Monthly Budgeting Pre-Quiz

What is the first step in creating a monthly budget?

• Determine your total income after taxes

• Calculate your annual expenses

• Set aside fun money

• List all your debts

Which of the following is NOT considered a monthly expense?

• Car payments

• Holiday gifts

• Rent payments

• Utility bills

Why is it important to set goals before creating a budget?

• To ensure you spend all your income

• To align your budget with long-term plans

• To avoid paying taxes

• To increase your monthly expenses

What should you do after tracking your spending?

• Ignore the data

• Create categories within your budget

• Stop budgeting

• Spend more on entertainment

What is a recommended strategy for sticking to a budget?

• Review and revise your budget regularly

• Set no limits on spending

• Spend all your savings

• Avoid tracking your expenses