Banking Basics
The place where you keep your money at a bank is call an...
account
Money that you receive from working or other sources.
income
A plan that helps you decide how to spend and save your money.
budget
The amount of money your items cost before tax is added.
Subtotal
This type of bank card takes money directly from your bank account when you make a purchase.
Debit card
When you put money into your bank account, you are making this.
deposit
The money you earn for doing a job.
wage
Money that you put aside instead of spending right away.
savings
Money collected by the government when you purchase certain goods and services.
tax
This type of card allows you to borrow money from a bank to make purchases and pay it back later.
Credit Card
When you take money out of your bank account, you are making this.
withdrawal
The total amount of money you earn before taxes and other deductions are taken off.
gross pay
An expense that usually stays the same each month, such as rent or a car payment.
fixed expense
Extra money you may leave for a server at a restaurant to show appreciation for their service.
Tip
The extra money you pay when borrowing money, or the money you can earn by keeping money in certain savings accounts.
interest
This tells you how much money you currently have available in your bank account.
Balance
The amount of money you actually take home after taxes and other deductions.
net pay
An expense that can change from month to month, such as groceries, gas, or entertainment.
variable expenses
When a store lowers the original price of an item, this is called a...
Discount
This happens when you spend more money from your bank account than you actually have available.
Overdraft
This word describes any activity involving money going into or out of your bank account.
transaction
Money taken off your paycheque for things like income tax, CPP, and EI.
deductions
This document shows all the money that has gone into and out of your bank account over a period of time.
Bank Statement
The cost of one unit of something, such as the price per kilogram or per litre.
Unit rate
When you borrow money, this is the original amount you borrowed before interest is added.
Principal