Budgeting Basics & Strategies Review

When looking at your paycheck, your ___________________________ the amount you were paid before taxes

• net pay

• gross pay

• check stub

• expenses

Your ___________________________ is your pay after taxes or your take-home pay.

• net pay

• gross pay

• check stub

• expenses

1. Paige sets up her budget so that every single dollar is accounted for using the ___________________________ .

• 50/30/20 Budget

• Cash Envelope Budget

• Pay Yourself First Strategy

• 1. zero-based budget strategy

1. ___________________________  is a strategy where individuals prioritize saving by putting a portion of their income into savings before paying other expenses.

• 50/30/20 Budget

• Cash Envelope Budget

• Pay Yourself First Strategy

• 1. zero-based budget strategy

1. In the _______________________ you put specific amounts of your money into envelopes (physically with cash, or electronically with an app or spreadsheet) representing different budget categories.

• 50/30/20 Budget

• Cash Envelope Budget

• Pay Yourself First Strategy

• 1. zero-based budget strategy

1. In the _____________________50% of your net income should go to your needs, 20% should go to savings, and 30% should go to your wants.

• 50/30/20 Budget

• Cash Envelope Budget

• Pay Yourself First Strategy

• 1. zero-based budget strategy

1. When creating a budget, it’s important to determine which expenses are ___________________________ (items or services that are necessary to live and work) and which are ___________________________  (items or services that are nice to have, but not essential).  

• wants, needs

• needs, wants

• expenses, wants

• 1. needs, expenses

1. A(n) ___________________________ expense can change from month to month

• wants

• fixed expense

• variable expense

• 1. unit price

1. A(n) ___________________________ costs the same amount every month.

• wants

• fixed expense

• variable expense

• 1. unit price

Rent, Auto Lease Payment, & Tuition are considered what type of expenses?

• variable

• fixed

• wants

• needs