1. PERSONAL BUDGETING Budget – A plan for earning, saving, borrowing and spending.

2. Copyright © Texas Education Agency, 2012. All rights reserved. 2 “Copyright and Terms of Service Copyright © Texas Education Agency. The materials found on this website are copyrighted © and trademarked ™ as the property of the Texas Education Agency and may not be reproduced without the express written permission of the Texas Education Agency, except under the following conditions: 1)Texas public school districts, charter schools, and Education Service Centers may reproduce and use copies of the Materials and Related Materials for the districts’ and schools’ educational use without obtaining permission from the Texas Education Agency; 2) Residents of the state of Texas may reproduce and use copies of the Materials and Related Materials for individual personal use only without obtaining written permission of the Texas Education Agency; 3) Any portion reproduced must be reproduced in its entirety and remain unedited, unaltered and unchanged in any way; 4) No monetary charge can be made for the reproduced materials or any document containing them; however, a reasonable charge to cover only the cost of reproduction and distribution may be charged. Private entities or persons located in Texas that are not Texas public school districts or Texas charter schools or any entity, whether public or private, educational or non-educational, located outside the state of Texas MUST obtain written approval from the Texas Education Agency and will be required to enter into a license agreement that may involve the payment of a licensing fee or a royalty fee. Call TEA Copyrights with any questions you have.

3. Explain the Reasons to Track Income & Spending Understand the concept of Pay Yourself First BUDGETING Copyright © Texas Education Agency, 2012. All rights reserved. 3

4. Key Terms E XPENSES I NCOME B UDGET What you spend money on Any money you receive A plan for managing your money during a given period of time. Copyright © Texas Education Agency, 2012. All rights reserved. 4

5. Reasons to Track Income and Spending BUDGETING Copyright © Texas Education Agency, 2012. All rights reserved. 5

6. Do you spend more than you make? Spending and saving is about lifestyle choices. Make sure your spending is in sync with your income Learn to evaluate your cash flow Understanding your financial situation can help you to get the best rates for paying off debts and for saving. Make informed decisions about what to do with your money Spending habits – the choices you make If your goals include taking a vacation or going to school, you need to know today so you can make plans Understand what you need to do to achieve future goals. Reasons to Track Income and Spending Copyright © Texas Education Agency, 2012. All rights reserved. 6

7. Understand the concept of Pay Yourself First http://www.yupedia.com/personal-budgeting.html Copyright © Texas Education Agency, 2012. All rights reserved. 7

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