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Basics of Budgeting for Teens

Total questions: 20

Worksheet time: 10mins

Name
Class
Date
1.

What is a need?

a)

A luxury item you can live without

b)

Something essential for survival

c)

An item you want for entertainment

d)

A gift for a friend

2.

Which of the following is an example of a want?

a)

Water

b)

Shelter

c)

Video games

d)

Food

3.

What is the first step in creating a simple budget?

a)

Spend money on wants

b)

Track your expenses

c)

Identify your income

d)

Save for future goals

4.

If you earn $50 a week from chores, how much will you earn in 4 weeks?

a)

$100

b)

$150

c)

$200

d)

$250

5.

Why is it important to track monthly expenses?

a)

To spend more money

b)

To understand where your money goes

c)

To avoid saving money

d)

To increase your wants

6.

Which of the following is a method to track expenses?

a)

Ignoring receipts

b)

Using a budget app

c)

Spending without limits

d)

Guessing your expenses

7.

If you save $10 each week, how much will you have saved after 10 weeks?

a)

$50

b)

$70

c)

$100

d)

$120

8.

What is a good strategy for saving for future goals?

a)

Spend all your money now

b)

Save a portion of your income regularly

c)

Only save when you have extra money

d)

Borrow money to save

9.

How can you differentiate between needs and wants when budgeting?

a)

Wants are more important than needs

b)

Needs are essential, wants are additional

c)

Needs are for fun, wants are for survival

d)

Wants should be prioritized over needs

10.

What is the purpose of setting a budget?

a)

To spend more than you earn

b)

To manage your money effectively

c)

To avoid saving money

d)

To increase your debt

11.

If you have a monthly income of 200andyourexpensesare200 and your expenses are 150, how much can you save each month?

a)

$25

b)

$50

c)

$75

d)

$100

12.

Why is it important to have savings for future goals?

a)

To spend more on wants

b)

To be prepared for unexpected expenses

c)

To avoid budgeting

d)

To increase your debt

13.

Which of the following is a basic money management skill?

a)

Spending all your money immediately

b)

Keeping track of your income and expenses

c)

Ignoring your financial situation

d)

Relying on others for money

14.

What is the benefit of creating a simple budget?

a)

It helps you spend more

b)

It helps you manage your money better

c)

It makes you ignore your expenses

d)

It increases your wants

15.

If you want to buy a bike that costs 120andyousave120 and you save 15 each month, how many months will it take to save enough money?

a)

6 months

b)

8 months

c)

10 months

d)

12 months

16.

What should you do if your expenses exceed your income?

a)

Ignore the problem

b)

Reduce your expenses

c)

Increase your spending

d)

Borrow more money

17.

How can you ensure you are saving enough for future goals?

a)

Spend all your money on wants

b)

Set specific savings goals and track your progress

c)

Save only when you feel like it

d)

Avoid setting any goals

18.

What is the difference between a fixed expense and a variable expense?

a)

Fixed expenses change every month, variable expenses do not

b)

Fixed expenses remain the same each month, variable expenses can change

c)

Variable expenses are more important than fixed expenses

d)

Fixed expenses are unnecessary, variable expenses are essential

19.

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

a)

Groceries

b)

Rent

c)

Entertainment

d)

Clothing

20.

What is a good practice for managing money effectively?

a)

Spend without tracking

b)

Create and follow a budget

c)

Ignore your financial goals

d)

Spend more than you earn