Financial Literacy 1
A financial institution that accepts deposits from the public.
A Bank
A government issued ID number given to you at birth
Social Security Number
Something that you spend money on, either one time or regularly.
Expense
Money you receive for doing work or from investments.
What is income?
A percentage of the amount you borrowed, increasing the total amount you have to pay back in the end.
What is interest rate?
A thing that is borrowed, especially a sum of money that is expected to be paid back with interest.
A Loan
The money charged for the privilege of borrowing money.
Interest
A portion of money paid to the government out of your paycheck to help pay for things like schools, hospitals, roads, and other services that benefit the country.
Income Tax
An occupation undertaken taken for a significant time and with opportunity to progress.
What is a career?
A fixed amount someone earns in a year for their job--regardless of the number of hours worked.
What is an annual salary?
A bank card that automatically deducts the amount of a purchase from your checking account.
Debit card
A specific type of loan that is used to buy real estate (a home or other property).
Mortgage
A _____ is a percentage-based amount paid on non-essential items at the point of sale
Sales Tax
The money you earn at your job before taxes are deducted.
What is gross income?
A plan for earning and spending over a period of time.
What is a budget?
A card used to make purchases with the agreement that the cardholder will pay back the card issuer for the purchases and any fees and interest
Credit card
Money owed from one person to another person or company
Debt
A tax-advantage retirement savings plan that is sponsored by your employer
401K
The money you earn from your job after the taxes are deducted
What is net income?
A type of bank account that allows you to easily deposit and withdraw money for daily transactions
A Checking Account
The initial amount of money borrowed on a loan.
Principal
The maximum amount you can spend on a credit card.
Credit Limit
A process that allows your employer to send your paycheck to your bank account rather than print a physical check
Direct Deposit
The score given by a credit agency regarding your ability to pay off a debt.
What is a credit rating/score?
A safety net that protects you from unexpected accidents or problems in exchange for a payment.
What is insurance?