Money terms in plain English. Each one links to the guide that goes deeper.
1099
A tax form that shows money you were paid outside a regular paycheck, like brand deals or affiliate commissions. Read: Your First Paid Brand Deal Checklist
401(k)
A retirement account through your job. Money comes out of your paycheck, often before taxes, and many employers add a match. Read: The 401(k) Loan Trap
4% rule
A rule of thumb for retirement. Take what you spend in a year and multiply by 25. That’s roughly how much you need saved. Read: The 4% Rule
APR
Annual percentage rate. The yearly cost of borrowing money, including interest and some fees.
Brokerage account
A regular investing account. No special tax breaks, but no limits on how much you put in or when you take it out. Read: The 4 Accounts You Need to Open
Closing costs
The fees you pay to finish buying a home, like lender fees, title insurance, and prepaid taxes. Read: Home Buying, Part 3
Compound interest
Earning returns on your past returns. The longer your money sits, the faster it grows. Read: Your First $10,000
Credit score
A number lenders use to judge how likely you are to pay back what you borrow. A higher score usually gets you a lower rate. Read: Home Buying, Part 1
Down payment
The part of a home’s price you pay upfront. The rest is your mortgage. Read: Home Buying, Part 3
Emergency fund
Cash set aside for surprises like a job loss or a car repair, usually 3 to 6 months of expenses. Read: Your First $10,000
Escrow
An account your lender uses to collect and pay your property taxes and homeowners insurance as part of your monthly payment.
Expense ratio
The yearly fee a fund charges, shown as a percent of what you have invested. Lower is better. Read: Your First $100
High-yield savings account
A savings account that pays a lot more interest than a typical bank savings account. Read: The 4 Accounts You Need to Open
HSA
Health savings account. If you have a qualifying high-deductible health plan, you can save for medical costs with tax breaks going in, while it grows, and coming out for qualified medical expenses. Read: The 4 Accounts You Need to Open
Index fund
A fund that buys every stock in an index, like the S&P 500, so you own a small piece of hundreds of companies at once, usually with low fees. Read: Your First $100
LLC
Limited liability company. A business setup that helps keep your personal assets separate from your business. Read: LLC vs. S Corp for Creators
Pre-approval
A lender’s estimate of how much it will lend you, based on your credit, income, and debts. It’s a ceiling, not a budget. Read: Home Buying, Part 3
Roth IRA
A retirement account you fund with money you already paid tax on. It grows tax-free, and qualified withdrawals in retirement are tax-free. Read: Your First $100
S corp
A tax election a business can make that may lower self-employment tax once profit is high enough. Read: LLC vs. S Corp for Creators
Self-employment tax
Social Security and Medicare tax for people who work for themselves. You pay both the employee and the employer share. Read: LLC vs. S Corp for Creators
Trump Account
A savings account for kids created by the 2025 tax law. Read: Trump Accounts, Explained
Vesting
How long you have to work somewhere before your employer’s retirement contributions are fully yours to keep.
