Personal Finance Vocabulary

Vocabulary flashcards related to personal finance concepts and terms.

Wage

An amount of money paid to an employee at a specific rate per hour worked.

Finance

The management of money.

Budget

An estimate of money in vs. money out in a specific period of time.

Debit Card

Used to pay money from one’s own account.

Credit Card

Used to borrow money from a bank.

Checking

Money kept in a bank account to be used for everyday purchases.

Savings

Money kept in a bank account to be used for big purchases.

Stipend

A fixed sum of money for a job (like an allowance).

Salary

A fixed regular payment, usually paid once a month or once every two weeks, that adds up to an annual sum.

Opportunity Cost

What could be lost when you make one choice over another.

Unit Price

Cost per single unit (like pound or ounce).

Fixed Expense

Something that costs the same no matter how much you use it

Variable Expense

Something that costs different every week or every month depending on how much you use it

Income

Money received for work on a regular basis.