Budgeting Review

What is a budget?

• A plan for sending and saving your money.

• A type of bank account.

• A tool used to buy expensive things?

Why do people make budgets?

• To keep track of their money and spend it smartly.

• To buy everything they want without limits.

What are two things you NEED each month?

• Food and Shelter

• Video Game and New Shoes

Why is it good to save money?

• To have money for emergencies.

• To spend all your money the day you get it.

• To impress your friends?

A budget is a plan for spending and saving your income.

• True

• False

What is one thing you want to save money for?

Buying groceries to feed your family is a:

• Need

• Want

If you are trying to reduce the amount you spend on food, you should try...

• Cooking your own food at home for as many meals as possible

• Dining at restaurants more often so you don't waste water doing dishes

• Eating more snacks on the go and way fewer meals at home

• Drinking more coffee and soda so you are not as hungry for food

Which statement accurately describes how the 50/20/30 Rule would break down your take-home pay?

• 50% on wants, 20% on saving, and 30% on needs

• 50% on saving, 20% on needs, and 30% on wants

• 50% on needs, 20% on saving, and 30% on wants

• 50% on saving, 20% on wants, and 30% on needs

In your personal budget, why is it important to set aside money each month in an emergency fund?

• To budget for all fixed expenses

• To invest in stocks

• To take care of unexpected expenses