IBT Banking Services & Budgets

Which of the following is a benefit of using a budget?

• helps to keep track of the money you receive

• helps to prioritize your spending

• helps reach short- and long-term financial goals

• all of the above

Which of the following is NOT a benefit of using a budget?

• A budget can help you purchase anything you want.

• A budget can help you keep track of your money.

• A budget can help you make plans to reach your financial goals.

• A budget can help you decide the importance of your expenses.

Which of the following should NOT be considered when setting a current budget?

• your financial goals

• future income

• needs and wants

• savings

Which of the following should you consider when setting a budget?

• your financial goals

• needs and wants

• savings

• all of the above

_________ are good places to look to find your current expenses when building your budget.

• banks and credit unions

• grocery stores and concerts

• bank and credit statements

• online research websites

Bank statements, credit statements, and records of cash expenses help you to estimate your _________

• credit score

• emergency fund needs

• expenses

• available investments

In addition to needs, what should you plan for first when creating a budget?

• possible charitable donations

• shopping money

• investments

• recurring expenses

In your budgeting process, when should you look at recurring expenses?

• before reviewing your wants

• after considering entertainment expenses

• before looking at your needs

• after your wants but before your needs

Which of the following statements is true?

• Recurring expenses don't need to be planned for because they rarely happen.

• Recurring expenses are expenses that can never be stopped.

• Recurring expenses should be planned for after looking at your wants.

• none of the above.

Which of the following is a way to track your spending?

• spreadsheet budget

• envelope method

• an app

• all of the above