Dave Ramsey Budgeting 3.1

Front

What is budgeting?

Back

Budgeting is a detailed plan of how you are going to use your money to pay for things you want and need.

Front

True or False: Budgeting is extra work that does not benefit you and makes no difference in your life.

Back

False

Front

What does a budget help you identify?

Back

A budget helps you identify if you are overspending in an area.

Front

True or False: It is okay to use a credit card if you pay it off every month (according to Dave Ramsey).

Back

False

Front

What is the primary purpose of a budget?

Back

The primary purpose of a budget is to manage your finances effectively and ensure you can pay for your needs and wants.

Front

What does budgeting NOT do?

Back

Budgeting does not make overspending more likely.

Front

What is a common misconception about budgeting?

Back

A common misconception is that budgeting is restrictive and does not allow for flexibility in spending.

Front

What is a cash flow?

Back

Cash flow refers to the total amount of money being transferred into and out of a business or personal account.

Front

What are periodic expenses?

Back

Periodic expenses are costs that occur at irregular intervals, such as insurance premiums or property taxes.

Front

What is the difference between income and budget?

Back

Income is the money received, while a budget is a plan for how to allocate that income.