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Budgeting

Total questions: 15

Worksheet time: 4hrs 45mins

Name
Class
Date
1.

What is INCOME?

a)

The bills you have to pay for.

b)

Money that comes in or is earned.

c)

Money that you have lost.

2.

Where can you earn income from?

a)

Money gifted from somebody

b)

A job

c)

All of the above

3.

What is a DEDUCTION?

a)

Money that is taken out of a paycheck to go to other designated sources (such as taxes or insurance).

b)

Money that you must payout.

c)

Money that comes in or is earned.

4.

Select 2 things that are considered deductions.

a)

State Taxes

b)

Utilities

c)

Rent

d)

Federal Taxes

5.

What are FIXED EXPENSES?

a)

Money that comes in or is earned.

b)

Money that is taken out of a paycheck to go to other designated sources (such as taxes or insurance).

c)

Payments that are always the same amount of money; predictable.

6.

Select 2 things that can be considered a Fixed Expense?

a)

Food

b)

Rent

c)

Utilities

d)

Clothing

7.

What is a FLEXIBLE EXPENSE?

a)

Payments that are always the same amount of money; predictable.

b)

Payouts of money that can change; they are not always the same amount.

c)

Money that is earned by working more than the usual number of hours

8.

Select 2 things that can be considered a Flexible Expense.

a)

Rent

b)

Car Payment

c)

Food

d)

Entertainment

9.

When making a budget, a person’s needs should come before their wants.

a)

True

b)

False

10.

A financial plan is called a

a)

budget

b)

tax

c)

allowance

d)

income

11.

What is a need?

a)

Something you must have

b)

Something you'd like to have

c)

Something you would like to do

d)

All of the above

12.

Which of the following is generally the most expensive category in a person’s budget?

a)

Healthcare

b)

Clothing

c)

Transportation

d)

Housing

13.

2.The amount an employee earns once taxes and other items are deducted from his or her gross pay.

a)

Budget

b)

Debt

c)

Gross Income

d)

Net Income

14.

7.The total amount of money an individual has earned before taxes are taken out.

a)

Net Income

b)

Checking Account

c)

Gross Income

d)

Overdraft

15.
Preparing a budget includes
a)
Income, Expenses, Saving
b)
Only listing your expenses
c)
Only listing your debts
d)
Only listing your income