A fuller guide to this term is on the way. In the meantime, the related terms below explain the ideas around it.
Related MoneyPedia terms
- Budget SurplusThe leftover amount when your income for a period is larger than your total spending, freeing up money to save or invest.
- Negative Cash FlowWhen you spend more than you bring in during a period, forcing you to dip into savings or take on debt.
- OverspendingConsistently spending more than your plan or income allows, which erodes savings and can lead to mounting debt.
- Living Paycheck to PaycheckRelying on each paycheck to cover immediate bills with little or nothing left over, leaving no cushion for surprises.
- Revolving DebtA balance you can carry from month to month, like a credit card, where interest builds on whatever you have not paid off.
- Spending PlanA forward-looking plan for where each dollar of income will go before you spend it, covering bills, saving, and everyday costs.
More in Budgeting & Cash Flow
Plain-English education — not personalized legal, tax, or investment advice.