Investing

• Stocks - is an investment that represents a company

• Shares - a piece of the stock (company)

• Mutual Funds - Professionally managed investment that uses money from investors to invest in stocks/bonds.

• Diversification - spreading out your investments so that you can be financially stable.

Credit Cards

• Principal - The total amount of money that is owed.

• Interest Rate - A percentage of money that is paid for borrowing someone else's money. Also known as the APR.

• Debt - Owing someone money. Something that is owed or must be paid back.

• Minimum Payment - The lowest or smallest possible amount. Paying the least amount of money.

• Credit - Being trusted to borrow money to buy something and pay it back later.

Taxes

• 1040EZ - No Dependents/salary less than 100k

• 1040A - Dependents/salary is less than 100k

• 1040 - Dependents/salary is greater than 100k

• Child Tax Credit - $ per child

• Earned Income Tax Credit - $ for low income earners

• Itemized Deductions - reduces tax bill

• Dependents - people you can claim on taxes