Budget

Front

What is the first step in creating a budget?

Back

Know your income.

Front

What is the first consideration to start the budgeting process?

Back

Set financial goals.

Front

What do we call an expense that cannot be cut from your budget to save money?

Back

Need.

Front

What type of expense is groceries considered if it varies each month?

Back

Variable expense.

Front

What are mortgage payments and car payments examples of?

Back

Fixed expenses.

Front

What is a budget?

Back

A plan that outlines expected income and expenses over a specific period.

Front

Why is it important to set financial goals when budgeting?

Back

It provides direction and motivation for managing finances.

Front

What is the difference between fixed and variable expenses?

Back

Fixed expenses remain constant each month, while variable expenses can change.

Front

What is discretionary spending?

Back

Non-essential expenses that can be adjusted or eliminated.

Front

How can tracking expenses help in budgeting?

Back

It allows individuals to see where their money goes and identify areas to cut back.