Show:
7 Baby Steps
Budgeting
Credit
Stock Market
Mystery
100

What is the first Baby Step in Dave Ramsey's plan?

Save $1,000 for an emergency fund

100

This is the first step you should take before creating a budget

Calculate monthly income

100

What is the term for a number that represents your creditworthiness?

Credit Score

100

What is the term for owning a small piece of a company through the stock market?

Share

100

What is the term for money set aside for unexpected expenses?

Emergency Fund

200

How much money should you aim to save for a fully funded emergency fund in Baby Step 3?

3-6 months worth of expenses

200

 In the 50/30/20 rule, what percentage of income is allocated to needs?

50%

200

 What is the maximum recommended credit utilization ratio to maintain a healthy credit score?

30% or less

200

What does "S&P 500" stand for?

Standard & Poor's 500

200

 What is the government program that provides retirement income to older Americans?

Social Security


300

In Baby Step 2, what method is recommended to pay off debt quickly?

Debt snowball method

300

What is the term for a budget category that is flexible and changes month-to-month, like entertainment or dining out?

Variable expense

300

 True or False: Checking your own credit score will hurt your credit.

False

300

 If a stock price goes down but you don’t sell, what type of loss have you experienced?

Unrealized loss

300
If you are looking for a place to live and the most important factors to you are flexibility, lower upfront costs, and fewer responsibilities, would you rather rent or buy?
Rent
400

At which Baby Step do you start investing 15% of your household income into retirement accounts?

Step 4

400

Name two ways to track your spending when creating a budget.

Budgeting App or Spreadsheets
400

What is considered an excellent credit score?

>740
400

What is the term for spreading your investments across different assets to reduce risk?

Diversification

400

What is the term for earning interest on both the original principal and the interest already earned?

Compound Interest

500

Baby Step 6 focuses on paying off what type of debt early?

Home Mortgage

500

What should you likely do if you have money left over after completing your budget? (money that doesn't have a name or destination on it).

Invest

500

What are the three major credit bureaus in the U.S.?

Experian, Equifax, TransUnion

500

What type of investment fund automatically matches the components of a market index like the S&P 500?

Index fund

500

What is the type of retirement account where contributions are made with after-tax dollars but withdrawals are tax-free in retirement?

Roth IRA