financial decisions, and goals Flashcards
goods or services that are required for survival
needs
the value of the next best alternative that must be forgone as a result of a decision
opportunity cost
giving up one thing for another
trade-off
a fundamental belief or practice abt what is desirable, worthwhile, and important to an individual
valie
the desire for goods and services that can increase our quality of life but are not absolutely necessary for our survival
want
feeling good abt one’s life
well-being
taking care of your body
physical well-being
gaining and using knowledge
intellectual well-being
having a network of friends and family
social well-being
how you feel
emotional well-being
your financial outlook
financial well-beint
specific objectives that are accomplished through financial planning
financial goals
managing money to continuously through life in order to reach your financial goals
financial planning
something a person intends to acquire, achieve, or accomplish in the future
goal
a goal that will be attained in more than one year
long-term goal
a goal that will be attained in less than one year
short-term goal
state exactly what is to be done with the money involved
specific in SMART goals
write the exact dollar amount
measurable in SMART GOALS
create a step-by-step plan outlining exactly how the goal can be reached
attainable in SMART goals
think through the trade-offs and opportunity cost to analyze the consequences of your goal to make sure it isn’t unattainable
realistic in SMART goals
specifically state when the goal will be reached
time bound in SMART goals
