Budgeting Basics
What is the term for tracking income and expenses?
What is budgeting?
What is a credit score?
A number that shows how likely you are to repay debt.
What does FAFSA stand for?
What is Free Application for Federal Student Aid?
What is an emergency fund?
Money saved for unexpected expenses.
What’s one thing you should do before signing a lease?
Read the contract carefully.
What is one way to reduce food expenses in college?
What is meal planning?
What’s one way to build good credit?
Paying bills on time.
What’s one type of financial aid you don’t have to pay back?
What is a grant or scholarship?
How many months of expenses should you ideally have saved for emergencies?
3–6 months.
What is a W-2 form used for?
Reporting income for taxes.
What’s the 50/30/20 rule?
50% needs, 30% wants, 20% savings.
What’s one thing that can hurt your credit score?
Missing payments or using too much credit.
What is “work-study”?
A campus job program for students with financial need.
What’s one benefit of using cash instead of a card?
It’s easier to limit spending.
What is a checking account used for?
Everyday spending and paying bills.
What’s one fixed expense college students usually have?
What is rent or tuition?
True or False: Checking your own credit score lowers it.
What is false?
What’s one way to save money on textbooks?
Renting or buying used books.
What’s a good first step to start saving money?
Setting a savings goal or automating transfers.
What does “living within your means” mean?
Spending less than or equal to what you earn.
What should you do before making a big purchase?
What is compare prices or check your budget?
What does APR stand for?
Annual Percentage Rate.
True or False: Private student loans usually have lower interest rates than federal loans.
What is false?
What’s “pay yourself first”?
Saving money before spending on anything else.
Name one benefit of having a monthly financial goal.
financial goal.Keeps you focused and prevents overspending.