Budget Vocabulary

Money set aside for an unplanned costly event.

• Want

• Need

• Emergency Fund

• Variable Expenses

Things an individual set out to achieve.

• Goal

• Want

• Surplus

• Budget

Too much of an item in stock.

• Allocate

• Surplus

• Budget

• Fix Expenses

Similar to compromising, exchanging one thing for another; usually for the same value.

• Budget

• Variable Expenses

• Income

• Trade offs

Things an individual cannot do without

• Smart Goals

• Need

• Allocate

• Wants

Monthly expenses that the dollar amount fluctuates per month

• Variable Expenses

• Budget

• Fixed Expenses

• Goals

What an individual gives up to have something else.

• Budget

• Needs

• Wants

• Opportunity Cost

Rules of Budgeting

• Shop til you drop

• Pay yourself First and Live within your means

• Cash Rules Everything Around Me

• Don't Count your hens before they hatch

Expenses are broken down into two categories.

• Fixed and Variable

• Fixed and Motely

• Variable and Changed

• Blue and Red

The planned distribution of funds to various and/or specific categories.

• Budget

• Goals

• Funds management

• Allocate