Spending Plan Quiz

What is another name for a Spending Plan?

• Expense Tracker

• Savings Plan

• Budget

• Financial Roadmap

What is the purpose of a Spending Plan?

• To restrict spending

• To track income and expenses

• To increase stress

• To waste money

What are the benefits of having a Spending Plan?

• Preparing for regular expenses

• Controlling how you spend money

• All of the above

• Putting aside money for savings goals

Which of the following is not a consequence of not having a Spending Plan?

• No idea where money has been spent

• Able to save for the unexpected expenses

• Strained relationships

• Unprepared for emergencies

What is the concept of 'Pay Yourself First®'?

• Not paying yourself at all

• Paying your bills first and then saving

• Saving money before spending on variable expenses

• Paying yourself a salary from your savings

What are the steps to create a Spending Plan?

• Identify income, categorize expenses, set financial goals

• Buy everything you want, then save the rest

• Save everything, spend nothing

• Spend first, then save what's left

What can be the potential outcomes of following a Spending Plan?

• Increased debt

• Financial instability

• Financial security and achieving financial goals

• Decreased savings

What is the first step in creating a Spending Plan?

• Setting financial goals

• Identifying income

• Categorizing expenses

• Buying everything you want

What is the main advantage of 'Paying Yourself First®'?

• Ensuring money for shopping

• Ensuring money set aside for savings and investments

• Paying off debts

• Spending on leisure activities

What is the role of 'Paying Yourself First®' in a Spending Plan?

• It is not important

• It ensures money is set aside for savings and investments

• It ensures money is available for shopping

• It ensures money is available for paying off debts