Savings

Question 1

Principal

Answer 1

Amount that you deposit in the bank

Question 2

Term

Answer 2

The length of time that you intend to save for

Question 3

Interest Rate

Answer 3

The percentage income that you will earn for saving

Question 4

Kiwi Saver

Answer 4

A scheme set up by the government to help you save for your old age

Question 5

Miser

Answer 5

A person who is too mean to spend

Question 6

Spendthrift

Answer 6

A person who spends everything that they earn and does not save

Question 7

Risk

Answer 7

The level of danger that your savings face

Question 8

Saving

Answer 8

Putting money or other items aside for future use

Question 9

Why save

Answer 9

For security, income, safety, special purposes, future needs and wants. Need to be able to use examples.

Question 10

Factors affecting the level of saving

Answer 10

Income levels, goals, interest rates, need to help others, tradition/culture, thrift, stage of life, habits

Question 11

How to join kiwi saver

Answer 11

Join up at the bank, they’ll deduct 2%, 4% or 8% from your wage. The govt gives you tax credits as well, your money earns interest and this goes into your kiwi saver account.

Question 12

Who can join kiwi saver

Answer 12

Anyone can, from birth until they are 60 years old.

Question 13

Formula for Interest

Answer 13

Principal x Interest rate x term