Retirement
When should you start saving?
As soon as possible, in your 20s or when you first get a job.
What are the two main banking accounts?
Savings and Checking!
What should you ALWAYS do before signing anything?
READ THE FINE PRINT!!!!!!!!!!!!!
What is a Credit Score
A score that assesses one's ability to pay off a loan
What's Shannan's favorite animal
Polar Bears
Which account should you put money for retirement in first?
401K, and max out your matching!
What is the point of a checking account?
Spending and banking needs. It allows you to deposit money, receive income, pay bills, and make purchases using checks or a debit card.
What is the most common budgeting strategy?
50 - 30 -20
What is a pension?
A retirement plan in which you earn a percentage of your paycheck every year for the rest of your life.
Where is Shannan going this summer?
Alaska
In what order should you take/fill your retirement accounts?
Pension (if offered), 401k, Roth IRA, Tratitional IRA
Why shouldn't you use a checking account for your savings?
The interest on savings accounts is higher, so your savings will grow slower.
What is the safest way to invest in the stock market?
An index find
What is an Index Fund?
An Index Fund is not actively managed and covers a category of stock. (S&P 500)
What countries did Shannan go to for High School?
Panama and the US
What's the difference between Roth and Traditional IRAs?
With a Roth, you pay taxes now; with a traditional, you pay taxes upon withdrawal.
Why shouldn't you use a savings account for checking and paying expenses?
There are fees associated with pulling funds from a savings account and you won't have savings.
What can you do if it's hard for you to stop overspending?
Use the envelope method and convert a portion of your checking account to cash so that you can track how much you have spent.
What's a Roth IRA?
A retirement investment account which you pay taxes for upon deposit.
What did Shannan coach at the New School?
Volleyball
What is the single biggest expense keeping people from retirement?
Health Care
What is the difference between credit and debit cards?
Credit cards work as a short-term loan that you pay off at the end of each month. Debit cards work by immediately transferring funds from your checking account.
Where should you keep your emergency fund?
Savings account,
What is an overdraft fee?
A fee is charged in addition to what you've spent when you spend more than you have in your checking account.
What kind of and how many animals does Shannan have
1 Cat