5.1 Savings Plans Quizizz Lesson

5.1 Savings Plans Quizizz Lesson

Open Ended

Why is it important to create a savings plan for your future?

Multiple Choice

A strategy for using money to reach important goals and to advance a person’s financial security is a(n)

______________________.

• savings goal

• savings plan

• investment

Multiple Choice

Financial security is the ability to meet essential needs without having to take on more debt that can be repaid.

• True

• False

Multiple Choice

A payroll savings plan (PSP) is another application of which strategy?

• compounding interest

• pay yourself first

Multiple Choice

A payroll savings plan (PSP) is another application of which strategy?

• compounding interest

• pay yourself first

Multiple Choice

How long should the money in your emergency fund cover?

• one year

• eight to ten months

• six months

• three months

Multiple Choice

A SMART goal should be _____.

• successful

• mission-specific

• achievable

• temporary

Multiple Choice

Why have a savings account?

• To be able to spend money easily

• To accumulate money for future use

• To borrow money from the bank

Multiple Choice

The ___________________ is the rate of yearly earnings from an account.

• interest

• annual percentage yield (APY)

• debt proportion

Multiple Choice

A(n) ________________ savings account pays interest and allows for regular deposits

and withdrawals.

• interest-bearing

• passbook

• checking

Multiple Choice

Which of the following items is not characteristic of a passbook savings account?

• unlimited withdrawals

• few fees

• requires a high minimum balance

• low interest rate

Multiple Choice

Which savings product requires a person to commit his or her money for the longest period of time?

• interest-bearing savings account

• high-yield savings account

• passbook savings account

• certificate of deposit (CD)

Multiple Choice

Which of the following strategies will help make your savings grow?

• Pay yourself only with discretionary money after all bills are paid.

• Make savings a regular part of your budget.

• Make frequent withdrawals.

• Choose accounts with low interest rates.