Budgeting Basics
What does the “50” stand for in the 50/30/20 rule?
Needs
What does APR stand for?
Annual Percentage Rate
What type of pay is your take-home pay after deductions?
Net Pay
Who is responsible for repairs in a rental property?
The landlord
What does “PTO” stand for in the workplace?
Paid Time Off
What’s another name for money you set aside for emergencies?
Emergency fund
Which type of loan is used for buying a home?
Mortgage
What’s the most common type of retirement savings plan offered by employers?
401(k)
What is the upfront payment renters usually pay before moving in?
Security deposit
What’s the name of the official document you submit when applying for a job?
Résumé
What type of expense stays the same each month (rent, car payment)?
Fixed expense
What happens to your credit if you miss payments?
Credit score decreases
What’s one benefit often included with full-time jobs?
Health insurance, retirement plan, or paid time off, etc
What is the legal contract between a renter and a landlord called?
Lease
Personal skills like communication and teamwork are known as _________ skills.
Soft
What is it called when you spend more money than you earn?
Deficit
What is the minimum credit score typically needed for a mortgage loan?
600-650
What is it called when an employer adds money to your retirement savings?
Employer match
What’s the term for the value you own in a home?
Equity
What number is usually needed to file taxes each year?
Social Security Number
What is the first step in creating a budget?
Tracking income and expenses.
What is the maximum you should use of your credit limit to maintain a good score?
30%
What does FICA pay for?
Social Security and Medicare.
What is the person who rents a home called?
Tenant
What is the document you fill out to start a new job that tells your employer how much tax to withhold?
W-4 Form