Managing Personal
Finances
Finances
This person that is responsible for their own financial decisions.
What is "myself"?
This is the amount you pay before the insurance company pays you for a claim.
What is deductible?
A payment card linked to a checking or savings account, allowing you to spend your own money directly, unlike a credit card which uses borrowed funds.
What is a debit card?
A contractual agreement in which a borrower receives a sum of money or something else of value and commits to repaying the lender later, typically with interest.
What is credit?
This is what you may pursue after high school to further your education.
What is post-secondary education?
The amount an employee earns before all deductions, including taxes, benefits, wage attachments and any other payroll deductions.
What is gross pay?
This represents small ‘pieces’ of ownership of a company. They are also called shares or equities.
What is stock?
What does SMART goals stand for?
What is Specific, Measureable, Achievable, Relevant, Time-Bound?
A legal agreement between an insurance company (the insurer) and a person or entity (the insured). In exchange for a fee called a premium, the insurer agrees to pay for covered financial losses that result from a specified uncertain event.
What is a insurance policy?
A bank account designed for daily financial transactions. It allows you to deposit money, withdraw cash, and make payments for bills and purchases using checks, debit cards, or online transfers.
What is a checking account?
Borrowing a specific amount of money is called what?
What is a loan?
A form completed by current and prospective college students (undergraduate and graduate) in the United States to determine their eligibility for student financial aid. Opens every year on Oct 1
What is FAFSA?
The amount of money an employee actually receives after all withholdings and deductions are subtracted from their total earnings. This is often referred to as “take-home pay”
What is net pay?
A fixed-income investment product where individuals lend money to a government or company at a specified interest rate for a predetermined period.
What is a bond?
This strategy looks at the cost vs the benefit of a financial decision.
What is a cost-benefit analysis?
This is an individual who is paid on the event of a death in life insurance policy.
What is a beneficiary?
This account is for purchases for big ticket items or for emergencies.
What is a savings account?
Which is better: a lower credit score or a higher credit score?
What is higher?
A form of financial aid awarded to students for further education. Generally these are awarded based on MERIT (like athletics, academics, etc)
What is a scholarship?
The portion of your gross income that's used to calculate how much tax you owe in a given tax year.
What is taxable income?
A financial vehicle in which shareholders put their money together to invest in securities (e.g., stocks, bonds, money market instruments). A fund manager chooses the best investments, and every investor shares in the profits if the investments do well.
What is a mutual fund?
TicTok, Facebook, Instagram celebrities are used to encourage spending.
What are social media influences?
The price you pay for an insurance policy. It is the regular payment—typically monthly, semiannually, or annually—that keeps your coverage active.
What is a insurance premium?
Name one thing you must have to open a bank account.
What is form of ID, SSN, or phone number?
A three-digit number based on your credit reports that helps lenders decide how likely you are to repay a loan, scores range from 300 (poor) to 850 (excellent).
What is a credit score?
Literally free money to the student. Based on needs, NOT merit based.
What is a grant?
The 3 levels of government that collect taxes.
What are local, state, and federal?
A social insurance program consisting of retirement, disability and survivor benefits
What is Social Security?
Four strategies used to track your income and expenses to meet your financial goals.
What is zero based budgeting, 50-30-20 budgeting, envelope budgeting and pay-yourself first budgeting.
Individuals use these four strategies to manage risk.
What is risk avoidance, risk transfer, risk assumption and risk reduction?
Venmo, PayPal, Apple Wallet, Zelle...
What are Peer 2 Peer payment services?
Character, capacity, capital, collateral, and conditions. These five factors are used by lenders to assess a borrower's creditworthiness when deciding whether to approve a loan and on what terms.
What are the "5 C's" of Creditworthiness?
A tax-advantaged savings account designed for college savings. Contributions grow tax-free and can be withdrawn tax-free for qualified education expenses.
What is a 529 or Coverdell Educational Plan?
A tax form issued by a business to employees summarizing the income you received from them during the year. This form has to be supplied by an employer before January 31st of the next year.
What is a W-2?
These plans are designed to provide employees with a reliable means of saving for retirement while enjoying certain tax benefits.
What is a qualified plan? Examples may include an IRA, Roth, 401k, 403b, or defined benefit plan.