Budgeting
Using the 50/30/20 budgeting technique, a monthly gym membership payment would be allocated to this category.
What are wants? (30)
Lending money to a company or government for interest.
What is a bond?
The form your employer gives you every January showing how much you earned and how much tax was withheld.
What is a W-2 form?
This type of consumer debt allows individuals to borrow money for purchases and pay it back over time, often with high interest.
What is credit card debt?
The process of spreading money across different assets to reduce risk.
What is diversification?
The school mascot in the film "High School Musical".
What is a wildcat?
You need to differentiate between these when you are budgeting.
What are wants and needs?
A fund that tracks an index and trades like a stock.
What is an ETF (Exchange-Traded Fund)?
The federal tax that funds Social Security and Medicare.
What is Fica tax?
A type of loan backed by collateral like a car or house.
What is a secured loan? (Secured debt)
A fund designed to mirror a major market benchmark like the S&P 500.
What is an index fund?
The artist who headlined the 2024 Super Bowl Halftime Show.
Who is Usher?
The standard rule for how much money you should keep in an emergency fund.
What is 3–6 months of expenses?
The number of sectors in the stock market.
What is 11?
As a self-employed individual, you will receive this type of form that shows the various types of payments you may receive throughout the year.
What are 1099 forms?
This debt repayment strategy starts with the smallest balance.
What is the snowball method?
The flat rate payroll tax that you would pay as an employee from your paycheck.
What is 7.65%?
This infamous mobster was arrested and convicted for Tax Evasion during the prohibition.
Who is Al Capone?
When you begin budgeting, you should track your income for this period of time.
What is 30 days? (1 month)
This type of investment fund is typically associated with having the highest fees.
What is a mutual fund?
The 5 types of taxes that we covered in class.
What is income, sales, property, corporate, & capital gains tax?
This method involves prioritizing debt repayment starting with the debt with the highest interest rate while making minimum payments on other debts.
What is the debt avalanche method?
The form used to file your personal federal tax return.
What is Form 1040?
This U.S. fast food chain is credited with introducing the first drive-through window to the masses.
What is In-N-Out Burger?
This phrase describes the phenomenon where your spending increases as your income rises, leaving savings unchanged.
What is "lifestyle creep?"
A stock market index of 30 prominent companies listed on stock exchanges in the United States.
What is the Dow Jones?
Name three states with sports franchises that do not collect any jock tax.
What is...
Florida, Nevada, Texas, Washington, and Tennessee are the only states with sports franchises that do not collect the Jock Tax.
Name 5 of the 7 common types of consumer debt that we went over in class.
What is a Mortgage, HELOC (home equity line of credit), Vehicle loan, Personal loan, Payday loan, Credit card debt, Student loan?
Investing in high-risk opportunities hoping for high rewards.
What is speculating?
This would be considered Apple's slogan/tagline.
What is "Think Different"?