Budgets

A budget is a plan for spending and saving money.

• True

• False

The goal of a budget is to SPEND less than you EARN.

• True

• False

The goal of a budget is to SPEND more than you SAVE.

• True

• False

Why is it important to keep a budget?

• Budgets make sure you do not spend more money than you can afford.

• Budgets can help you save for large purchases.

• Budgets show you how much money you get and spend.

• All of the above.

Which of the following best describes income?

• Money given to a charity that helps others.

• Money received for completing a chore or task.

• Money received from a parent to pay for lunch.

• Money spent on new clothes and shoes for school.

You go to the movies

• Income

• Expense

You get a present for friend’s birthday

• Income

• Expense

What is a budget?

• a group that helps the community

• a safe place where people keep money

• a center where you can donate things

• a plan for spending and saving money

Which is good advice for saving and spending money?

• Spend all of your allowance as soon as you earn it.

• Use a budget to plan how much money you can save.

• Try to buy things that you want before the things that you need.

• Buy things you use only once, and then throw them out.

A budget is a list of

• income and expenses

• things to buy

• how much to save

• needs and wants