Fixed or Variable?
Is rent a fixed or variable expense?
Fixed.
Is Wi-Fi a need or a want for a college student?
Need (academic requirement)
If you buy a $5 coffee 3x a week, how much per month?
$60
What does a credit score measure?
How responsibly you manage debt
What’s the first step in making a budget?
Knowing your income
Your electric bill changes each month. Fixed or variable?
Variable
Starbucks every morning: need or want?
Want
$8 DoorDash delivery fee once per week = how much per year?
~$416
Name one way to build credit without a credit card.
Rent reporting, secured card, student loan payments, etc.
True or false: A good budget always includes savings.
True
A gym membership is an example of what type of expense?
Fixed (unless canceled)
A car on campus: need or want?
Want unless required for job/commute
True or false: “Small purchases don’t matter as long as I avoid big debt.”
False — small habits add up fast
Why is “buy now, pay later” (Afterpay, Klarna) still debt?
Because you owe future money for a past purchase + late fees
What is the 50/30/20 rule?
50% needs, 30% wants, 20% savings/debt
Which expense can be both fixed or variable depending on your situation: groceries, car payment, or phone bill?
Phone bill (fixed plan vs. pay-as-you-go)
What’s the difference between a need and a want?
Needs = essential for living/survival; Wants = improve lifestyle but not required
A $12 Chipotle meal twice a week = how much per month?
~$96
True or false: Paying only the minimum on a credit card costs more over time.
True
What should the expenses:income ratio look like?
expenses > income (You are overspending/going into debt)
expenses = income (Breaking even; no loss, no gain)
expenses < income (You are saving money)
Why is fast food spending considered a variable expense, but also part of lifestyle inflation (when your spending increases as your income grows)?
It changes monthly AND tends to increase with convenience income/habits
Give an example of a “disguised want” that feels like a need.
Ex: Upgrading phone yearly, brand-name groceries, daily takeout, etc.
Explain the “Latte Factor” in 1 sentence.
Small repeated purchases drain long-term savings without feeling noticeable
What is the average student credit card APR?
~20–27%
Name 2 reasons budgets fail.
Examples: unrealistic goals, no tracking, emotional spending, ignoring variable costs, no emergency fund