Managing Your Income Chapter 24 Cooperative Ed II

BUDGETING Rule No.1: Never lose money. Rule No.2: Never forget rule No.1. – Warren Buffett If you would know the value of money, go and try to borrow some. – Benjamin Franklin Never spend your money before you have earned it. - Thomas Jefferson

BUDGETING To make the most of the dollars you earn you need to know how to manage your $. Budget – Budget is a written plan to help you make the most of the money you have. Control where your $ goes Work towards short- & long-term goals Keep from overspending Reduce wasteful spending

BUDGETING 5 Major Steps to Budgeting Establish financial goals Save x dollars per year, go on vacation, buy a car, have emergency $ fund, move out Estimate your income & expenses Balance your budget Keep track of your income & expenses We will track all of February with daily checks Evaluate your budget

BUDGETING TODAY’S OBJECTIVES You will establish your own personal goals You will begin to track your spending for EVERY day in February