Financial Literacy Part 2

True or False: A Bond is a contractual obligation with an issuer that requires them to pay back, otherwise, they are legally in default.

• True

• False

Which of the following IS a benefit to saving money?

• A. You can only afford small purchases.

• B. You have short-term financial security.

• C. Weaker financial relationships.

• D. More Career Freedom.

Which of the following is not a type of loan? A. Student Loans B. Mortgage. C. Auto Loan. D. All of the above.

• A. Student Loans

• B. Mortgage.

• C. Auto Loan.

• D. All of the above.

True or False: High Yield Savings Accounts typically have a lower interest rate than regular savings account.

• True

• False

What is one reason you should save for retirement early?

• Financial Freedom

• Increased Stress

What is a 401K?

• It is a retirement plan not sponsored by an employer.

• A retirement savings plan sponsored by an employer.

What is ROTH IRA?

• Contributions are made after tax dollars and the interest is tax free.

• A smart solution to increase your tax-deferred retirement savings.

What is Traditional IRA?

• Contributions are made after tax dollars and the interest is tax free.

• A smart solution to increase your tax-deferred retirement savings.

Is the ability to spend wisely VERY important to learn at a young age?

• YES!!!!!!

• ABSOLUTELY NOT!!!

What is financial literacy?

• A principle primarily revolves around the ability to budget spending in advance and track your expenses.

• A principle that primarily revolves around the ability to spend your money and not worry about saving for the future.