Budgeting Basics
What percentage of your income is typically recommended for savings?
What is 20%?
What is the average cost of a 4-year university degree in Australia?
What is $20,000 to $30,000?
What is the term for money earned before taxes are deducted?
What is gross income?
What is a loan?
What is borrowed money that must be paid back with interest?
You win a $500 scholarship. What is your new budget if you started with $1,000?
What is $1,500?
If you earn $600 per week and spend $450, how much can you save in a month?
What is $600?
Name a trade that requires an apprenticeship.
What is plumbing, carpentry, or electrical work?
What is a “side hustle”?
What is a secondary job or income stream?
What is the difference between a debit card and a credit card?
What is a debit card uses your own money; a credit card borrows money?
What is one financial benefit of living at home while studying or starting a career?
What is saving on rent and utilities?
What is the term for tracking all your income and expenses to avoid overspending?
What is budgeting?
How long does it typically take to complete an apprenticeship?
What is 3 to 4 years?
If you earn $25 per hour and work 40 hours a week, what is your weekly income before taxes?
What is $1,000?
What is a credit score?
What is a number that represents your creditworthiness?
You get a $200 traffic fine. If your weekly budget for savings is $100, how many weeks will it take to pay it off?
What is 2 weeks?
Name one common budgeting method used for different spending categories.
What is the envelope system?
What is the cost of a professional certification, such as a forklift license?
What is $200 to $500?
Name a benefit of salary sacrifice into superannuation.
What is reducing taxable income or saving more for retirement?
What is the difference between a fixed and variable interest rate?
What is a fixed rate stays the same; a variable rate can change?
You need an emergency car repair that costs $800. If you only have $600 in savings, what are two options for covering the cost?
What are taking a loan or borrowing from family/friends?
If your monthly income is $4,000 and your fixed expenses are $2,500, how much is available for discretionary spending and savings?
What is $1,500?
Name two trades and their approximate starting salaries after completing an apprenticeship.
What are electricians ($50,000) and plumbers ($55,000)?
If you invest $1,000 at a 5% annual interest rate, how much will you have after 2 years?
What is $1,102.50?
Explain how compound interest works.
What is earning interest on both the initial principal and previously earned interest?
You receive a $1,000 bonus at work. If you invest it at a 7% annual return, how much will it grow to in 10 years?
What is $1,967?