Income
Wages and salaries
what is, Money from your primary job.
Essential spending (Needs)
what is, Necessary living expenses such as housing, groceries, utilities, and transportation.
Emergency fund
what is, A cash reserve to cover unexpected events like job loss or medical emergencies.
Retirement accounts
what is, Accounts like a 401(k) or IRA are used to save and invest for retirement.
Insurance
what is, Policies such as life, health, home, and auto insurance protect you from financial disaster
investment income
what is, Dividends or capital gains from your investments.
Discretionary spending (Wants)
what is, Non-essential expenses like entertainment, dining out, and travel.
Short-term goals
what is, Money saved for specific purchases, such as a vacation or a new car.
Brokerage accounts
what is, Allow you to invest in assets like stocks, bonds, and mutual funds.
Estate planning
what is, Creating a plan for the transfer of your assets through wills and trusts to ensure they are distributed according to your wishes
side hustle earnings
what is, Additional money from freelance work or other sources
fixed
what is, monthly payments
Long-term goals
what is, Larger, future objectives like a down payment on a house or education.
Real estate
what is, Investing in property to generate income or appreciate in value
money owed to another person or company
what is debt
the percentage of principal charged by the lender for use of its money
what is interest rate
intermittent
what is, something you can pay for every three months or so
the granting of a loan and the creation of debt; any form of deferred payment
what is credit
all the financial decisions an individual or family must make in order to earn, budget, save, spend, and give money over time
what is personal finance
an expression used to describe a person or household whose monthly income is devoted to expenses and has little to no savings
what is paycheck to paycheck
money, property, or value that an individual or business receives in exchange for providing a product or service, or from investing capital
what is income
a person or organization that uses a product or service
what is a consumer
the knowledge and skill base necessary for people to be informed consumers and manage their finances effectively
what is financial literacy
act of allocating money to an asset or venture with the expectation of generating a profit over time, essentially making your money work for you.
what is investing
act of allocating money to an asset or venture with the expectation of generating a profit over time, essentially making your money work for you.
what is financial protection