Managing your money Do you know the minimum pay per hour in Houston Texas? Do you know the average income of a household in Houston, Texas?

Managing your money Do you know the minimum pay per hour in Houston Texas? ($11.34 in 2009) If you worked 8 hours a day at minimum wage EVERY day of the year (Yep, I really mean every single day, including weekends, no holidays, not 1 single day off!!!), you would get around $33, 1128 a year. That’s around $2450/month after tax. The average income per household in Texas is around $3300/month (before tax!).

Budgeting: the scenario You are single and live alone. You rent a one-bedroom flat. You own a car and travel about 20 miles a day for work. You work 5 days a week and earn $2500/month (taxes deduced).

If you had to break down your budget for a month, how would you do it? Show the monthly breakdown of your spending. See example below: Izzy’s budget Rent ……………………………….$900 Shoes ……………………………..$400 Wine……………………………….$100 Sushi…….……………………….. $200 __________________________ Total……………………………………….. ($900 in saving account each month!! Yeah! BONUS!!)

What should have been included in your breakdown? (how many of these did you remember to include?) Rent Petrol Car and house insurance Medical insurance Food Electricity Water Mobile phone Landline + internet + cable TV Leisure Rent Petrol Car and house insurance Medical insurance Food Electricity Water Mobile phone Landline + internet + cable TV Leisure

Let’s get real… Petrol: – Your car holds 11 gallons – 1 full tank can do 250 miles – 1 gallon of petrol is $ miles a day x 5 days= 100 miles/week minimum 100 miles/ week x 4 weeks = 400 miles/ month Round it up to 500 miles/month = 2 full tanks per month needed. 11 gallons x $3.50 = $ tanks at $38.50 = $77

Weekly food/household shopping (prices from Tesco.co.uk) Rocky Road Ice Cream 1 Litre5 Apples Peperoni PizzaToilet Tissue 9 Rolls Yogurt 4X125gLaundry detergent 2Kg Mild Cheddar 400GBathroom Spray 750Ml Baby Plum Tomatoes 325GShower gel Garden Peas 170GWashing up liquid Vegetable medley 170GPasta 500G 2 BananasHoney Monster Choco Puffs 320G Eggs Box Of 10Sure Deodorant Stick Semi Skimmed Milk 2 LitreColgate Sensitive toothpaste Lamb Loin ChopsPantene shampoo Beef Burgers 454GTomato And Basil Pasta Sauce 660G Unsmoked Back Bacon 240GStraight To Wok Noodles 2X150g Iceberg Lettuce Tomato Ketchup 400G Cucumber PortionOrange Juice 1 liter Potatoes (4)Wholemeal bread Loaf 800G Pineapple Chunks 400GCoke 2 Litre Bottle TOTAL: £ 87.50

Let’s budget…. $/month Rent$900 Petrol$80 Car and house insurance$150 Electricity$60 Water$15 Mobile phone$50 Medical insurance$130 Food and household goods$450 Landline + internet + cable TV$100 Restaurants/cafes/bars$200 Cinema/theatre/concert$45 Clothes/shoes/fashion stuff$150 Total$2330 $170 left

Why leave money aside? House repairs or improvement. Renewing state inspection, new tyres, replacement part and mechanic fee… Weekend away (more petrol or flight). Holiday abroad… Dentist, doctor, check- up or illness. Pet care (insurance, medical bill, food…) Buying presents for friend’s birthdays, colleague’s leaving do…