Checking/Savings

The percentage rate that is used when calculating the interest (money) paid on a savings, money market, or investment account.

• Rule of 72
• Interest rate
• Simple Interest
• Rate of Return

Money paid to you by a financial institution when you deposit funds there.

• Allowance
• Income
• Interest
• Tips

Act of purchasing assets (stocks, bonds, property) with expectation that they will increase in value over time.

• Withdrawing
• Depositing
• Time Value of Money
• Investing

Retirement account that allows investors to make tax-deductible contributions. Individuals are responsible for setting up and managing the account.

• 401K
• IRA
• 403B
• Social Security

A type of bank account where the bank invests the money in government and corporate securities in order to pay a higher interest rate than a regular savings account. You typically have to have a large minimum balance in order to have such an account.

• Savings Account
• Money market account
• Checking Account
• CD

A plan in which an employer guarantees a certain sum of money to the employee based on the number of years of service upon retirement.

• 401K
• Defined Contribution Plan
• Pension
• IRA

Refers to the likelihood that an investment will decrease in value.

• Chance
• Gamble
• Stake
• Risk

An account you set up at a depository institution where you put funds for future use.

• Checking Account
• Christmas Fund
• Vacation Fund
• Savings account

A quick way to estimate the amount of time it will take for your money to double when placed in a savings account at a given interest rate. 72 divided by interest rate.

• Rule of 27
• Rule of Doubles
• 20/10 Rule
• Rule of 72

The phrase "Not putting all your eggs in one basket" means to

• invest in the same stock.
• invest in dairy stock
• invest in livestock
• invest in different types of stock.