Budgeting

Which of the following is NOT a need?

• Food
• Clothes
• Netflix
• Shelther

Which of the following is an example of a variable expense

• Food
• Rent
• Car payment
• Student loan

Your emergency savings fund should have how many months worth of income?

• 1-2 months
• 10 months
• It doesn't matter
• 3-6 months

What is the first step in budgeting?

• Record what you spend
• Estimate your income
• Set financial goals
• Review and evaluate monthly

What is a discretionary Income?

• an estimate of income and exponditure for a set period of time.
• a corporate expense that varries with production output.
• Income remaining after deduction of taxes, other mandatory charges.
• cannot avoid or help doing something.

Which of the following is an example of a "life change" that would effect your budget?

• marriage
• children
• change in job
• all of these

Why do you want to have savings?

• financial emergencies
• exciting financial opportunties
• financial security
• all of these

What percentage is recommended for savings?

• 5%
• 10%
• 20%
• 15%

What are your liabilities?

• things you own
• money you have in the bank
• money you owe others
• the excuses you have for not meeting your budget

Why is budgeting important?

• It's good to live pay check to paycheck
• You should always live at your parents house
• You might get into a house or other large expense  you can’t afford
• Always spend more than you can afford