KW Personal Finance

financial plan

A formalized report that summarizes your current financial situation, analyzes your financial needs, and recommends future financial activities.

Bankruptcy

A legal process to get out of debt when you can no longer make all your required payments

Lifestyle forces

Factors that influence how a person chooses to live such as marriage and career choice. Some factors may be outside an individuals control such as age and economic conditions.

Retirement savings

Money employees set aside or invest for future income, starting now

budget

PYF, an estimate of income and expenses, saving/investing for a set period of time. (monthly)

SMART goals

Specific, Measurable, Attainable, Realistic, Timely

financial health

a description of the state of your overall financial situation

Goal setting

are significantly impacted by your stage in the financial life cycle and other external lifestyle forces

Liabilities

debts that you owe

Financial Goals

handling your money as you move forward for how you will begin achieving your personal goals

Culture

heritage, way of life, way of thinking of a specific group of people.

A budget sheet

is easily customized so that it makes the most sense for each individual.

Control over your money

know how to use a net worth statement and a budget sheet properly.

Assets

money and other valuables belonging to an individual or business

net worth

total assets minus total liabilities