TLE-HE 6 Management of Family Resources

Management of Family Resources

What is Income?

It is money that an individual or business receives in exchange for providing goods or services.

Family income – is the total income earned by all the members of the household.

Sources of family income

·         Salary earned for services  rendered

·         Bonuses, commissions, or honoraria given by an employer to employees

·         Profits earned from business

·         Rentals from owned properties

·         Dividends from stock holdings

What is a Budget?

A budget is the amount of money set aside for planned expenses. It is a plan specifying how much money will be spent or allocated during a particular period.

 

Budgeting is related to the wise use of family resources. It is based on the system by which wages or salaries are received and how these are to be spent by itemizing the needs of the family and how much money is needed to meet such needs.

– if not renting, includes taxes, repair, and maintenance

Shelter

– groceries, raw and cooked food, staples, condiments, and spices

Food

Components or elements of a family budget 

Clothing

– uniforms, clothes, and accessories

– tuition fees, books, daily food, transportation allowance of children

Education

– electric, water, and telephone bills, gas, salaries of helpers

Utilities

– things needed in the house, beddings, curtains, furniture, and other paraphernalia to make members comfortable

Household Operations

Components or elements of a family budget 

Health

– medicine, check-up

– family outings, outside dining, watching movies.

Recreation

Savings

– the amount set aside or deposited in the bank

Draw

How can you help in the effective implementation of your family budget?

Direction: Draw a check (/) on the blank before each number.