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WHS Finance Unit 1

Personal Finance

TermDefinition
Financial goals Specific objectives that are accomplished through financial planning
Financial planning Managing money continuously through life in order to reach your financial goals
Financial well‐being Managing money in ways that build a sense of understanding, competence, and control
Well‐being Feeling good about one’s life
Needs Goods or services that are required for survival
Opportunity cost The value of the next best alternative that must be forgone as a result of a decision
Trade‐off Giving up one thing for another
Value A fundamental belief or practice about what is desirable, worthwhile, and important to an individual
Want The desire for goods and services that can increase our quality of life but are not absolutely necessary for our survival
Goal Something a person intends to acquire, achieve, or accomplish in the future
Long‐term goals A goal that will be attained in more than one year
Short‐term goals A goal that will be attained in less than one year
Created by: VNelsonWHS
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