WorksheetsSS7E10 Personal Money Management
Total questions: 14
Worksheet time: 11mins
One reason to use a budget is to plan for and save money for expected and unexpected costs. Check each event or description that indicates an unexpected expense.
$1,035 mortgage payment
$550 air conditioner repair
$15,000 emergency room bill
$150 monthly electricity bill
$50 weekly groceries
Why is a budget an important tool to use for effective personal money management?
It establishes a legal contract between you and a potential client.
It helps guide you through purchasing a home.
It creates a step-by-step plan to making profitable financial investments.
It is a plan for spending and saving money.
Which of the following is the correct definition for the term credit?
the ability of a customer to obtain goods or services before payment, based on the trust that payment will be made in the future.
a fee applied to money borrowed
Which of the following is the correct definition for the term interest?
the ability of a customer to obtain goods or services before payment, based on the trust that payment will be made in the future.
a fee applied to money borrowed
Select two statements that would be considered UNWISE decisions related to spending and savings choices.
I was spending too much money so I started using a budget to track my expenses.
I do not track my expenses so I just hope I have enough money when I swipe my debit card.
I spend every dollar I earn rather than saving any for my college savings account.
I use an app on my smartphone to check and monitor my account balance every day.
Which word below WOULD NOT fit in this sentence: The money you earn by having a job is called ___________ and is often called a __________, or wage.
income
salary
profit
There are benefits to saving money every month to help build your financial security. This allows you to have money set aside for expensive purchases, life goals, and unexpected expenses. Check each scenario that is a responsible decision when it comes to saving money.
Audra wants a new $750 tablet, so she finds a part-time job tutoring grammar and saves $100 a month.
Jon and his wife have saved $950,000 for their retirement.
Miranda and her husband want to purchase a new home, so they begin saving $350 a month for a future down payment.
Beth wants to take her family on a vacation to Europe, so she starts saving $400 a month to pay for their trip the following year.
Nick wants to pay cash for his next vehicle, but he does not have a plan for saving money each month.
Check each event or description that describes a use of credit.
paying more for an item than it originally cost
paying for a semester at college
buying a safer vehicle
items could be repossessed if payments are not made on time
buying a new home
What is saving?
Money earned by working.
Putting money away for later.
Taking a risk with your money.
Buying now and paying later.
What is the difference between a debit card and a credit card?
A debit card takes money immediately from a bank account. With a credit card you pay later. (plus interest)
A credit card takes money immediately from a bank account. With a debit card you pay later.
A credit card takes money immediately from your savings fund. With a debit card you are charged interest.
A debit card takes money immediately from your savings fund. With a debit card you are charged interest. (plus interest)
When purchasing a video game you would use what method of payment? Check all that apply.
Cash
Debit Card
Bank Loan
Coins
Helps make decisions about your income; Saving- spending plan.
Budget
Income
Networking
Bank Loan
Check all the smart things you can today right now that can help improve your financial situation as an adult.
Get a good education or learn skills that others value.
Open a savings account and add to it on a regular basis.
Find a mentor who is disciplined with money and learn from him/her.
Read books about time and money management.
Why is it important to have a savings plan? What is something you want to save for five years from now?
