vocab 1
a tax advantaged investing account that people use to save for retirement
individual retirement arrangement
(IRA)
character traits and interpersonal skills requiring EQ (emotional quotient) that guide how you interact with others
soft skills
people who are designated by the policyholder to receive the death beneifit of a life insurance policy
beneficiaries
the additional cost a lender charges for borrowing their money
intrest
failure to repay a loan on time
default
the practice of dividing the money a person invests among different types of investment in order to lower risk
diversification
the granting of a loan and the creation of debt; any form of defferred payment
credit
expense that remains the same month to month
fixed expense
the loss of value of an asset over time
depreciation
someone who stars and runs their own bussiness
entrepreneur
the persistent rise in the cost of goods and services over time
inflation
anything that is owned by an individual, including money in the bank or investments
asset
what a person earns after payroll taxes and other deductions are taken out; often refered to as take home pay
net income
measures the gain or loss generated on an investment relative to the amount of money invested
return on investment
(ROI)
from a french word meaning "to sum up" or a summary
resume
an undergraduate degree from a college or university usaly after completing 4 to 5 years of study
bachelors degree
a two or three year postsecondary undergraduate degree
associate degree
a person who relies on someone for finacial support
dependent
the average rate of growth for an investment overtime often expressed as an annual figure
compound growth
the payments and individual makes each time they get medical services
copays
expense that varies in dollar amount from month to month but that you can expect to have every month
variable expense
the initial amount of money invested or borrowed
principal
the amount of money you will pay out of pocket before the insurance company will make a payment
deductible
the amount you earn before taxes and other payroll deductions are taken out
gross income
financial debts or obligations
liablity