WorksheetsBudgeting
Total questions: 22
Worksheet time: 30mins
If an expense can NOT be removed from your budget to save money, it is considered a _____.
Income
Want
Need
Savings
When making a budget, a person’s needs should come before their wants.
True
False
If an expense can be cut from your budget to save money, it is considered a ______.
want
need
income
savings
Of all the choices, which one should you budget for first?
Groceries
Entertainment
Cell Phone Bill
New Car
What is a need?
Something you must have
Something you'd like to have
Something you would like to do
All of the above
Why is it important to be able to decide if an item is a NEED or a WANT?
You cannot create a budget that has both needs and wants included -- you need them each in a separate budget
Needs can be very expensive, but wants are usually far less expensive so you don't need to keep track of them
Needs are worth spending money on, but you should never spend on a want
When you budget, you should make sure all your needs are met first, then you can decide to spend on wants
Creating a budget can make you feel powerful! Why?
You can't really budget unless you have an important job, which means that other people look up to you
People who budget earn more money, so they can live a better life
A budget puts you in control of your spending and saving, so you make good decisions and feel more confident
Budgeting is extremely easy, so once you set it up, you are done for good and can spend time on other things
The two main portions of a budget are...
the money coming in (expenses) and the money you're spending (income)
the money coming in (income) and the money you're spending (expenses)
the cash you are spending in stores and the bills you are paying online
the items you want to buy and the money you need to save for retirement
James has just moved into his own apartment and is working full time. Each item below would go into his budget in the "Monthly Bills" category EXCEPT...
Clothing
Cell phone plan
Rent
Renters insurance
Kevin is considering updating his cell phone plan to include unlimited data. In which situation could unlimited data be a NEED for Kevin?
He loves watching movies, and he's already paid for all the streaming services, so now he needs the data
He has so many social media accounts, and he needs to be able to check them throughout the day, even while in school
He has an hour-long bus ride each direction to and from school, and he needs that time to complete homework and submit it all online
Unlimited data will allow him to play video games with his friends even when he's not at home, and he LOVES video games
Variable expenses are those which are:
Required
Different from month to month
The same every month
Only paid every other month
An _____________ is anything you spend money on, while ___________________ is money earned through work or services.
income; expense
deposit; withdrawal
expense; gifts
expense; income
If the government takes out 22% of your monthly income for taxes, how much would be taken out of your paycheck if your monthly income was $4,892.55
$1,050.00
$2,458.50
$1,076.36
$222.38
Which of the following is an expense which stays relatively the same from month to month?
Fixed Expense
Variable Expense
Estimated Expense
Average Expense
True or False: You should set aside money for emergencies?
True
False
True or False: Budgeting is extra work that does not benefit you and makes no difference in your life.
True
False
What is a budget?
Your debit card
A calendar
Your piggy bank
A plan on how to spend your money.
Which is an example of a variable expense?
Car payment
Rent payment
Groceries
Which is an example of a fixed expense?
Groceries
Dining Out
Mortgage
Why is budgeting important for managing personal finances?
Budgeting is not necessary for managing personal finances.
Budgeting only helps with tracking expenses, not income.
Budgeting is only important for short-term financial goals.
Budgeting helps track income and expenses, prioritize spending, and save for future goals.
