Financial Literacy Review 1

the federal Reserve System (Fed) is the central banking system of the United States

Housing costs, transportation expenses, food utilities (not education)

a check that has not cleared and Is not on statement

buying and selling of goods and services, over an electronic network, primarily the internet

person who uses goods and services

Insures credit unions

an arrangement between a person and a company to protect against risk for a fee

The value of what is given up when a person chooses one option over another

A goal intended to assure financial security in the present and the future.

How much benefits outweigh the costs

social science study of how people use their resources in satisfaction of their limitless wants

occupational Goal, Human Capital, Skill Development

are personal and based on a person’s beliefs, they also influence spending habits

unbiased opinion when looking to buy and item

doesn’t change over time (Car payment, mortgage payment, insurance)

sharing info among its member institutions to help them assess the risk of opening new accounts

When there are insufficient funds in an account, the bank will refuse to honor a check.

(Specific, Measurable, Attainable, Realistic, Timely)

covers a portion of medical expenses due to illness and disease

Is used to calculate Expected Family Contributions (EFC)

The essentials or basics of life

Protects against loss form theft, liability, but does not cover natural disasters

income after Taxes (take Home Pay)

Define Problem, Brainstorm Solutions Consider Consequences, Make Decision, & Evaluate Decision

refers to the maximum dollar amount that a health insurance company agrees to pay

more than 1 year (graduate, own a home, career)

because of limited resources, we cannot possibly produce all the goods and services needed

Tax form you fill out to determine the amount of taxes taken out of your paycheck

verification form for legal work (social security card, driver’s license)

hold for more than a year (stocks, bonds, real estate)

best to use when saving money for a major purchase (more money = higher interest)

Federal, State, Social Security & Medicare (FICA)

Goals, Take Home Pay, how to Handle Money, Determine Expenses, Made Adjustments, Use Budget

income before Taxes

Protects people who depend on another person financially in case of death

investment scams that prey upon members of identified groups

Comparing your check register to your bank statement

how much something costs

used to fund government programs and some public goods and services

a consumer banking technology where you are paid or paying someone electronically

a measurement of an investment’s worth

owning shares of a company or investing in a company, may be bought or sold, high risk

the bank’s record of all transactions for your account over a certain period of time

one makes commission off of getting others to sell

The largest total amount the insurance company will pay for covered losses

Acquiring and using someone’s else’s personal identification

Items, activities, or services that increase the quality of life

Less than 1 year (grades, save money for small item)

withdrawal or payment that was greater than the amount in the account

Premiums are paid throughout life and policy pays a stated sum at death to the beneficiary

Money the bank pays you for keeping your money there

amount you must pay before the insurance company pays

Insures banks

Changes constantly (Food, clothing, entertainment)

Sell within a year (some stocks)

looking at different brands and models for the same item in various store to compare

Wages, Investments, Self-Employment

estimate of a person’s eligibility for federal student aid

Federal Insurance Contribution Act

Someone you designate to receive benefits if you die

brief written account of personal, educational, and professional qualifications and experiences

Monthly income and federal health insurance for retired workers and the disabled

attempt to acquire personal information through email, bogus waste, pop up ads, etc.

A policy for a specified period of time:

request for payment comes to your account & the money is not there, the bank will pay for a fee

lists your earnings for the previous year and all withholding's.

a record of all transactions for your checking account

Develop, organize and manage a business venture along with any of its risks in to make a profit

Protect against deceptive sales, aggressive bill collectors, and deceptive marketing techniques

Provides protection against physical damage or bodily injury resulting from traffic collisions

Scholarships, loans, work-study, Pell grants

itemized forecast of income and expenses expected for some period in the future

monthly payment for coverage

used for daily expenses, rainy day or emergency fund

insurance, Leave, Retirement, Tuition Reimbursement

offer income payments for injuries, illnesses when the condition makes employment impossible

money withdrawn from checks or debit card