 Empowering people with basic financial knowledge to help shape their dreams and secure their future

 A plan for managing your income and expenses.

 There are three types of expenses: fixed, variable, and unexpected.  Fixed expenses tend to be for rent, mortgage, car payments and insurance. These expenses stay the same for each month.  Variable expenses tend to be for food, entertainment, and clothing. These expenses change each month.  Unexpected expenses happen at inopportune times and are difficult to predict or measure

 Wants are nonessential items we can live without.  Needs are essential items without which we cannot live.

 Income is the money that people receive for work done or time spent. This could be formal such as wages for work or pocket money for chores around the house.

 A credit card is used to make a purchase by borrowing money  Credit- money available for a client to borrow.  A debit card is used to make a purchase with one's own money from his/ her bank account  Debit- a sum of money or spent, or taken from a bank account

 Debt, stress, feeling overwhelmed, struggling with bad credit or financial hardship.   “It will cost you twice as much but you will only be able to afford half as much.”

 Budget Surplus  Surplus can be spent on nonessential expenses.  These include shopping, entertainment, or even adding to your savings.

 “Budget Boss Hog.”  “Penny Pinchin’ Piggy.”

 1. What is the difference between gross income and net income?  2. Tell me the difference between savings and debt, and how they are both created.  3. What is a budget? Why is budgeting important?  4. What are some of the taxes removed from the sample payment record?  5. Name three sources of income. Which one is most important?  6. What are three advantages of a successful budget?  7. Explain the distinction between needs and wants.  8. After going through this module, how has the insight gained impacted your attitude about budgeting