Banking Basics
What’s the difference between a checking and a savings account?
Checking = daily spending.
Savings = store and grow money.
What is a credit score?
A number that shows how trustworthy you are with credit.
What’s the difference between gross pay and net pay?
Gross = Before taxes
Net = After taxes
What is compound interest?
Interest earned on your interest over time.
What is phishing?
Fake message trying to steal personal information.
What does overdraft mean?
Spending more than what’s in your account.
True or False: Debit cards build your credit score.
False!
What is a W-2 form used for?
To report earnings from a regular job.
What is a 401(k)?
A retirement savings plan offered by employers.
What’s a red flag in a job or message?
A warning sign that something may be fake or risky.
Why might someone use a bank instead of cash under their mattress?
Safety, tracking, and earning interest.
What happens if you miss a credit card payment?
You may owe late fees and damage your credit score.
What is a 1099 form used for?
To report freelance or gig income.
What’s one reason to start saving early?
You earn more by saving sooner (through compound interest).
How can you check if a money request is really from a friend?
Call or video chat to confirm it’s really them.
What is a budget?
A plan for how to spend and save your money.
Name one pro and one con of using a credit card.
Pro: Builds credit
Con: Can lead to debt
True or False: You don’t have to file taxes if you earn under $600 from freelance work.
False! You must file if you earn $600 or more.
What is an emergency fund used for?
To cover surprise expenses like car repair or medical bills.
True or False: It’s safe to give your SSN before a job interview online.
False!
What is direct deposit?
Your paycheck is automatically deposited into your account.
What is interest?
Extra money you pay when borrowing (or earn from saving).
Would you rather earn hourly or salary pay? Why?
Open-ended:
- Hourly gives flexibility
- Salary gives stability
Name one long-term financial goal someone your age might have.
College, car, apartment, travel, etc.
What’s one thing you’ll do to protect your money after this group?
Open-ended.