income left after taxes are taken out is called this.
What is net income?
Buying shares of a company makes you a partial owner through this investment.
What are stocks?
Student loans, mortgages, and auto loans are examples of this.
What is debt?
The penalty fee a bank charges you for withdrawing more money than is available in your checking account.
What is an overdraft fee?
The Federal Reserve's target inflation rate is this percentage.
What is 2%?
This type of expense changes from month to month.
What are variable expenses?
A benefit offered by some employers where they contribute additional money to your retirement account based on your contributions.
What is a 401(k) match?
Making only this payment on a credit card causes interest to accumulate.
What is the minimum payment?
This federal agency insures deposits in most U.S. banks.
What is the FDIC?
The current target federal funds rate falls within this range.
What is 3.75%-4.00%?