federal withholding

in the United States income tax system, employers are required to withhold a portion of each employee's income and pay it directly to the U.S. Internal Revenue Service. This withholding acts as a prepayment of tax they will owe at the end of the year, as well as a direct payment of certain other taxes.

FICA - Federal Insurance Contributions Act

see "Social Security"

finance charge

the total dollar amount paid for credit. Example: A $100 loan repaid with $9 interest plus a $1 service fee has a finance charge of $10.

financial literacy

the ability to use knowledge and skills to manage one's financial resources effectively for a lifetime of financial security.

financial security

financial freedom from doubt, anxiety, or fear; a confident backup of funding in the form of assets or savings which can be used in a time of need.

fixed expenses

an item in your budget whose cost is the same each month, such as rent or mortgage payment.


a person who makes himself or herself available to be engaged for work on particular assignments or projects, rather than being engaged on a long-term or permanent basis by a single employer.

fringe benefits

any additional benefit.