Personal Budgets

What is income?

• The amount of money earned over a period of time.

• An expense that differs from month to month.

• An expense that is the same amount and cannot easily be changed.

• A plan that is used to determine how money is spent.

What is a budget?

• The amount of money earned over a period of time.

• An expense that differs from month to month.

• An expense that is the same amount and cannot easily be changed.

• A plan that is used to determine how money is spent.

Ryan's take-home pay is $2,500 each month. Based on the information shown in his budget, what percent of his monthly budget does his transportation costs account for?

*NOTE: Enter your answer as a percent.

Oscar's monthly income is $2,250. Which statement regarding Oscar's budget is NOT supported by the information shown in the table?

• Oscar puts $360 of his monthly income into savings.

• Less than $900 of Oscar's monthly income is for his house payment and life insurance.

• Oscar budgets $485 of his monthly income for telephone, utilities, and emergencies.

• More than $530 of Oscar's monthly income is for his car payment and car insurance.

Emily's take-home pay is $3,200 each month. Using the budget shown, determine the percentage of Emily's income that is allocated to rent.

*NOTE: Enter your answer as a percent.

What is a fixed expense?

• The amount of money earned over a period of time.

• An expense that differs from month to month.

• An expense that is the same amount and cannot easily be changed.

• A plan that is used to determine how money is spent.

Ryan's take-home pay is $2,500 each month. He has decided that he would like to save 10% of his take-home pay toward retirement. How much would he be able to save each month for retirement?

*NOTE: Enter your answer as a dollar amount.

Maria's monthly income is $2,000. Which statement is NOT supported by the information in the table?

• More than one-half of Maria's monthly income is spent on rent.

• Maria puts 15% of her monthly income into savings.

• More than one-fourth of Maria's monthly income is spent on utilities, cable, and groceries.

• Maria spends 14% of her monthly income on her cell phone and other expenses.

What is a variable expense?

• The amount of money earned over a period of time.

• An expense that differs from month to month.

• An expense that is the same amount and cannot easily be changed.

• A plan that is used to determine how money is spent.

Jillian's monthly income is $2,250. If 35% of Jillian's income goes toward her house payment, then what is Jillian's house payment each month?

*NOTE: Enter your answer as a dollar amount.