Overview

There’s a very old joke about a guy who couldn’t believe his checking account was overdrawn, because he still had checks. It’s no joke, though, if you don’t have enough money in your account to cover the checks you’ve written.

A checking account may be your first lesson in accounting, because you learn:

• That your deposits need to be more than your withdrawals
• How important it is to balance your books

A recent survey found that almost 20 percent of Americans don’t balance their checkbooks. This is a terrible mistake to make.

Why They're Important >>