Budgeting

Income is all the money you earn (make) over a period of time. Usually a month.

• True

• False

A budget _________________________.

• Lets you know how much money you have and where it's going

• lets you know what's for dinner

• is something babies understand

All of these are "NEEDS" EXCEPT:

• HOUSING

• MOVIE TICKETS

• RENT

• GROCERIES

Rent and car insurance payments are both which type of expenses?

• fixed costs that are needs

• fixed costs that are wants

• variable costs that are needs

• variable costs that are wants

Which of the following people would benefit MOST from a personal budget?

• Tim carefully keeps track of his expenses.

• Sue spends less than she earns.

• David is saving for a major purchase.

• Bob does not have enough money to pay bills.

Daycare can be very expensive! My friend pays $972 every month for her 3 year old daughter.  This is considered a

• Fixed Expense

• Flexible Expense

• Discretionary Expense

• Income

Your pay BEFORE deductions

• Gross

• Net

• Income

• paycheck

Something thought to be an essential item required for life (food, water etc.).

• Need

• Want

• Desire

• Impulse

Something unnecessary but you desire.

• Need

• Want

• Expect

Money earned after taxes and other deductions.

• Net income

• Gross income

• Monthly income