How To Budget by Breanna Bolskar

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Slide Notes

How To Budget

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PRESENTATION OUTLINE

BUDGETING

BREANNA BOLSKAR & AUTUMN POWLESS

DEFINITIONS

See essential question #1
Expenses: the amount of money that is needed to pay for or buy something
Net income: The total earnings minus expenses and taxes for a period of time

VIDEO

https://www.youtube.com/watch?v=pN709oX9Bzk

Photo by Tax Credits

WHAT IS A BUDGET?

Financial plan
Guide to reach financial goals
Plan to avoid debt and improve credit
An estimate of income and expenses for a set period of time
Autumn avoids debt in college by planning out spending monthly

Photo by StockMonkeys.com

WHY IS IT GOOD TO BUDGET?

Separate "live to haves" and "need to haves"
Balances money and expenses
Helps keep track of where money goes instead of wondering where it all went
Prepare for unexpected expenses and obstacles
Autumn creates a list of her necessities and wants to balance her budget

Photo by c_ambler

HOW DO YOU SET UP A BUDGET?

Know your net income without taxes and insurance
Fixed expenses (car payments, mortgage)
Variable expenses (phone, groceries, clothes, entertainment)
Prioritize and keep track of spending monthly
Autumn creates a list of what she plans to spend money on and what she has spent money on

Photo by GotCredit

WHAT HAPPENS WHEN YOU DON'T BUDGET?

Debt
Stress and fail to live the life you want
Unable to spend money on things you want
Unable to pay bills with extra spending
Autumn is stressed because she struggles to pay rent, electricity, and water.

Photo by Josh Kenzer

WHY DO SOME BUDGETS FAIL?

Restricts you by controlling spending
Lack financial education
Don't think about, track, or plan your purchases
No planning for emergencies
Autumn doesn't save or have money because she loses control on how much she spends on pointless things

Photo by Jez Page

SOURCES

Photo by Unripe Content

SOURCES

Breanna Bolskar