1 | Budget

• Part of speech: Noun/Verb

• Definition: A financial plan that outlines income and expenses; to plan and allocate funds.

• Example Sentences:

  1. (Noun example) Creating a monthly budget helps track spending and saving goals.

  2. (Verb example) It's important to budget wisely to ensure financial stability.

  3. Effective budgeting is key to managing personal finances successfully.

2 | Savings

• Part of speech: Noun

• Definition: Money set aside for future use or emergencies.

• Example Sentences:

  1. Building a savings account provides a financial safety net.

  2. Saving a portion of income is a wise financial habit.

  3. She used her savings to cover unexpected medical expenses.

3 | Investment

• Part of speech: Noun

• Definition: The act of allocating money with the expectation of generating income or profit.

• Example Sentences:

  1. Diversifying investments helps manage risk in financial portfolios.

  2. Long-term investment strategies often yield higher returns.

  3. Understanding different investment options is essential for financial growth.

4 | Credit

• Part of speech: Noun

• Definition: The ability to borrow money with the promise of repayment; an arrangement for deferred payment.

• Example Sentences:

  1. Maintaining a good credit score is important for loan approvals.

  2. Responsible credit card use builds a positive credit history.

  3. Understanding the terms of credit agreements is crucial for financial literacy.

5 | Debt

• Part of speech: Noun

• Definition: Money owed to others; an obligation to repay borrowed funds.

• Example Sentences:

  1. Managing debt requires a strategic repayment plan.

  2. Accumulating too much debt can lead to financial stress.

  3. Paying off high-interest debt should be a priority for financial well-being.