Banking
True or false? Money market accounts require a higher minimum balance compared to saving accounts.
True.
The IRS.
What investment tool guarantees a return at a fixed interest rate?
Certificate of Deposit
What is the first step to making a budget?
Listing income sources and amounts.
What is a persons net worth?
Assets - Debt = net worth
Coach Riley wants to buy new furniture for his house next summer. He decides to limit his eating out at fast food places in order to save money. What is his opportunity cost.
The enjoyment of fast food that he will no longer be eating each night.
What are some of the itemized deductions we can claim on our taxes? Give at least two examples.
Buying a home, donating to charity, business expenses, Roth IRA Contributions
Why do we want to start saving for retirement as soon as possible?
Compound interest.
Give and example of a smart goal.
Specific, Measurable, Attainable, Relatable, Timely
How much money does the FDIC require banks to ensure on saving and money market accounts?
250,000
What happens if we make a withdraw from a CD before it's maturity date?
You will get a penalty which lowers your interest earned.
Name 3 mandatory taxes.
Federal Income Tax
State Income Tax
FICA
What is a Bond?
When we as consumers lend companies or the government money for a fixed interest rate over a set period of time. We make money off the interest after the bond reaches its maturity date.
What percentage of our budget should be allocated towards needs?
50
What all is required in order to open up a bank account?
What is the benefit of online bill pay?
What is it called when the government checks our taxes for mistakes and/or fraud?
What is a stock?
Buying ownership in a company.
List 3 examples of variable expenses.
DAILY DOUBLE
Clothing, Entertainment, Food...etc
The amount a lender charges you to borrow money is called?
Interest
What determines how much interest we earn on a money market account? DAILY DOUBLE
The economy and how the market is doing.
Give an example of a fee that a bank might charge.
Monthly Service Fee
What is the index fund that includes the top companies in the United States?
S&P 500
Money that we pay upfront to help secure a loan is called?
USAA is an example of what type of institution.
Virtual Bank