Real World
Lily, Luna, and Mason are discussing their monthly expenses. Luna suggests they need a plan for using their money. Mason asks, what is that called?
Budget
Allowances, wages, tips, and interest earned over time are
Income
After estimating your annual income and expenses you need to divide by what number to calculate your monthly income and expenses?
12
Expenses that change from month to month are
Variable expense
Bryan is a great cook. As his job, he books gigs cooking customers breakfast or dinner in their own homes on the app Cook You Dinner. Who provides Bryan's health insurance and retirement plan?
4. Has to fund them himself
Oliver works part-time at a local cafe, Luna receives a monthly allowance from her parents, and Aria earns interest from her savings account. These are all examples of what?
Income
Earnings you take home after deductions are
Net Pay
If Linus is following a 50/30/20 Budget and takes home $1000 per pay period, how much is he budgeting for his WANTS?
$300
A car payment is considered a what expense?
Fixed
Which car loan term will save you the most money?
1. 12 months/$350 a month
Michael had an unexpected expense when his car broke down. What could protect him against such unexpected expenses?
Savings
Regular expenses you pay each month that are consistently the same amount are
Fixed Expenses
The amount you budgeted to spend on food for June was $500. The amount you actually spent was $455, resulting in a savings or loss and by how much?
Savings $45
For most Americans, which budget expense category is the largest?
Housing/Home
What type of retirement savings should you put 5% -10% of your paycheck
What is IRA - Individual Retirement Account
Aiden, Grace, and Ava are planning their monthly budget. They are trying to categorize their expenses into fixed and variable. According to them, which of the following would be an example of a variable (flexible) expense?
Entertainment
Earnings before deductions are
Gross pay
The amount of income you planned for June was $1,500. The amount you actually received was $1,300 resulting in
$200 shortage
You're considering moving into a 4-bedroom apartment with 3 roommates rather than living on your own post-college. Which of your expenses would likely DECREASE by having roommates?
3. internet bill
When your expenses exceed your income...is called?
Deficit
You are interested in renting an apartment for your senior year in college. You meet with the landlord, complete the application, and after checking your credit background and references, the landlord approves your application. In most cases, you will need to provide the landlord with _________ at the time you sign the lease in order to get the apartment.
First month's rent and a security deposit
Protects you against unexpected expenses
Savings
DAILY DOUBLE!!!
You are putting together your first post-graduation budget. Your take-home pay will be $2,500 per month. You estimate your monthly costs to be rent of $800, car payment of $350, car insurance of $150, car maintenance of $50, entertainment of $500, food expense of $250, mobile phone of $75, student loan payment of $225 and other expenses of $300. How would you describe your budget after analyzing all of your income and expenses?
You have a deficit of $200
When your expenses exceed your income...is called?
Deficit
What is one strategy you can use to make sure you’re including all of your expenses in every monthly budget?
Look at bank statement or credit card statement for past purchases