1. Budgets

2. What is a Budget? A budget is a written document or electronic file that helps you take control of your personal finances The goal of a budget is to identify how much money you make (net income) and then you subtract it from your expenses (things you need to spend money on) It is an excellent money management tool that helps you achieve your financial goals. It is especially important in the following situations:

3. Budgets If you find money is tight If you don’t know where your money is going If you are having problems paying off your debts If you don’t save regularly If you want to find ways to make your dollar stretch even further

4. Making a Budget Make a list of all the necessities that you think are important to include in a budget. What do you think is important to have in a budget?

5. Detailed List of Budgetary Items for Avg. Family Houses (rent vs owning) Car vs bus pass Gasoline Food Clothing Heat Water Municipal Taxes Housing Insurance Phone Television Internet Extra Curricular Activities Entertainment – movies, video games, dinners, opera, theatre and etc... Health Care Costs – MSP, Dental, Medication, Toiletries Maintenance Repairs - at living accommodation Savings Student Loans

6. HOUSING $370 $700 - 1800 $700 - $1000 At home w/ parents Bachelor Suite/1 Br Apartment Share 2 Br Apartment w/ roommate *Average monthly costs for BC youth after high school in the Lower Mainland

7. TRANSPORTATION $1957 $402 $156 New Car – (Loan, Insurance, Gas) Used Car - (Loan, Insurance, Gas) Public Transit *Average monthly costs for BC youth after high school in the Lower Mainland

8. FOOD $431 $193 $35 Buy at Grocery Stores Occasional eating out (Dine out / Take out) Beverages *Average monthly costs for BC youth after high school in the Lower Mainland

9. UTILITIES $69 $54 Electricity Natural Gas *Average monthly costs for BC youth after high school in the Lower Mainland

10. COMMUNICATIONS *Average monthly costs for BC youth after high school in the Lower Mainland Landline Phone$27 Cell Phone$85 Internet$46 Cable$51 Bundle (Phone, Internet & Cable) $118

11. CLOTHING $166 $90 Women Men *Average monthly costs for BC youth after high school in the Lower Mainland (Clothing, Footwear & Accessories)

12. HEALTHCARE $42 $37 $41 $23 Medications (prescriptions) Medications (non-prescriptions) Dental Services Eye-care Goods & Services *Average monthly costs for BC youth after high school in the Lower Mainland

13. INSURANCE $51 $4 - 15 Medical Premiums Apartment Content *Average monthly costs for BC youth after high school in the Lower Mainland

14. ENTERTAINMENT $33 $46 $83 $61 TV, Video, Audio Equipment Pro Sporting event (1x) Concert (1x) Nightclubs/pubs (2x) *Average monthly costs for BC youth after high school in the Lower Mainland

15. ENTERTAINMENT Health Club fees Sport Fees & Equipment Lessons $34 $59 $17 *Average monthly costs for BC youth after high school in the Lower Mainland

16. PERSONAL $35 $86 $27 $23 Hair Grooming Manicures Makeup Personal Care (soap, shampoo, etc..) *Average monthly costs for BC youth after high school in the Lower Mainland

17. Monthly Budget Exercise You work 40 hours per week at minimum wage ($10.45 per hour) Expenses – Housing, Transportation, Utilities, Food, Clothing, Health Care, MSP Insurance, Housing Insurance, Personal Care (Toiletries), Communications, Entertainment, Savings. In pairs (or group of three) identify how much money you would spend for each expense per month. Then use the computers (in pairs), download the “1. budget template” from my website and fill it out accordingly.