Budget Basics

What is the main purpose of saving money?

• To spend it all at once

• To have money for future needs

Which of the following is an example of a "need"?

• A new video game

• Food and water

What is the first step in creating a budget?

• Spending money

• Setting goals

Why is it important to track your expenses?

• To know how much money you have left

• To spend more money

Which of the following is a smart purchase?

• Buying something on sale that you need

• Buying something because your friend has it

What is a good way to save money?

• Spending all your allowance

• Putting some money in a piggy bank

Which of the following is an example of a "want"?

• Medicine

• A new bicycle

How often should you review your budget?

• Once a year

• Once a month

What should you do if you spend more than your budget allows?

• Ignore it

• Adjust your budget

Why is it important to distinguish between needs and wants?

• To spend more money

• To save money for important things