1. General Money Management/Personal Savings & Investment
ELEMENT 45 & 46
PG: 211

2. Objectives: Budgeting and debt management
Define savings and investments
Four common types of investments

3. What is a budget? Why budget?
A budget is a written record of the money that flows in and out of your household every month.
Why budget?
Budgeting is the first step on the road to financial success. Controlling your day to day finances allows you to do the things you want to do.

4. Have you heard of the 50/30/20 rule?

5. Savings:
Setting aside money for emergencies or for a future purchase

6. Investment:
Buying assets with the expectation that your investment will make money for you

7. The four most common types of investments:
Bonds
Certificate of Deposits (CD)
Stocks
Mutual Funds

8. Bonds:
The most inexpensive type of investment is a bond, in particular, the U.S. Savings Bond.

9. Certificate of Deposits “CDs”:
A certificate issued by a bank to a person depositing money for a specified length of time at a specified rate of interest

10. Stocks:
A share which entitles the holder to a fixed dividend, whose payment takes priority over that of ordinary share dividends

11. Mutual Funds:
A professionally managed investment fund that pools money from many investors to purchase securities

12. Resources... Command Financial Specialist Fleet and Family

13. Questions???