WorksheetsSavings Quiz
Total questions: 20
Worksheet time: 10mins
At your age, a fully funded emergency fund should be:
$1,000
$100
$5,000
$500
Percentage paid to a lender for the use of borrowed money, or the percentage earned on invested principal
Interest rate
Savings rate
The first thing you should save for is your retirement fund.
False
True
Which of the following steps is the First Foundation?
Build wealth and give
Pay cash for your car
Save a $500 emergency fund
Get out of debt
How much you make (your income) determines your savings habits.
False
True
You should keep your emergency fund in the same account as your spending money.
False
True
Most Americans say they can't afford to save.
False
True
Why is having a fully funded emergency fund so important when it comes to your financial well-being?
None of the above
The purpose of an emergency fund is to have money set aside for large purchases, like vacations.
As long as you have a good-paying job, you really don’t need an emergency fund.
The purpose of an emergency fund is to set money aside for unexpected financial emergencies and to provide a sense of financial security.
12. Instead of borrowing money for large purchases, you should set money aside in a (a) over time and pay with cash.
Mortgage fund
Credit card fund
It is easier to start saving from the beginning instead of waiting for the perfect moment.
False
True
When it comes to saving money, the amount you save is determined by how much you have left at the end of the month once all of your spending is done. (Pay yourself LAST)
False
True
Interest paid on interest previously earned.
Why should interest earned not be a factor with your emergency fund?
None of the above
The emergency fund is not intended to grow wealth.
Interest-bearing accounts at banks earn a high rate of interest, therefore, interest is not a concern.
Inflation can eat up the interest earned.
Which of the following is a reason that people don’t save money?
All of the above
They lack focus
They do not live on a budget
They lack discipline
For which of the following should you save?
All of the above
Emergency fund
Wealth building
Purchases
When you’re older and out of school, you’ll need to grow your emergency fund from $1,000 into a full three to six months’ worth of expenses.
False
True
Saving money over time for a large purchase.
Sinking Fund
Installment Loan
Which of these is not a key to saving money?
Discipline
Your income
Making saving a habit and a priority
Focus
Which of the following is not one of the three basic reasons for saving money?
Build wealth
Have money available to lend to friends
Large purchases
Emergency fund
When you’re in high school, you won’t have the same emergency expenses as your parents.
False
True
