Financial Management Vocabulary

Vocabulary Matching After reviewing the quizlet flashcards complete the vocabulary matching. Income The amount of money brought in from working. Budget A statement of an estimated income and expenses; spending plan Financial Goal Something you would like to achieve financially. Can be a short or long period of time, usually will be achieved by accomplishing small steps. Wants A wish or desire for something. Need Something necessary to survive. Fixed Expenses Bills that come back on a regular basis. Ex: Rent, cell phone bill. Flexible Expenses misc. spending. Can be adjusted if needed. Ex: Entertainment, clothing Periodic Expenses Money spent on a less frequent basis but are reoccurring throughout the year. Ex: Haircut, gifts Checking Account a bank account in which you can draw money by check or debit card. Debit Card electronically withdraw money directly from a person's checking account; considered the same as cash. There must be a balance in the account in order to use the card. Credit Card buy now and pay later. Unpaid balances get rolled over each month and extra fees called finance charges are added. Credit Rating A report of how you pay back your creditors and how much debt you possess. A bad credit rating will make it difficult to get an apartment or loans for a car or home. Do not take on the responsibility of credit card payments or loans until you are fully prepared to pay what you owe.