MM 1
Name two things you would find on a bill
Hint: Format of bills
name and address, account number, amount due, due date, last payment
how often are bank statements sent out?
What should you do with old bills when disposing of them?
If you withdraw more money than you have from a bank account, the account becomes
the person or company receiving the money is called?
what is the payee?
what is the remaining total due called?
Comparing the documentation of credits and debits to make sure you and the bank have matching records is called
what is reconciling an account
What should be your first step if you notice an error on your bill?
check your bank account records
what does it mean to "endorse" a check?
to sign or stamp the back of the check so the payee can cash it
a payment made regularly on a set schedule is called?
what is an automatic payment
a period where late payments will be accepted without penalty is called?
What is a grace period
Bills are the primary means of _________________ between a company and the customer.
what is communication
What information is NOT typically found in the "Payment Activity" section of a checking account?
a. Scheduled payments
b. Processed checks
c. Credit score updates
d. Electronic fund transfers
c. credit score updates
When trying to reduce expenses, which category should you start with?
wants
what rule states that you should spend up to 50% of your after-tax income on needs and obligations that you must have or must do. The remaining half should dedicate 20% to savings, leaving 30% to be spent on things you want but don't necessarily need
what is the 50/30/20 rule?
why is it essential to monitor your account?
to make sure there is enough money to cover your bill payments
All bills will have basic information you need to __________________ your money.
Which of the following is an example of a 'fixed expense'?
(A) Food and groceries.
(B) Mortgage or rent payments.
(C) Charitable contributions.
(D) Gas for your car.
B. Mortgage or rent payments
a set of goals for spending, saving, and investing the money you earn is called?
what is a financial plan
money subtracted for a specific purpose is called?
deductions
what is a book used to write down how much is spent and received out of an account?
checkbook ledger
How far back can the IRS typically go for an audit?
what is three years
The total of what you make before payroll deductions is called?
gross pay
The amount you receive after all payroll deductions is called?
net pay
taxation rates per income level
Bonus points if you can tell me who determines them
tax brackets