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Worksheets

Understanding Your Money

Total questions: 25

Worksheet time: 25mins

Name
Class
Date
1.

What is the minimum amount of money you should save or “pay yourself”?

a)

10%

b)

15%

c)

20%

d)

25%

2.

A spending plan that allows you to manage your money

a)

Expense

b)

Income

c)

Balance

d)

Budget

3.

Money that is paid to the government for public purposes are called what

a)

Taxes

b)

Income

c)

Social Security

d)

Expenses

4.

Which of the following would NOT be an example of something that tax dollars are used for?

a)

Military

b)

Government buildings

c)

Doctor salaries

d)

Roads and Bridges

5.

Knowing how much money you have in your bank account at any given time is called knowing your what?

a)

Income

b)

Expenses

c)

Balance

d)

Budget

6.

What happens if your expenses are greater than your income?

a)

You go in debt

b)

You have to file bankruptcy

c)

You get a loan

d)

You use a credit card

7.

What does IRS stand for?

a)

International Reserve Service

b)

Internal Reservation Service

c)

Internal Revenue Service

d)

International Revenue Station

8.

Which of the following is an example of a fixed expense?

a)

Car loan payment

b)

Electric bill

c)

Gas in a car

d)

Groceries

9.

An item you would like to have, but is not necessary for survival is known as what?

a)

Wants

b)

Needs

c)

Necessities

d)

Supplies

10.

A budget is important because...

a)

It allows you to see where you are spending money

b)

It allows you to plan for expenses

c)

It helps you manage your money and stay out of debt

d)

All of the above

11.

Which of the following would NOT be an example of a flexible expense?

a)

home loan payment

b)

gas in a car

c)

utility bill

d)

groceries

12.

The money you bring in is called what?

a)

Income

b)

Expenses

c)

Balance

d)

Flexible Expenses

13.

Items that are necessary for your survival are called what?

a)

Wants

b)

Needs

c)

Crucial

d)

Supply

14.

Why is using cash the safest way to pay for purchases?

a)

You can't spend more than you have

b)

You aren't charged interest

c)

You can’t overdraw your bank account

d)

All of the above

15.

A number that represents a person’s worthiness of being loaned money is called what?

a)

Credit Card

b)

Credit Karma

c)

Credit Check

d)

Credit Score

16.

Which of the following represents the BEST credit score?

a)

650

b)

470

c)

850

d)

200

17.

Things that you spend money on are called what?

a)

Income

b)

Balance

c)

Budget

d)

Expenses

18.

Your family car needs an oil change. Your mom pays for it with a card. Money comes out of her checking account. What card did she use?

a)

credit card

b)

debit card

19.

Your dog has to go to the vet. Your dad pays with a card. The cost shows up on his monthly bill. What card did he use?

a)

Debit card

b)

Credit card

20.

This method of payment can cost you more money due to interest charges.

a)

Credit

b)

Debit

21.

With this method of payment, you have to remember a pin number and the money spent comes out of your checking account.

a)

Credit

b)

Debit

22.

Why would someone want their credit score to be high?

a)

So they can get loans

b)

So they don't have debt

c)

So they can buy groceries

d)

So they can get a debit card

23.

When would writing a check be necessary over using other forms of payment?

a)

When checking out at a store

b)

When sending money through the mail

c)

When you put gas in your car

d)

When you shop online

24.

What can happen if you don't pay your taxes?

a)

You get fined

b)

You can go to jail

c)

You can have your home taken

d)

All of the above

25.

Expenses that vary or change are what type of expenses?

a)

Fixed

b)

Flexible

c)

Expensive

d)

Regular