Financial Literature Terms

amount you can subtract from the taxes you owe, if you are eligible

usually a two-year school offering both academic & occupational courses

physical & mental skills developed through learning, training, and practice

wage and tax statement, it is usually mailed to your home and states the amount you were paid during the previous year and the amount of taxes that were withheld

outline of jobs in a given career field that have different levels

benefit that reduces the amount of income that is taxed

an outline of steps or action you can take to reach a career goal

nonmenetary compensation received in addition to a wage or salary

payment for work and is usually computed on an hourly, daily, or piecework basis

wage based on a rate per unit of work completed

prepares you for a specific type of work, is available through a variety of schools and programs in addition to online offerings

payment and benefits received for work performed

governement payment or benefit promised by law to eligible citizens

expense that can be subtracted from taxable income

combining of on-the-job training, work experience, and classroom instruction

federal program that provides income when earnings are reduced or stopped because of retirement, serious illness or injury, or death

federal program that pays for certain health care expenses for older citizens and others with disabilities

government program that pays certain health care costs for eligible low income individuals and families

employee's witholding allowance certificate, it tells your employer how much to withhold from your paychecks as payroll deductions

money paid for service beyond what is required

natural physical and mental talents

the process of setting up and maintaining an organized system for your financial affairs

the concept that you do not spend more than you can afford

the understanding of the basic knowledge and skills needed to manage financial resources

taking an active role in preparing for your present and your future through smart money decisions

when expenses exceed income

the amount by which income exceeds expenses

difference between planned spending and actual spending

deductions from earnings

a spending plan of expected income and expenses over a period of time

5 steps in the decision making process

Explain: Pay Yourself First

SMART:

Chief advantage of a budget:

Fixed expenses include:

NSF Fee

Overdraft fee

a process of comparing the bank statement balance to the check register to update the records a tthe end of a moth

an endorsement that includes only the name of the individual whom the check was written to

"for deposits only by" on endorsement

an endorsement with "pay to the order of"

the least amount of money your bank requires to be maintained to avoid fees

the monthly fee charged by banks to keep your account up to date

both signatures required on check

either signature on check