Chapter 2: Saving
the five steps to financial success.
What are the five foundations?
A written cash flow plan
What is a budget?
A decrease or loss in value
What is depreciation
A program that allows you to work part-time while continuing their studies
What is a work study?
to buy an item with credit, paying for it over time
The amount of money you should keep in your emergency fund when you are a teen
What is $500?
you could leave things out, overcomplicate your plan, you could not actually do it, or you could not actually leave on it
What are the reasons why your cash-flow plan doesn't work?
What are ways I can protect my personal information?
People call it "Good debt"
What are student loans?
friends, celebrities, and marketing
What are factors that influence consumer decisions?
Interest paid on interest previously earned; credited daily, monthly, quarterly, or annually.
What is compound interest?
assigns an expense to every dollar in your monthly income
What is a zero-based budget?
Type of card issued by the bank that allows users to finance a purchase.
What is a credit card?
a form that is completed annually by current and prospective college students to determine their eligibility for financial aid
What is the FAFSA?
The latin term for buyer beware
What is Caveat Emptor?
A persistent rise in the price of goods and services over a period of time.
What is Inflation?
To match your bank statement with your checkbook
What is reconcile?
A detailed report of an individuals credit history
What is a credit report?
The total estimated student loan debt in the U.S.
What is $10,000?
You should consider _______ when you are investing and retirement planning.
What is inflation?
ready available cash only to be used in case of emergency
What is an emergency fund?
A copy of each check you write
What is a carbon check?
List your debts in order from smallest to largest, pay all the minimum payments, except your smallest one, pay off that one as mush as you can. Once that one is gone, add its minimum balance to the next smallest one. Do this until all your debts are payed off
What is a debt snowball?
Free money from the government
What is a grant?
Refers to the publics ability to recall and recognize a brand by it's logo, jingles, and packaging, etc.
What is brand recognition?