1. Personal Financial Literacy Journal
The Budget Pie Notes
(pg. 3 of your Journal)

2. Go to your table of contents and fill in the following information
Page 3-5: Identifying and Calculating Budget components
TEKS 7.13B: I can…
identify the components of a personal budget and calculate what percentage
each category comprises of the total
budget.

3. Turn to page 3: The Budget Pie
You will be copying definitions for the budget pie in your Financial Literacy Journal.Today is the only day you will get to do this vocabulary.

4. Income: Money that is earned by a person or paid to a person

5. Retirement: Leaving employment completely; money saved to use after leaving work completely.

6. Emergencies: Money saved to pay for unexpected events.

7. College Savings: Money saved to pay for college tuition and other college-related expenses.

8. Taxes: Money paid on income or for goods and services
Taxes: Money paid on income or for goods and services. Taxes are collected by local, state, and federal government.

9. Fixed Expenses: Amounts paid out that do not vary, such as a mortgage, rent payment, or car loan payment.

10. Variable Expenses: Amounts paid out of the budget that do change, such as a groceries, credit card payments, and paying for gas.

11. Calculating Budget Percent: Set up a proportion 𝒙 𝟏𝟎𝟎 = 𝒃𝒖𝒅𝒈𝒆𝒕 𝒄𝒐𝒎𝒑𝒐𝒏𝒆𝒏𝒕 𝒕𝒐𝒕𝒂𝒍 𝒃𝒖𝒅𝒈𝒆𝒕 𝒙 is percent for that budget component