1. Name_____________ Date:_____________
Topic: CREATING A BUDGET
Pages

2. Write the quote on page 502 down
A tiny…..

3. Warm up List 3 short term financial goals (next month – 2 years) #1 #2#3
Star most important and then write
Now write how you plan on accomplishing these short term financial goal. What are you going to do? (4 min. non-stop write)

4. Reasons why you should create a budget
1) Money problems can cause stress
2) Wreck personal relationships
3) Trap people in jobs they don’t like just so they can pay their bills
4) Careless spending can ruin your lifestyle

5. 4 Steps to Successful Budgeting
Budgeting begins by simply writing how much money you receive and how much you spend.
4 Steps to Successful Budgeting
1) Make a list of your earnings. Then calculate your total monthly income.
2) For one month, keep a record of everything you spend money on.
3)At the end of the month, organize the record of your purchases into categories. Find the total for each category. Examples: food, entertainment, and clothes.
4) On a sheet of paper, make a list of expenditures and the amounts. Then calculate your total monthly spending.

6. Record keeping can be very revealing!
Do you have a little money left over at the end of the month? Or / Do you spend more than you earn?
Experts recommend that you put away about 10% of your income into savings.
If you spend more money than you earn then it is time you create a budget.

7. Living Within Your Budget
1) Look at your expenditures and find areas in which you can cut spending.
2) Keep cutting until you can reserve 10% of your earnings into savings.
3) Distinguish between “needs” and “want”.
After Calculating Income and Spending.
This is your new budget, a plan for saving and spending.

8. Tips on saving money $$$
1) Buy food from the grocery store instead of eating out.
2) Use ATM machines wisely.
3) Shop for clothes that are on sale.
4) Distinguish between “needs” and “want”.
5) Try not to rationalize impulse buying.
6) Ask a friend or family member to help keep you on track with your new budget.

9. Check Your Understanding pg. 503#1
#2 In groups (of 2 or 3) come up with 5 specific ways have learned or heard about that help you save money?
#3 You will begin keeping track and/or budgeting your money $ soon. Think about how you will successfully track your money soon!!