Vocabulary Week 2 Flashcards
(25 cards)
Money Order
a form of guaranteed payment that is considered to be secure; generally are obtained outside of a bank such as the post office, Walmart, and other stores
Net Pay
the money that actually goes into the bank account from your paycheck
Paycheck
the method of payment from earnings due to employment
Paycheck stub/ earnings statement
a record showing proof of paycheck including: Gross Wages, FICA, and Medicare which are required deductions along with optional deductions and Net pay
Profit
sales revenue minus all expenses. This is the amount that a business actually gets to put in their account. This is the taxable income
Purchasing Power
the maximum ability to stretch the amount of money a consumer has. For instance, purchasing power is lowered in a fixed income senior citizen’s situation
Rental Income
the amount of revenue received through having rental properties
FICA
another term for Social Security and is a required deduction on a pay stub
Social Security
This means FICA and is a required deduction on a paystub
State Taxes
taxes that are due to the state that the consumer lives in and taxes generally used to pay for state items such as education or public roads
Store Card
generally a credit or debit card that can be used in a store. In terms of Econ Lingo, most use this to reference credit cards owned by the store
Store Cash Card
a debit card that is used and owned by a store
Supply and Demand
the idea that there should be an equilibrium supply and demand; this is where the economy and businesses are most healthy
Supply and Demand (my definition)
the idea that there should be an equilibrium between what consumers need and the ability of companies to supply that need
Tax Refund
means that there was an overpayment of taxes so the government has to pay the consumer the difference
U.S Treasury Department
this federal government agency is responsible for keeping up the value currency and hold its value along with the monetary fiscal policy
Mobility
the ability to be able to receive promotions/ climb up the career ladder
Windfall Income
a large amount of money received at one time (i.e. lottery, inheritance, gambling)
Wages
amount earned through employment; underground does not count
Balanced Budget
making sure that your expenses on your budget match the expenses that actually happened throughout the month
Budget
shows your expenses, your income, and breaks down the spending allowance per month
Deficit
usually used to refer to constantly overspending compared to what you make
Discretionary Income
any money left over after all monthly expenses are paid that can be used for savings or other items
Emergency Fund
usually 3 - 6 months of savings that a consumer has in case something bad happens. Examples are health issues, losing a job, or in case of a divorce
