Personal Finance Vocabulary Flashcards
(16 cards)
Gross income
compensation for services, including fringe benefits and commissions
Net income
the balance of gross income remaining after all allowable deductions and exemptions are taken
Minimum wage
the lowest wage paid or permitted to be paid
Overtime
working time in excess of a standard day or week
ATM/Debit Card
a card like a credit card by which money may be withdrawn or the cost of purchases paid directly from the holder’s bank account without the payment of interest
Credit/Credit Card
a card authorizing purchases on credit
Credit Limit
the most money that a bank or business will allow a person to borrow
Credit Rating
a score or grade that a company or organization gives to a possible borrower and that indicates how likely the borrower is to repay a loan
Account Balance
How much money you have in an account or how much money you own whether that’s a bank account or credit card account
Principal
To keep these words straight, remember that principle functions only as a noun, and in its most common uses refers to a basic rule or law, as in
Interest
a legal right to participation in the advantages, profits, and responsibility of something
Debt
a state of being under obligation to pay or repay someone or something in return for something receive
Checking Account
bank account against which the depositor can draw checks
Savings Account
interest is usually paid and from which withdrawals can be made usually only by presentation of a passbook or by written authorization on a prescribed form
401(k)
a retirement account to which employee and employer contribute, on which taxes are deferred until withdrawal, and for which the employee usually selects the types of investments
Mortgage
Rather than mortgaging the farm system for a name like Cease or Castillo, acquiring Fedde would be safer, albeit a much lower reward, for Cleveland.
