giving up something now to achieve something in the future

the money you use on your own wants and needs/ the items you spend money on

the process of setting short and long term goals. making plans to reach those goals while avoiding debt

The money you take in and have to spend or save is

expenses that DON'T change every month such as rent, car payment, cable TV and insurance

expenses such as food, entertainment, and clothing

Jessie is paying his monthly water bill with money from this week's check.

Antonio is buying a "value-pack" of candy to take to the meeting.

goals less than a year

goals more than a year

One of the fundamental rules of money management is goal setting

something a person wants to achieve or acquire (personal or financial)

1. In September, Freddie makes plans to go on a ski trip for the winter break.

1. Carlos, a senior in high school, wants to pay for the textbooks he will need while attending college with money he earns from working.

SMART goals are:

Giving up something of value is called

a business that offers several different types of banking and other types of financial services

a for-profit business organization that sells services which include loans, checking and savings accounts and credit card services

Customers are both businesses and individuals.  Because they offer many services for their customers, they are frequently referred to as full-service institutions.

They are insured by the Federal Deposit Insurance Corporation (FDIC).  Accounts in member banks of the FDIC are insured for at least $250,000.

a for-profit organizations that were originally established in the 1800's to encourage consumers who did not earn large salaries to learn to save some of their money.

Members of these associations can borrow money at interest rates that are sometimes lower than what banks are offering.

Accounts at these associations are insured by the Deposit Insurance Fund (DIF) for at least $250,000.

are not-for-profit organizations that were first established to provide loan services to consumers who could not get loans from banks.

usually started by groups of people who have something in common—such as working for the same company or living in the same community

Accounts in credit unions with membership in the National Credit Union Administration (NCUA) are insured for at least $250,000.

offer investment opportunities to its customers. Frequently, these investments are in stocks and bonds.

provide both financial advice and assistance and are usually used by consumers for long-term investments. Usually these investments are not insured. Quick access to the investor's money may not be available.

often have fees attached to services provided by financial institutions. people go to cash payroll or personal checks.

The fees charged to cash checks are usually higher than a basic checking account at a bank.

payroll checks deposited electronically

services provided are: ATMs, Bonds, Certificate of Deposit, Checking Account, Credit Card, Debit Card, Electronic Banking, Financial Consulting, Investment, Loan, Mortgage, Saving Accounts.

services provided are: ATMs, Certificate of Deposit, Checking Account, Credit Card, Debit Card, Electronic Banking, Financial Consulting, Investment, Loan, Mortgage, Saving Accounts.

services provided are: ATMs, Checking Account, Credit Card, Debit Card, Electronic Banking, Financial Consulting, Investment, Loan, Mortgage, Saving Accounts.

professional who offers advice on financial matters

1: using money to purchase assets

2: loan on a house that uses the house as security

3: shares in a fund that is a collection of stocks and bonds

4: investing money in real estate with the intent of making a profit

5: shares of ownership in a company

provide customers a safe place to keep their money and an easy access to withdraw funds.

This account is usually for people who write only a few checks each month.  If you exceed the number of checks allowed each month there will be a fee for each additional check.  A minimum balance may be required by some banks.  A monthly fee may be charged if you go below the minimum balance. Various basic accounts may charge a monthly fee rather than require a minimum balance.

These accounts pay interest on the balance of your money each month.  There is usually a higher minimum deposit required to open these accounts than needed to open other accounts.  Also, a minimum balance may be required in the account at all times to avoid paying a monthly service fee.  The interest paid on these accounts is very low.  Banks established these accounts to encourage customers to keep larger sums of money in their checking accounts.