Financial Literacy Vocabulary

Income (usually a job)

• wages

• mortgage

• principal

• assets

Your pay after deductions are taken out

• net pay

• interest

• fixed expenses

• variable expenses

Items with monetary value

• wages

• mortgage

• gross pay

• assets

Your pay before deductions are taken out

• liabilities

• assets

• Gross pay

• net worth

The initial amount of money borrowed or saved

• interest

• variable expenses

• principal

• assets

Payments that happen on a regular basis and are always the same amount

• fixed expenses

• interest

• gross pay

• wages

Money a person owes (debts)

• liabilities

• assets

• principal

• wages

The difference in assets and liabilities

• liabilities

• gross pay

• fixed expenses

• net worth

The amount owed for a property or house

• gross pay

• fixed expenses

• mortgage

• variable expenses

Amount earned by saving money or amount charged on borrowing

• principal

• net pay

• interest

• net worth