Vocabulary Words 1
To distribute money for a particular purpose.
What is allocate?
This occurs when spending exceeds income over a specific period meaning more money is going out than coming in.
What is a deficit?
Regular and consistent costs you rack up every month, and they typically stay the same or change very little from month to month.
What are fixed expenses?
Money received, especially on a regular basis, for work or through investments.
What is an income?
Using your money now to buy something like property, stocks or a business with the expectation that it will grow in value or it will generate an income for you.
What is an investment?
The state of being responsible for something especially by law. (Anything you owe to someone else showing an obligation to pay money)
What are liabilities?
What is the cost of living?
Costs that change from month to month. Usually these aren't going to be essential expenses such as travel, entertainment, or dining out.
What are variable expenses?
Relying on a set amount of money that doesn't significantly change coming from SS, pensions, or investments which makes budgeting challenging due to inflation.
What is a fixed income?
Typically money that is owed or due to someone.
What is debt?
The cost of a single unit of a product, like per pound or ounce by dividing the total price by the total quantity.
What is the unit price?
The difference between the value of everything you own (your assets) and what you owe (your liabilities).
What is net worth?
Earnings that change from one pay period to the next unlike a steady salary. It usually changes due to tips, working overtime, fluctuating hours, etc.
What is a variable income?
An amount of something left over when the requirements have been met; an excess of supply over demand.
What is a surplus?
Dedicated cash reserves for unexpected and urgent expenses such as medical bills, car/home repairs, or job loss. This acts like a safety financial net.
Must have value that can be measured in monetary terms.
What are assets?
A policy for tenants that protects their belongings from covered losses like theft, fire, flooding, natural disasters, etc. It offers financial help for these people.
What is renter's insurance?
The actual amount of money an employee receives after all mandatory and voluntary deductions are subtracted from their gross earnings.
What is net pay?
A simple financial plan that tracks your income and expenses over a specific time to help you manage your spending and saving money.
What is a budget?
An organization that supplies the community with electricity, gas, water, internet, etc.
What are utilities?
This is an upfront payment made when purchasing a big-ticket item such as a house or car. It is a percentage of the total price with the remaining amount paid by a lender.
What is a down payment?
A legally binding contract between a landlord and a tenant that grants the tenant the right to live there.
What is a residential lease?
An employee's total earnings for a pay period before any taxes(federal, state, or local) or other deductions are taken out.
What is gross pay?
The minimum income needed for a full-time worker to meet their basic needs like food, housing, utilities, and healthcare.
What is a living wage?
A global network of exchanges and venues where investors buy and sell shares in public companies, allowing businesses to raise capital and individuals to grow wealthy by profiting from the company's success.
What is the stock market?