1. Budgetwi$e Love your Money Jayne McBurney, MS Family & Consumer Sciences Agent http://johnston.ces.ncsu.edu/ 2736 NC Highway 210 Smithfield 989-5380

2. Statistics 2011: The Average BS $23,300 student loan debt Starting salaries: –$28-$60K Need to earn about $33K to live and pay off debt = $15.00/hr

3. Understand Income Gross income vs Net Income Before taxes and deductions ‘bring home pay’ $33,000$23,760 $2750/month$1980/month $635/wk$457/wk

4. Financial Planning What is it??? It is a Means to an end It is a way of achieving goals It is often based on making good decisions It is getting the resources together you need to attain your goals.

5. Five steps: 1.Set Goals 2.Analyze Information 3.Create a Plan 4.Implement the plan 5.Monitor and Modify the plan

6. SMART Goals Specific: To buy a laptop in December. Measurable: It will cost $500. Attainable: I will save $50/month Realistic: how will I get the $, look at spending Time Bound: I will have a computer in December!

7. Analyze Write down EVERYTHING you spend Use a calendar and mark due dates

8. Monthly debts Should be less than 15-20% of net income $297-396/month

9. Housing 25% - 33% of gross pay $688-907/month

10. Vehicle less than 15% of gross including insurance, gas and maintenance $413/ month

11. Create a plan: Budget Income Minus fixed: the NEEDS Rent, Mortgage, utilities, insurance Minus flexible: the WANTS Food, clothing, phone, entertainment Anything left? Emergency / Savings

12. Implement the plan:Find $ Nails/ Haircut…can you wait a week? –Have hair and nails done every ten days, save $50/mo Daily lunch, at a modest $5 = $100 a month - Pack Lunch 3 days a week, save $60/mo Cable….movie packages –Rent movies, save $25-$50/mo Cell phone - Internet –If you have a smart phone, you may not need Internet service at home, save $45/mo Vending machine: 1/day @ 75¢, $15/month –Bring snacks from home in a cooler, save $30/mo Memberships, Subscriptions, Services Barter, Trade, Sell, FREE!

13. Talk Communicate with those who depend on your paycheck about spending issues and financial goals

14. Fun & Helpful websites www.bankrate.com www.feedthepig.org www.choosetosave.org www.thedailygreen.com www.soundmoneymatters.com