Glossary
Precious (Noble) Metals
Metals such as gold, silver, platinum, and palladium, resistant to corrosion and oxidation. They serve as industrial raw materials in various sectors but are primarily used as investment assets for value preservation and growth, including in portfolios for diversification and inflation protection. They can be traded on financial markets as physical metals, ETFs, futures, or other financial instruments.
Price - glossary for children
The amount of money paid when buying a good or service.
Principal
The initial amount you receive as a loan or credit, on which interest is charged. This is the main debt that must be repaid to the lender, usually with added costs such as interest, fees, and commissions. With each loan instalment, part of the payment covers the principal, and the rest covers the accrued interest. Reducing the principal with each payment also lowers the future interest amounts if they are calculated on the remaining debt.
Principal under a Civil Contract
A natural or legal person who commissions the performance of a specific service, work, or task to another person, the contractor, without establishing an employment relationship between them. The principal is not an employer but a party to the contract and pays remuneration for the completed work or provided service, and under certain conditions is obliged to withhold and remit social insurance contributions and taxes on the remuneration in accordance with tax and social insurance legislation.
Producer Price - glossary for children
The price at which a producer sells their goods to wholesalers or retailers. It includes the costs of production and the producer’s profit.
Product Fee (Eco Fee)
A fee imposed on products that generate widely distributed waste after use, aimed at covering the costs of their environmentally sound disposal. The fee is paid by the importer or manufacturer when certain goods are placed on the market and is often included in the final price for the consumer. The product fee is used for the collection, recycling, or disposal of waste, environmental protection, and the promotion of reuse and recycling. Examples of goods subject to a product fee include electrical appliances, motor vehicles, tires, accumulators and batteries, oils and chemicals, as well as packaging.
Professional Pension Fund (PPF)
A fund for supplementary compulsory pension insurance, intended for individuals working under first and second category labour conditions, regardless of their year of birth. Contributions to the PPF are made by the employer and aim to provide funds for early retirement, before reaching the standard retirement age under the state pension system. Accumulated contributions are managed by a licensed pension insurance company on a capital basis through individual accounts of the insured persons and are used to pay additional lifetime or fixed-term pensions once the individual becomes entitled to such benefits under the Social Insurance Code.
Profession - glossary for children
A type of work that a person does, usually after training or practice. Examples of different professions are doctor, teacher, hairdresser, accountant, programmer.
Profit
The positive difference between revenues and expenses of an enterprise over a specific period. In personal finance, profit may refer to the positive difference between the purchase price and the selling price of an asset.
Profit - glossary for children
The money that is left after all business expenses have been paid. It is the money earned from the activity.
Partners
