Budget Basics 1
This is a plan for how you will use money you earn or receive.
What is a budget?
After paying yourself first, these should be paid next.
What are needs?
This allows your money the opportunity to grow and work for you over time.
What is investing?
Food, water, clothing, and shelter are examples of these.
What are needs?
Rent is an example of this type of expense because it is usually the same amount each month.
What is fixed expense?
This is money you receive from working, a business, an allowance, or other sources.
What is income?
This is the first person you should pay when you receive money.
Who is yourself?
Groceries or electric bill may change from month to month and are examples of this type of expense.
What is a variable expense?
Buying the newest pair of expensive sneakers when you already have shoes is an example of this.
What is a want?
These are four smart things you can do with your money.
What is spend, save, invest, and give?
Creating one of these helps you control your money and avoid unnecessary debt.
What is a budget?
Money is not something to love. It is something you can use to help accomplish your goals. Money is this.
What is a tool?
These are the two things you need to know before creating a budget.
What are income and expenses?
This is when you should make your budget: before or after you receive your income.
What is before you receive your income?
You earn $500 and pay yourself 30% first. This is how much you set aside.
What is $150?