| A | B |
|---|
| financial planning | process of tracking and anticipating income and expenditures |
| financial goal | specific aim to be accomplished with the use of financial planning |
| continual | ongoing, without end |
| cyclical | occurring in a cycle, with steps repeated in sequence over and over |
| wealth | having a large amount of money or property |
| living within one's means | Being able to pay all expenses with available income |
| financial statment | document or tool that shows personal financial information/data |
| balance sheet | financial statement that shows assets, liabilities and net worth of an individual or family on a set date |
| asset | anything with monetary value a person owns |
| liability | anything that is owed to someone else; a debt |
| net worth | amount of money remaining with total liabilities are subtracted from total assets |
| income and expense statement | aka income statement; financial statement that shows all income and expenses of an individual or family during a specific time period, usually a month or year |
| cash flow | income and expenses of an individual or family during a time period |
| income | total earnings received |
| expense | any expenditure; anything that cost money |
| net gain | Amount of money one has after subtracting expenses from income |
| net loss | Amount of additional money needed when expenses are greater than income |
| spending plan | financial statment used to plan income and expenses for a future time period; aka budget or financial plan |
