Budgets

What is a need?

• Bottle of Soda

• Dr. Appointment

• Netflix

• Concert tickets

What is a want?

• Gas

• Bus ticket

• Taylor Swift Ticket

• Phone bill

What is the 50/30/20 rule

• 50 dollars for me, 30 dollars for you, 20 dollars for paying bills.

• 50% on expenses, 30% on wants, 20% on savings

• save 50% for amusement, 30% for food, 20% for ice cream

• save 50% when you spend $20 on the 30th of the month.

What is the fund for unexpected expenses.

• budget

• saving for goal

• 30% of budget

• emergency fund

how much should you put away for savings?

• 2000 dollars

• 50%

• none

• 10 -20%

What part of your budget goes for wants and optional items?

• the biggest part

• 10%

• 30%

• 50%

Savings accounts are really great for

• Long term goals or emergencies

• Wants

• Immediate needs

• Current bills

Which of the following is a true statement about budgets?

• They encourage people to spend as much money as possible.

• Setting up a budget will allow you to earn more money

• They allow people to track how and where their money is spent

If your income is $20.00 per month, how much should you spend each month to stay on budget? Choose the best answer.

• Exactly $20 dollars

• Between $10 and $30 dollars

• $20 or less

Which of the following is an example of a fixed expense?

• shoes

• book of the month club

• cough medicine