Money
are compensation for an employee’s personal services, whether paid by check or cash, or the reasonable cash value of non-cash payments such as meals and lodging.
Wages
when money is given to another party in exchange for repayment of the principal amount plus interest. The terms are agreed to by each party before any money is advanced.
Loan
is a measure of the interest charged, expressed as a yearly rate.
APR or The Annual Percentage Rate
is the payment the insured (buyer) makes for an insurance policy.
Premium
are accounts that earn an interest rate proportional to the length of time your money is held. The longer the bank keeps your money, the higher the interest rate will be.
Certificates of deposit, or CDs
is the process of organizing and controlling financial resources in order to achieve short- and long-term goals.
Money management
they regulate the offer of and sale of securities among the public stock shares from corporations.
SEC or Securities and Exchange Commission
an act of being the owner or manager of a business enterprise who, by risk and initiative, attempts to make profits.
Entrepreneurship
is a simplified formula that calculates how long it'll take for an investment to double in value, based on its rate of return.
Rule of 72
are the factors that determine creditworthiness: character, capacity, capital, conditions, and collateral.
The Five Cs of Credit
refers to your legal responsibility for others’ safety. If someone gets hurt while on your property or by your actions, you might be responsible for their injuries.
Liability insurance
a collection of several different stocks and bonds.
Mutual funds
an account that an employee uses to save for retirement.
401k
responsible for printing money.
Treasury department
is the monetary charge for the privilege of borrowing money, typically expressed as an annual percentage rate (APR).
Interest
a type of financial institution similar to a commercial bank, is a member-owned financial cooperative, controlled by its members and operated on a not-for-profit basis.
Credit Union
is the maximum amount of available credit a cardholder may access.
Credit line
is a strategy for protecting against the risk of loss.
Risk management
is another type of savings account that banks and credit unions offer. The interest earned is based on the interest banks make on short-term investments. These accounts differ from regular savings accounts because they typically earn higher interest but also have higher minimum balance requirements (sometimes $1,000 to $10,000).
Money Market Accounts
is money set aside for unexpected expenses.
Emergency fund
is the central banking system in the United States.
Fed or Federal Reserve
is the revenue remaining after all costs are paid.
Profit
is the interest on a loan or deposit calculated based on both the initial principal and the accumulated interest from previous periods.
Compound Interest
three leading credit reporting agencies.
Equifax, TransUnion, and Experian
are carefully worded and highly detailed legal contracts that outline the terms of the insurance coverage.
Insurance policy
units of ownership in a company.
Stock
is a measure of the wealth that an individual has accumulated. The combination of what is owned (assets) and what is owed (liabilities).
Net worth
insurance covers all deposit accounts, including checking and savings accounts, money market deposit accounts and certificates of deposit.
FDIC or Federal Deposit Insurance Corporation
an asset or item that is purchased with the hope that it will generate income or appreciate in value at some point in the future.
Investments
is the concept that money you have now is worth more than the identical sum in the future due to its potential earning capacity.
Time value of money
is a number that comes from a formula that determines creditworthiness.
Credit score
is a request by the insured for compensation from an insurance company for a loss covered by an insurance policy.
Insurance claim
Another type of investment, which is a sort of loan from you to a company or a government. When you purchase these you are lending money to that entity for a defined period of time and at a fixed interest rate.
Bond
Roth
the (FDIC) standard insurance amount per depositor, per insurance bank, for each account ownership category.
$250,000