Budgeting Basics

Which of the following is a need?

• A new video game

• Water

• A holiday trip

• A trendy pair of shoes

What is a want?

• Food

• Shelter

• A bicycle for fun rides

• Medicine

Why is budgeting important?

• It helps you buy everything you want

• It ensures you have enough money for needs and some wants

• It makes you popular

• It allows you to eat out every day

What is a good strategy to save money?

• Spend it as soon as you get it

• Lend all your money to friends

• Put a portion of your money into savings regularly

• Buy everything on credit

Which of the following is a smart way to handle wants?

• Buy them immediately

• Save a little each month until you can afford it

• Borrow money to get it right away

• Ignore your needs

What does it mean to prioritize your spending?

• Buying the most expensive items first

• Only buying things on sale

• Choosing to spend money on the most important things first

• Spending all your money on entertainment

How can comparing prices help you save money?

• It ensures you always buy the most expensive option

• It can help you find the same item at a lower cost

• It takes too much time and doesn't help

• It makes shopping more complicated

Why is it a good idea to track your spending?

• So you can brag to friends about how much you spend

• To understand where your money is going and identify areas to cut back

• Because it's fun to write down numbers

• To make sure you spend all your money each month

What is the benefit of setting financial goals?

• It helps you spend money faster

• It gives you a clear target to save for, making budgeting easier

• It is only useful for adults, not kids

• It makes no difference in how you handle money

Which of the following is NOT a good way to save money?

• Waiting for a sale to buy something you need

• Buying snacks every day at school

• Putting some of your allowance into a savings account

• Comparing prices before making a purchase