Paycheck
A tax on wages or salary.
What is income tax?
The charge associated with borrowing money, typically expressed as a percentage.
What is interest?
A personal budget should account for these two line items.
What are expenses and revenues?
An investment that is a share of ownership in a corporation.
What is a stock?
This is the income received prior to tax and deductions.
What is gross pay?
The full definition of APR.
What is the annual percentage rate? The interest rate charged over a year.
These are expenses that do not change over time.
What are fixed expenses?
An investment that is a loan to a corporation or government.
What is a bond?
This is the income received after tax and deductions.
What is net pay?
The FICO score range.
What is 300-850?
These are expenses such as gas, electricity, or car repairs.
What are variable expenses?
An investment that pools money from many people and uses it to buy shares, bonds, and other investment vehicles.
What is a mutual fund?
The United States federal tax form issued by employers detailing how much an employee was paid last year along with tax and deductions.
What is a W-2?
Something pledged as security for repayment of a loan.
What is collateral?
The equation to calculate the amount you save each month.
What is monthly revenue less monthly expenses?
A type of retirement account that you control. You don't pay tax on your contributions until they are pulled during retirement.
What is a Traditional IRA?
Minimum wage is an example of this economic term.
What is a price floor?
Name any three factors that affect your credit score.
What are
1) Payment history 35%
2) Amounts owed 30%
3) Length of Credit History 15%
4) New Credit 10%
5) Credit Mix 10%?
Name any three steps taken when making a budget.
What are
1) Set financial goals
2) Track revenues/expenses
3) Separate needs vs. wants
4) Trim spending/increase revenue
5) Re-balance as expenses change
6) Save for rainy day/retirement/vacation/car?
This is a type of investment technique that spreads your money across different types of investments, mitigating risk.
What is diversification?