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long vocabe 8
| Term | Definition |
|---|---|
| 401(k) | retirement savings investment with deferred taxes until the money is withdrawn later |
| 529 plane | an educational investment account designed to help you prepay tuition or save for education |
| Budget | a spending and savings plan |
| Certificate of deposit | short- or long-term interest bearing investments offered by banking intuition |
| Check | a written order to the bank to take money from your account to pay a person or business |
| Checking account | a service provided by banking institutions to allow you to deposit and withdraw money |
| Checkbook register | space to track you checking account deposits and withdrawals |
| Compounding interest | interest that is calculated on the balance,additional deposits,and interest earned |
| Credit card | debit the amount you on credit card that you can not pay |
| Debit card | cards that allow for immediate deductions from a checking account. |
| FDIC- | federal insurance designed to protect your money |
| financial plan | a blueprint containing your personal goals, timeline for reaching your goals and an understanding of how to save to reach your goals |
| Income | the amount of money you earn |
| Insurance | coverage you can purchase to provide reimbursement or replacement incase of loss |
| Investment | putting money into something with an expectation of a financial gain |
| IRA- | overall term for a retirement plan with tax advantages |
| Needs | something that is necessary for you to live your life |
| Online banking | option for paying your bills over the internet |
| Savings account | a bank account on which you earn compounding interest |
| Stocks | shares in a company |
| Tax shelter | investments designed to reduce the amount of your taxable income |
| Variable expenses | expenses that may be different each month |
| Wants | something you desire, demand, or would like to have. |