ECONOMICS
BUDGETING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Prioritize the list in order of importance.
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Make a list of all of your expenses for the month ahead.
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Budgeting with an irregular income is no different than budgeting with a regular income.
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When your check comes in, spend your money all the way down the list
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Detailed explanation-1: -Examples of irregular income include: Self-employment income. Commissions based income. Quarterly or annual bonuses.
Detailed explanation-2: -Establish a baseline monthly income. This is your “I can count on earning this much no matter what” income. Make a list of required monthly expenses. Pinpoint other monthly expenses. Use your baseline income. Include additional earnings. Create a buffer account for low months. 12-Oct-2022
Detailed explanation-3: -Food: 10 – 20% Clothing: 3 – 5% Transportation: 15 – 20% Housing: 35% Utilities: 5% Medical: 3% Debt Payments: 5 – 15% Savings: 5 – 10% More items
Detailed explanation-4: -Define your essential monthly expenses. Track your spending meticulously. Estimate your lowest monthly income. Identify non-essential expenses. Consider building an emergency fund. Keep your budget accessible. Don’t get discouraged-keep budgeting! Keep your cash safe.