Personal Finance Quiz - Savings & Financial Literacy

Which of the following best demonstrates a SMART financial goal?

• I want to be wealthy someday

• I want to save money for retirement

• I'm going to stop spending money on unnecessary things

• I want to save $5,000 in 12 months by setting aside $417 monthly

Which of the following best demonstrates the difference between a need and a want?

• A rent payment versus a designer handbag

• A smartphone versus a laptop

• Netflix versus Disney+

• A used car versus a new car

What is the most significant difference between a savings account and a checking account?

• Only checking accounts allow you to withdraw money

• Savings accounts typically earn interest while checking accounts are designed for frequent transactions

• Checking accounts are more secure than savings accounts

• Only savings accounts are insured by the government

What is the primary advantage of a TFSA (Tax-Free Savings Account) over other savings methods?

• Its a high risk investment

• It allows you to save money tax-free throughout your lifetime

• It provides RESP access

• It automatically invests in stocks

Aliya receives $1000 and wants to save it. Which factor should MOST influence her choice between a GIC and a regular savings account?

• Which bank is closest to their home

• Whether they might need quick access to the money

• Which option their parents use

• The bank's reputation

What is the most accurate description of budgeting's primary purpose?

• Simply tracking how much money you spend each month

• Creating a plan to have more spending money

• Tracking both income and expenses while aligning them with financial goals

• Keeping all receipts in an organized manner

Which scenario best demonstrates a financial pitfall discussed in the presentation?

• Setting up an automatic savings deposit each month

• Following financial advice from social media "fin-fluencers" without research

• Creating a monthly budget spreadsheet

• Tracking expenses through online banking

A budget should include your personal income and expenses (a)  

• True

• False

What is income tax?

• A fee for using public services

• Money paid to the government based on earnings

• A bonus given to employees

• A penalty for overspending

Which of the following is NOT funded by income tax?

• Schools

• Roads

• Video games

• Hospitals