Personal Finance Chapter One Savings Flashcards
(30 cards)
What percent of consumers live paycheck to paycheck
70%
The United States has a ______% savings rate
-.6%
What percent of Americans save regularly
41%
How many Americans live on less than $46,326 a year
Half
___% of teens agree “it’s important to me to have a lot of money”
81
Only ___% of teens say that they know how to invest money to make it grow
22%
____% of teens have some money saved, with an average of $1,044
84
____ in ____ (24%) of teens agree that since they are young, saving money isn’t that important
1 in 4
______ must become a priority. Always pay _______ first
Savings
Yourself
Saving money is about ______ & ________
Emotion
Contentment
Money is
Amoral
Three basic reasons why you should save money
- Emergency fund
- Purchases
- Wealth building
_______ are going to happen. Count on it
Emergencies
A great place to keep your emergency fund is in a ______ _______ account from a mutual fund company
Money market
Your emergency fun is not an _____ it is ______
Investment
Insurance
Do not touch your emergency fund for….
Purchases
What is your first savings priority
The emergency fun
The second thing you save money for is _____
Purchases
Instead of borrowing to purchase, pay cash using the ______ _____ approach
Sinking fund
Define sinking fund approach
Save until you can pay for it in cash, this avoids interest/debt
The third thing you save money for is…..
Wealth building
______ is a key ingredient when it comes to wealth building
Discipline
Building wealth is a _____ not a sprint
Marathon
What does PAC stand for
Pre-authorized checking
