WorksheetsTHE ART OF BUDGETING
Total questions: 10
Worksheet time: 5mins
The budgeting process starts with
Set personal and financial goals.
Review financial progress and revise budgeted amounts.
Assess your personal and financial situation (needs, values, life situation).
Most short-term goals are based on activities over the next two or three years.
TRUE
FALSE
A common long-term goal may involve saving for college for parents of a newborn child.
TRUE
FALSE
Rent is considered a
fixed regular expense
fixed irregular expense
Flexible expenses stay about the same each month.
TRUE
FALSE
The final phase of the budgeting is to:
set personal and financial goals
compare your budget to what you have actually spent
review financial progress
monitor current spending patterns
An example of a long-term goal would be:
an annual vacation
saving for retirement
buying a used car
completing college within the next six months
A clearly written financial goal would be:
“To save money for college for the next five years”
“To pay off credit card bills in 12 months”
“To invest in an international mutual fund for retirement”
“To establish an emergency fund of $4,000 in 18 months”
An example of a fixed expense is:
clothing
auto insurance
an electric bill
educational expenses
_____ is commonly considered a flexible expense.
Rent
A mortgage payment
Home insurance
Entertainment
