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
- Positive Cash FlowWhen the money coming in during a period is greater than the money going out, leaving you with a surplus.
- Cash FlowThe movement of money into and out of your accounts over time, showing whether more comes in than goes out.
- OverspendingConsistently spending more than your plan or income allows, which erodes savings and can lead to mounting debt.
- Deficit SpendingSpending more than you earn over a period, which means the gap has to be covered by savings or borrowing.
- Living Paycheck to PaycheckRelying on each paycheck to cover immediate bills with little or nothing left over, leaving no cushion for surprises.
- 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.