Finance Basics
What is a card that allows you to withdraw money directly from your checking account?
Debit Card
This financial behavior involves risking money on uncertain outcomes to win more money or prizes.
Gambling
What does RRSP stand for?
Registered Retirement Savings Plan
This money personality-type tends to avoid financial discussions and decisions.
The Avoider
GIVE TWO ANSWERS:
16-year old Jerry McDoogle has been working at his first job for two weeks, and just got his paystub. However, he's confused about his earnings. Although his paystub says that he earned $1100 (gross), he only ends up getting to put $850 in his own pocket (net).
What happened to the other $250?
ASNWERS:
Income Tax
Pension
Union Fees
Insurance
What term describes a numerical rating reflecting a person's creditworthiness?
Credit Score
This financial behavior involves allocating money to assets to generate profit over time.
Investing
What is an FHSA designed for?
To help save for a home.
This money personality-type tends to use their money to purchase enjoyable but unnecessary items.
The Spender
NAME 1: What personality type would benefit most from a fitting a "gift fund" or "donation fund" with a set amount of funds each month into their budget?
ANSWERS:
The Spender
The Giver
What type of loan is specifically used for purchasing property?
Mortgage
This financial behavior involves spending freely on non-essentials for immediate gratification.
Splurging
What is the purpose of a TFSA?
To provide a savings account where:
1) the contributions are tax-deductible...
2) the investment growth is tax-free...
This money personality-type is characterized by high-risk, high-reward behavior.
The Risk Taker
Alfred Tinklewinkle is in the market for a new job. However, due to recent health developments and an injury, Alfred is worried that he won't be able to afford his medications, physiotherapy, and massage therapy.
How can Alfred solve this financial problem as he looks for a new job?
Alfred can try to find a job which includes a benefits package.
What do you call the value of ownership in an asset after subtracting debts owed?
Equity
This common phrase refers to spending nearly all income on necessities, with little to no extra money for savings.
"Living Paycheck to Paycheck"
What is the maximum amount of money you can contribute to a TFSA per year (carried over yearly)?
NAME THESE 2 PERSONALITIES: These two personality types have a tendency to save their money. However, one of these is the unhealthy or extreme version of the other.
The Saver
The Hoarder
NAME 1: Which personality type is most likely to have one or more "emergency funds?"
ANSWERS:
The Security Seeker
The Saver
The Hoarder
What is the term for a reduction in taxable income that lowers the amount of tax owed?
Tax Deduction
This common phrase refers to the comparing of oneself to others, often resulting in an attempt to match their lifestyle and spending habits.
"Keeping Up with the Joneses"
Each spring, Canadians can receive a "tax return" from the government when they file their taxes.
Q: How can putting money in a TFSA help you get a bigger amount of money on your tax return?
Money stored in a TFSA cannot be taxed by the government.
This causes your taxable income amount to be smaller, meaning the government must return some of those taxes back to you each spring.
NAME THESE 2 PERSONALITIES: These two personality types have a tendency to freely use their money. However, one of these is less likely to focus on self.
The Spender
The Giver
NAME 3: Which personality types would benefit most from creating and using a very strict budget?
ANSWERS:
The Spender
The Investor
The Avoider
The Giver
The Risk Taker
The Flyer
The Debtor