22 terms

Budgeting

Terms for Unit 6: Budgeting
STUDY
PLAY
Budget
A plan for making, saving, and spending money.
Salary
A set amount of money paid to an employee for a set period of time worked. You paid the same no matter how many hours you work.
Wage
An amount of money paid to an employee at a specified rate per hour worked. If you work more hours, you will be paid more.
Gross Pay
The total amount of money you earned for your work.
Net Pay
The amount of money you have left, after deductions. Also known as take home pay.
Utilities
Services needed to make a house or apartment functional such as hot water, electricity, phone, etc.
Surplus
Money leftover after you've paid for all of your expenses.
Deficit
A shortage of money because you've spent more than you earned.
Unit Price
The price of a certain unit of an item (per pound, per ounce, etc.).
Premium
A fee paid to an insurance company on a regular basis for coverage
Deductible
A set amount that must be paid by the patient for each benefit period before the insurer will cover additional expenses.
Copayment
A fixed fee paid by the patient for an office visit or prescription.
Affordable Care Act
Congressional act aimed at increasing the rate of health insurance coverage and reducing the overall costs of health care.
Lease
A contract granting use of property during a specified time for a specified payment.
Subsidized loan
A federal student loan on which the government pays the interest while you're in college.
Unsubsidized loan
A federal student loan on which interest begins accruing immediately, even while you're still in school.
Deferment
Temporary postponement of your student loan payments. Interest will NOT accrue on subsidized loans in deferment but will accrue on other types of loans.
Forebearance
Temporary postponement of your student loan payments. Interest accrues on all loans in forbearance.
Discretionary spending
Optional spending on your wants, as opposed to needs.
Insurance
A contract in which the user regularly pays a specific amount for coverage, and the insurance company provides funding when the policy is used. Ex: health insurance, renter's insurance, car insurance, etc.
Federal student loan
Loan granted by the federal government specifically for students to attend post-secondary school. Terms are set universally for all applicants.
Private student loan
Loan granted by a bank or credit union for students to attend post-secondary school. Terms are set on an individual basis.