GLOSSARY

advertisement
GLOSSARY
Actual Budget
Final actual dollar amount spent in each budget category
Beneficiary
A person that receives the benefits of something
Budget
A plan on how to spend your money
Budget Guidelines
Used to record the minimum and maximum spending for
each budget category
Challenge Card
A card which describes an unexpected expense that has
occurred
Compound Interest
Interest paid on both the principal and the accrued interest
Cooperative Learning
Method of learning which allows students to work together
in small groups
Credit
The amount of financial trust extended to a person by a
lender. It is a loan
Credit Card
A card with which one can buy things now and pay for them
later
Debit Card
A card which looks like a credit card but money for
purchases is withdrawn from the holders bank account
at the time of sale
EBT
The Electronic Benefits Transfer Card is an electronic
method for distributing federal Food Stamp Program benefits
which replaced paper food stamps
FICA
Federal Insurance Contribution Act is a US payroll tax used
to fund Social Security and Medicare , federal programs that
provide benefits for retirees, the disabled, and children of
deceased workers
Financial Institution
Facilitate the flow of money through the economy by holding
cash reserves, investing and making loans
Fixed Expenses
Expenses for which you pay a fixed monthly amount
Death Benefit
The amount of money paid by an insurer to a beneficiary
after a death occurs
Gross Annual Income (GAI)
The total amount of income that one earns in a year before
deductions
Gross Monthly Income (GMI)
The total amount of income that one earns in a month before
deductions
Insurance
A contract by which someone guarantees for a fee to pay
someone else for the value of property if it is lost, stolen or
damaged or to pay a specific amount for injury or death
Interest
A charge for borrowed money that is generally a percentage
of the amount borrowed
Life Situation Card
Life scenario given to you indicating your income, occupation,
marital status, number of children and ages and other
information necessary to begin your budget
Liquidity
Easily turned into cash
Medicare
A program which provides medical care for the elderly
Mortgage
A temporary and conditional pledge of property to creditor as
security for payment of a debt
Net Annual Income (NAI)
An amount of earned income that one has to spend in a year
after deductions.
Net Monthly Income (NMI)
An amount of earned income that one has to spend in a month
after deductions
Occupation
An activity that serves as one’s regular source of livelihood or
income
Opportunity Card
A card which describes unexpected extra income that may be
added to your NMI
Opportunity Cost
What you give up in order to get what you want
Premium
A specific amount of money charged by the insurance
company for coverage
PYF
“Plan Your Future” by saving and investing
Stock Tables
Daily charts which keep investors up to date on the activity
of the investment markets
Stock
Parts or shares of a company that can be bought or sold
Transportation Fixed Expenses
Fixed automotive expenses which may include monthly
payment and insurance costs for a car
Tax
A charge of money imposed by the government for support of
the government and/or services that you could not afford
individually
Tax Deferred
Delay of tax payment until a future date
Transportation Variable
Expenses
Variable automotive expenses including fuel, oil and
maintenance
Utilities
Water, Garbage/Sewer/Recycling, and Electricity
Variable Expenses
Expenses which monthly payments vary depending on
usage
Download