Lesson 3 Budgeting EverFi

Which of the following is a benefit of using a budget?

• Helps to keep track of the money you receive

• Helps to prioritize your spending

• Helps reach short- and long-term financial goals

• All of the above

Which of the following is NOT a benefit of using a budget?

• A budget can help you purchase anything you want

• A budget can help you keep track of your money.

• A budget can help you make plans to reach your financial goals

• A budget can help you decide the importance of your expenses

Which of the following should NOT be considered when setting a current budget?

• Your financial goals

• Future income

• Needs and wants

• Savings

Which of the following should you consider when setting a budget?

• Your financial goals

• Needs and wants

• Savings

• All of the above

Where should you look to find your current expenses when building your budget?

• ask your parents

• your wallet

• bank and credit statements

• your bank representative

In addition to needs, what should you plan for first when creating a budget?

• Possible charitable donations

• Shopping money

• Investments

• Recurring expenses

Which of the following is a way to track your spending?

• Spreadsheet budget

• Envelope method

• An app

• All of the above

Which of the following is NOT true about emergency funds?

• They are used for anything listed on the budget.

• They can keep you from borrowing money from friends and family

• They help you prepare for unexpected expenses.

• They help remove the worry about expenses not in the budget.

When setting a budget, you can choose to make room for:

• Financial goals

• Entertainment expenses

• Charitable donations

• All of the above

When setting a budget, you should consider...

• financial goals, current expenses, and income.

• mostly income.

• creative ways to spend your money.

• mostly your goals.