Finance and Common Terms

Here are some common terms I may use when writing in case you didn’t know them already.

Cash Flow – the total money moving into, and out of, your account(s)

Credit Report – a record of your personal history managing and paying debt, including loans, credit cards, bills, and more

Fixed Expenses – expenses that generally remain the same in frequency and amount, think of your phone bill each month – same day, same amount

Gross Income – the overall amount of money you make, such as your salary (+ additional income) before taxes, retirement contributions, or other deductions, etc.

Net Income – this one is also called your “take home pay,” it’s what you make after taxes, deductions, retirement contributions, etc.

Side Hustle – any job, gig, project, etc. that you work on in addition to your primary job, something to earn some extra money

Variable Expenses – expenses that do not remain the same in frequency and amount each month, think fuel, groceries, other bills that vary month to month