Budgeting Broke
The "golden rule" of budgeting when you have limited income is to ensure this total number is lower than your total income.
What are expenses?
It is the most commonly traded currency in the world, often referred to as the primary "reserve currency" for global transactions.
What is the US Dollar (USD)?
This type of bank account is primarily used for daily expenses, paying bills, and frequent withdrawals.
What is a checking account?
It’s the total amount of money you have (assets) minus the total amount of money you owe (liabilities).
Answer: What is Net Worth?
To save money, this type of home-packed meal is generally cheaper than dining out.
What is a brought lunch (or "brown bag")?
These types of expenses, such as rent or car insurance, are the hardest to change when you are trying to cut back quickly.
What are fixed expenses?
This 12-letter word describes the gradual loss in value of a physical asset over time, often affecting global logistics and manufacturing firms.
What is depreciation.
This federal agency insures bank deposits up to $250,000 per depositor, per institution.
What is the FDIC (Federal Deposit Insurance Corporation)?
The "Rule of 72" is a quick formula to calculate how many years it takes for this to happen to your money, based on an interest rate.
What is doubling?
These are essential, non-negotiable items in a budget, such as food, rent, or utilities.
What are needs?
Instead of using a credit card and paying interest, this type of card allows you to pay using only the money currently in your checking account.
What is a debit card?
This type of bond is denominated in a currency other than that of the country in which it is sold.
What is a Eurobond?
This is the process of comparing your own record of transactions with the bank’s monthly record to ensure they agree.
What is bank reconciliation?
While banks are for-profit, these not-for-profit financial institutions are owned by their members.
What is a credit union?
This financial term, also a sugary treat, is a portion of a company's profit paid to shareholders.
What is a dividend?
This type of budgeting method, often recommended for tight budgets, assigns every single dollar of income to a specific category (like food, rent, or savings) until zero dollars remain.
What is zero-based budgeting?
Established in 1999, this organization brings together central bank governors and finance ministers from 19 countries plus the European Union and African Union to discuss global financial stability.
What is G20?
These are checks that you have written but have not yet been cashed or processed by the bank.
What are outstanding checks?
This type of investment pays a portion of a company’s profits to shareholders on a per-share basis.
What is a stock dividend?
This term describes an asset that can be quickly converted into cash, crucial for a restaurant paying daily food suppliers.
What is Liquid?
This essential three-to-six-month "cushion" of living expenses is crucial to have saved so that a broken car or medical bill doesn't break your budget.
What is an emergency fund?
This market, often abbreviated as FX, is a 24-hour global market for the trading of currencies.
What is the Foreign Exchange Market?
This refers to the interest rate that a bank pays its customers for keeping their money in a savings account.
What is the APY (Annual Percentage Yield) or interest rate?
This is the term for a specific order to buy or sell a stock at the best available current price.
What is a market order?
This economic concept describes the rising cost of groceries over time, often analyzed by investors.
What is Inflation?