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vocab 7
| Question | Answer |
|---|---|
| 401(k) | retirement savings investment with deferred taxes until the money is withdrawn |
| 529 plan | an educational investment account designed to help you prepay tuition or save for education. |
| Budget | a spending and saving plan. |
| Certificate of deposit | short or long term, interest bearing investments offered by banking institutions. |
| 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 your checking account deposits and withdrawals |
| Compounding interest | interest that is calculated on the balance, additional deposits, and interest earned. |
| Credit card debt | the amount you owe on credit cards that you cannot pay. |
| Debit card | cards that allow for immediate deductions from a checking account |
| FDIC | see federal deposit insurance Corporation |
| Financial plan | budgeting goals, 159 |
| Mixed expense | 159 |
| Income | 340, indeed 237 |
| Insurance | 163 |
| 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 amount each month |
| Wants | something you desire, demand, or would like to have. |