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Budgeting Terms & Vocabulary

Total questions: 19

Worksheet time: 10mins

Name
Class
Date
1.

What is a deduction?

a)

Any items subtracted from your paycheck, including taxes and contributions

b)

When your expenses exceed your income

c)

A portion of the total cost of an item

d)

Money set aside for unanticipated expenses

2.

What does the term "deficit" mean?

a)

A cost that can be expected at regular intervals

b)

When your expenses exceed your income

c)

Total earnings before any deductions are taken

d)

Money received from work or investments

3.

What is a down payment?

a)

Money set aside for unanticipated expenses

b)

A portion of the total cost of an item paid at the time of purchase

c)

Total earnings after payroll taxes

d)

The lowest income necessary for a worker

4.

What is an emergency fund?

a)

Money set aside for unanticipated expenses or loss of income

b)

Total earnings before any deductions are taken

c)

A form of property insurance for renters

d)

A strategy to save a specified amount of your paycheck

5.

What are fixed expenses?

a)

Income that remains the same from week to week

b)

A cost that can be expected at regular intervals and remains the same amount

c)

Total earnings after payroll taxes

d)

The lowest income necessary for a worker

6.

What is gross pay?

a)

Total earnings before any deductions are taken

b)

Money received from work or investments

c)

A strategy to save a specified amount of your paycheck

d)

Expenses that are essential for living

7.

What is the definition of net pay?

a)

Total earnings before any deductions are taken

b)

Total earnings after payroll taxes and other deductions

c)

Money set aside for unanticipated expenses

d)

A form of property insurance for renters

8.

What does "pay yourself first" mean?

a)

A strategy to save a specified amount of your paycheck before spending

b)

Total earnings before any deductions are taken

c)

Money received from work or investments

d)

A form of property insurance for renters

9.

What is renters insurance?

a)

A form of property insurance for renters covering losses to personal property

b)

Total earnings after payroll taxes and other deductions

c)

Money set aside for unanticipated expenses

d)

A strategy to save a specified amount of your paycheck

10.

What is a fixed amount that you are paid over a period of time, regardless of how many hours you work?

a)

Surplus

b)

Wage

c)

Salary

d)

Variable Income

11.

What term describes when your income exceeds your expenses and you have money leftover?

a)

Surplus

b)

Zero-Based Budget

c)

Variable Expense

d)

Unit Price

12.

What is the cost for one item or measurement that allows it to be easily compared to other similar products?

a)

Utilities

b)

Unit Price

c)

Variable Expense

d)

Wants

13.

What are the basic services your home, apartment, or business needs to keep it comfortable and functioning properly?

a)

Surplus

b)

Wants

c)

Utilities

d)

Wealth

14.

What is a cost that appears irregularly or that changes in amount?

a)

Salary

b)

Variable Expense

c)

Wage

d)

Surplus

15.

What is income that varies from week to week or month to month?

a)

Salary

b)

Variable Income

c)

Wage

d)

Surplus

16.

What is a set amount you are paid for every hour that you work?

a)

Salary

b)

Wage

c)

Surplus

d)

Variable Income

17.

What are expenses that help you live more comfortably?

a)

Wants

b)

Utilities

c)

Surplus

d)

Variable Expense

18.

What is a measurement of your assets minus your liabilities, also called net worth?

a)

Surplus

b)

Wealth

c)

Wage

d)

Unit Price

19.

What is a budgeting method where every anticipated earning is assigned a role to be spent, saved, or invested?

a)

Surplus

b)

Zero-Based Budget

c)

Variable Expense

d)

Unit Price