Budget Basics
What is a plan for how you will spend your money
budget
What type of account is best for short-term savings and easy access to your money?
What is a savings account?
What is money that you owe to someone else?
What is debt?
What is a collection of stocks, bonds, or other investments
What is a portfolio?
What is a document that outlines your financial goals and strategies for achieving them?
What is a financial plan?
What are expenses that stay the same each month, like rent or a car payment?
What are fixed expenses?
What length of time, is an emergency fund designed to cover
What is 3-6 months
What is a type of debt that usually has high interest rates and is used for short-term purchases?
What is credit card debt?
What is a share of ownership in a company
What is a stock?
This type of employer-sponsored retirement plan allows you to contribute a portion of your paycheck before taxes are taken out.
What is 401k
What are expenses that change from month to month, like groceries or entertainment?
What are variable expenses?
What is a financial professional who can help you manage your money and investments?
financial advisor
Paying more than the minimum payment on debt helps reduce what?
What is interest and the total amount owed?
What is the 2025 Max on a Roth IRA
7,000 for under 50
7500 over 50
This type of investment combines multiple companies into one portfolio
Index/Mutual funds
What is the term for the money left over after you subtract your expenses from your income?
What is surplus or net income?
What is the concept of earning interest on your previously earned interest
What is compound interest
What is a credit score used to determine?
What is creditworthiness or risk to lenders
What is the term for the potential loss or gain on an investment?
What is risk and return
What is a document that specifies how you want your assets to be distributed after your death?
What is a will or estate plan
What is the 50/30/20 rule?
50%- needs
30% wants
20%- saving/ debt/ investing
This type of savings account offered by banks and credit unions provides a higher interest rate than traditional savings accounts, helping your money grow faster
High yield savings account
What is it called when you fail to make a debt payment on time?
Default
I’m What is a calculation that estimates how long it will take for your money to double at a given interest rate?
What is the Rule of 72?
Name one of the 3 credit bureaus
Experian, equifax, or transunion