ECONOMICS
BUDGETING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Start with a small goal and gradually get more ambitious
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Take a percentage of your paycheck and deposit it directly into a savings account
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Avoid spending money that you don’t have and running up credit card debt
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Request to be paid in cash so you can save a certain percentage of your money in a shoebox in your room every month
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Detailed explanation-1: -Methods of saving include putting money aside in, for example, a deposit account, a pension account, an investment fund, or as cash. Saving also involves reducing expenditures, such as recurring costs.
Detailed explanation-2: -Pay yourself first. If you wait to see what income is left over after paying expenses, you are less likely to save. Take advantage of bank technology. Pay your bills on time and pay more than the minimum amount. Determine needs versus wants. Shop around. Consider investments. Consult your local bank.
Detailed explanation-3: -The Emergency Fund. This is your “Do Not Touch"fund. The “I can touch"fund. This is for things you know are going to happen, but just not every month. "I know what I want, I just need to pay for it"fund. This kind of savings is for a specific goal or purchase. Long-term savings.
Detailed explanation-4: -Track your spending. One of the greatest contributors to overspending is a credit card. Establish a budget. Set up savings goals. Use an automated tool. Prepare for grocery shopping in advance. Bring your lunch to work. Stop paying for cable television. Create an emergency fund. More items