Income after taxes
A plan on how to save and spend your money
Loan on a house or real estate property
kinds of spending that can be controlled and typically change from month to month.
Income that is left over after taxes AND aconsumer's necessary expenses
expenses which stay basically the same from month to month, such as housing and transportation.
When you pay off your smallest debt first and then use that money to pay off your 2nd biggest debt and then...
a savings account you can access quickly to pay for unexpected expenses or emergencies
A place where customers lend personal property in exchange for money
A high-cost, short-term loan that uses the borrower's automobile as collateral.
the most common financial institution used by consumers
the total value of everything someone owns, minus the debts
A budget that accounts for every dollar earned. The amount coming in matches the amount going out or saved.
A persons wealth in money
Rate, amount, and time
The factors that affect the growth of an investment
functions of money
Medium of exchange, store of value, measure of value are all...______________
The price of money on a loan or the money earned on an investment
a card used to withdraw money from a checking account
ability to converted an asset into cash quickly and at a low cost
When someone has insufficient funds to cover the full amount of the check they wrote
interest paid on the principal alone
Rule of 72
A mathematical equation that can be used to show how long it will take to double your money in an investment given the interest rate
Individual Retirement Arrangement (account)
What IRA stands for
A contribution plan that automatically takes out money from an employee's paycheck before income taxes and invests it in mutual funds for purposes of retirement savings (this is the most common kind)
Money your employer adds to your retirement savings account, such as a 401(k)...usually as a % of your gross income.
Start early, Buy and Hold, Diversify
the three rule of investing
anything of value that is owned
anything that you do not fully own (debt)
Interest paid on the principal and on interest earned previously
Most interest rates on loans are primarily based off this "R" word
pay off debts progressively, starting with the highest INTEREST RATE first
Ramsey's 7 steps to financial peace
1. $1000 in an emergency fund 2. Pay of debt (snowball) 3. 3-6 months of savings 4. 15% of income toward retirement in a ROTH 5. College funding 6. Pay off home early 7. Build Wealth and give back
the original amount of a debt on which interest is calculated OR the amount of money that is put into an investment