Money Management Guide
By: Kymber Roberts
Credit Union - Credit Unions are not-for-profit and have membership qualifications. They do offer services but not as much as the commercial banks and are not as big as commercial banks. One good thing is they are often able to to pay higher interest rates and charge lower fees. Depending on the person this could be very convenient and are important so they should be considered when thinking about depository institutions.
How taxpayers pay taxes- I feel that this is important because if you have this knowledge then you know all of your different options and you can pick the one that is best for you. Some different ways are income tax, payroll tax, property tax, sales tax, and excise tax. All of these are very important to know so you can mange your money well and have a higher well-being.
The Statement of Financial Position
Liabilities - These are important because if you don't have them then you will not find out your financial position. Liabilities are a debt or obligation owed to others. Loans and the balance on your credit card play a major role in this concept.
The Income and Expense Statement
Saving and Investing- Saving and investing includes and portion of income that is saved of invested for future use. Also retirement investments may be deducted directly from a pay check. This is important to know because if you save and invest your money you will have some saved up so if something happens and you go through a tough time you will have that money you saved to get back on your feet.
The Spending Plan
What it is- A spending plan is an income and expense statement sometimes referred to as a budget which records both planned and actual income and expenses over a period of time. It is important to know because before you can begin to understand and know all that a spending plan has to offer. You have to have a base to go off of.