Glossary

New here? Here’s a list of definitions of terms commonly used on Unchained55.


– C – 

CSC: Canadian Securities Course; the basic requirement for most entry-level jobs that will eventually lead to my end goal (Financial Planner/Financial Advisor). See the Canadian Securities Institute website for more.

– F – 

Financial Freedom: The fourth of The Five Stages Personal Financial Independence, characterized by no debt, not having to work to cover expenses and having accumulated enough wealth to sustain a comfortable lifestyle for the rest of your life. Typically achieved at retirement age.

Financial Instability: The first of The Five Stages Personal Financial Independence, characterized by one’s present income not being high enough to cover all expenses required to live comfortably.

Financial Security: The third of The Five Stages Personal Financial Independencecharacterized by a present income high enough to cover all expenses required to live comfortably while saving for a comfortable retirement.

Financial Stability: The second of The Five Stages Personal Financial Independence, characterized by a present income high enough to cover all expenses required to live comfortably, but not having enough leftover to save for retirement.

Financial Wealth: The last of The Five Stages Personal Financial Independencecharacterized by having accumulated enough wealth to sustain a lifestyle of luxury indefinitely.

The Five Stages of Personal Financial Independence: The five stages of personal financial independence, as defined by the author of Unchained55, begins with Financial Instability, followed by Financial Stability, Financial Security, Financial Freedom and Financial Wealth.

– G – 

Goal: The result or achievement toward which effort is directed; aim; end. Good goals should be SMART (see SMART Goals below).

– H – 

HELOC: Home Equity Line of Credit; a secured line of credit featuring lower interest rates than that of unsecured personal lines of credit.

– N – 

Net Worth: The difference between your Assets and Liabilities.

– S – 

SMART Goals: Goals which are Specific, Measurable, Attainable, Relevant and Time-Based. See Success starts with a Goal for more.

Mrs. Unchained55

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