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What is your Budget IQ?

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Budgeting.  What is a Budget?

Budgets are a plan.  Budgets are important.  They are an outline of income and expenses that guide you through your spending and savings each month.

By creating a budgeting plan it allows you to know ahead of time where you stand and how much available money you will have for monthly expenses, savings, or extra money left over (if you’re lucky!).

Currently, people are feeling overwhelmed by debt with more than 92% saying they are in more debt than they were five years ago.  At least with a budget, you will be able to pay your bills on time, manage savings, cover unexpected costs such as emergencies for now and in the future.

  • Question of

    First of all – would you look at your gross income or net income

    • Maybe net income?
    • Possibly gross income?
    • I really don’t know
  • Question of

    OK – Your paycheck has to be divided correct? There are savings, expenses and always the unknown.

    • My plan is to put 10% in savings and 40% in living expenses and spend the rest
    • I think you should account for 50% living expenses, 20% savings, and 30% leftover
    • I’ll just put away $150 per month and take care of the rest
  • Question of

    Are you one of those who keeps a journal of your spending each week?

    • No, I’m kind of lazy. I don’t want to know how much I spend on takeout.
    • No, but I’m faithful at checking my bank and credit card statements
    • Yes, and I’m glad I do. It’s amazing how much eating at home saves money!
  • Question of

    Say you’re out of orange juice, at the store will you…..

    • Choose the one on sale?
    • Store brand which is just as good
    • Only the best orange juice for me! It has to be premium.
  • Question of

    It’s grocery shopping time!

    • I try and stick to a list but sometimes I see items that catch my eye and have to have them
    • I always stick to my list
    • No list, it’s boring. I just buy whatever I think I need or looks kind of interesting.
  • Question of

    Are you putting money away for your retirement?

    • Yes, I put in a fixed amount every month to IRA (401K)
    • No, but I have a savings account where I put the same amount every month
    • No, sometimes I save, sometimes I don’t.
  • Question of

    You want that dining room table & chairs so badly. What’s your thinking?

    • I’m buying it right now. So what if I’m a little short this month.
    • Think I’ll hold off until later. At the end of the month who knows, I may have money left over.
    • I want it but I also need a vacation and I’m saving for that. A vacation is more important.
  • Question of

    Bank accounts. How many do you have?

    • One checking, one short-term savings, one long-term savings
    • One checking and one savings
    • One checking and one saving with hardly any money in either
  • Question of

    Life is tough and you work hard for your money. You’re trying to manage money better but friends ask you out for drinks. What do you decide to do?

    • You go but decide to go easy on the drinks while still enjoy the outing with friends. Just because you’re on a budget, doesn’t mean you can’t enjoy life.
    • Nope, I decline. I have to stick to my budget.
    • You go, and buy drinks for everyone. You deserve it!

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Written by livinginstigma

Mental Health Advocate anti stigma, struggle w/depression, PTSD, chronic migraines, narcissist survivor. Blog chronic pain & invisible illnesses. Writer, poet.

18 Comments

  5. I took this quiz, and I agree it’s good practice to follow this advice, but the quiz doesn’t apply to the USA today. I’ll point some facts out. Starting with number two. I got the question right, but does not apply anymore, since you have to work 3 full time jobs in my state to afford just rent. This does not include anything else. No utilities, insurance, car, food. Number 6 again Most of the USA cannot afford housing since there is a current housing crises, mentioned above. Question number eight did not have an option for me, I only have one checking account, and no savings account. The checking runs dry a week into the month. I have a skilled profession too! What about the people that only work a minimum wage job. And lastly number 9.. who can afford to go out.. Sorry this is so long, but I think the housing crises needed to be mentioned.

    • I surely agree with you and am unsure exactly of the year that these stats were from. I am from Canada and we have the same problem here as well. Thanks for playing and your valuable comment. Have a great day. 🙂

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