Financial Literacy Vocabulary 1

A systematic plan for the spending of a usually fixed resource, such as money or time, during a given period.

• direct deposit

• savings account

• budget

• gross amount

A formal banking relationship established to provide for depositing or withdrawing money.

• direct deposit

• bank account

• interest

• withholding tax

Bank account used for payments via debit card, electronic withdrawal (ex. Zelle or Venmo), or written checks.

• savings account

• income

• gross amount

• checking account

A plastic card from a bank or other institution authorizing the purchase of goods on credit.

• income

• credit card

• tax return

• bank account

An agreement between a company and a bank which allows an employee’s paycheck to be deposited directly into his or her bank account.

• bank account

• credit card

• withholding tax

• direct deposit

Total income or profit before deductions.

• interest

• gross amount

• budget

• bank account

Amount left over after all deductions are taken out.

• savings account

• net amount

• income

• checking account

The amount of money or its equivalent received during a period of time in exchange for labor or services.

• savings account

• direct deposit

• income

• budget

Money earned on savings/investments OR money paid for the use of borrowing funds.

• savings account

• direct deposit

• interest

• withholding tax

A bank account used to save money over a period of time that earns interest.

• checking account

• direct deposit

• savings account

• bank account