Financial Literacy- Budgeting

What is the first step in budgeting?

• Record what you spend
• Estimate your income
• Set financial goals
• Review and evaluate monthly

Your emergency savings fund should have how many months worth of income?

• 1-2 months
• 10 months
• It doesn't matter
• 3-6 months

All of the following are examples of supplemental income, except

• Child support
• Disability
• 
  Workman's comp
• Your regular paycheck

Money set aside for an unplanned costly event

• Income
• Budget
• Discretionary Income
• Emergency Funds

What does it mean to "live within your means"?

• use credit excessively
• spend what you make (or less)
• repay college loan debts before other debt
• spend more $ than you make

Tags

CCSS.RI.11-12.7

CCSS.RI.8.7

CCSS.RI.9-10.7

CCSS.RL.11-12.7

CCSS.RL.9-10.7

What is something financially wise consumers do?

• postpone major purchases until money can be saved for it
• spend now, figure out how to pay for it later
• worry about emergencies when they happen
• set only short term financial goals

Which of the following is NOT a wise financial decision?

• using credit for everything
• saving for the future
• writing down expenses to track spending
• creating a budget based on your NET income

Why budget?

• prevent debt
• plan for future
• save money
• all of these

what are your expenses?

• money you save
• money you spend on things
• money you put away for taxes
• all of these

What percentage of monthly income is recommended for spending on housing/ rent?

• 10%
• 25%
• 30%
• 50%