Budgeting Bell Ringer 6

All of the following are examples of someone experiencing a budgeting challenge EXCEPT…

• Aliyah is using the envelope budgeting method, but she’s having a hard time sticking to her budget

• Levi’s credit card bills are getting higher each month due to impulse purchases

• Lakshmi is dining out more frequently each week than she’d planned

• Takumi is regularly updating their budget to keep track of their spending and saving goals each month

When budgeting on a limited income, it’s BEST to…

• Ignore essential expenses to afford luxuries

• Reduce or eliminate unnecessary spending

• Increase your use of credit cards to cover expenses

• Avoid saving any amount of money

Jessica is a business owner and struggles to budget with her variable income. What is one thing she can do to help her budget more effectively?

• Put all of the money coming into the business into her personal checking account

• Only keep a budget in months when her income is highest

• Figure out the minimum amount she needs each month to meet her needs

• Increase her spending in months with higher income

What is one step you can take to adjust a budget for a limited income?

• Increase your spending on luxury items to feel more satisfied

• Prioritize essential expenses and cut back on non-essential spending

• Borrow money regularly to cover basic expenses

• Stop contributing to your emergency fund

Which of the following is TRUE about how the minimum wage compares to the living wage in the United States?

• The minimum wage is always higher than the living wage in every state

• The minimum wage and living wage are the same in most states

• The minimum wage is lower than the living wage in many states

• States with a higher minimum wage generally have a larger gap between minimum wage and living wage

What is one thing someone can do to budget more effectively?

• Shop impulsively whenever they come across a social media ad

• Update their budget only in months where they spend less

• Dine out frequently at restaurants and order delivery

• Experiment with different budgeting methods to find one that works best for them