Budgeting

How do wages and salary differ?

• Wages describe what you earn on an annual basis

• Salary describes what you earn on an annual basis

• Wages mean you have a standard amount in each paycheck

• Salaried employees are likely to be paid for overtime

Which of the following are TRUE about gross income and net income? (hint: choose 2 correct answers)

• Gross income and net income are the same

• Net income is sometimes called "take home pay"

• Gross income is the total amount earned before deductions

• Net income is the total amount earned before deductions

Tags

CCSS.7.RP.A.3

Budgeting is crucial to your financial success.

• True
• False

If an expense can NOT be removed from your budget to save money, it is considered a _____.

• Income

• Want

• Need

• Savings

Preparing a budget includes

• Income, Expenses, Saving
• Only listing your expenses
• Only listing your debts
• Only listing your income

Examples of Fixed Expenses include:

• Mortgage, loans, rent
• Cable, entertainment, food
• Gas, food, phone
• Clothing, gas, food

Car Payment

• Fixed Expense
• Variable Expense

Fixed or variable expense: Groceries

• Fixed

• Variable

Fixed or variable expense: Rent?

• Fixed

• Variable

Utilities

• Fixed Expenses
• Variable Expenses