Financial Planning & Budgeting

Question 1

A medium-term goal covers what period of time?

Accepted Answer

one to five years

Question 2

A deductible is paid by...

Accepted Answer

the insurance policyholder

Question 3

Your financial goals should be?

Accepted Answer

specific, measurable and realistic

Question 4

Your budget should reflect and focus on the 3 R's which are:

Accepted Answer

reality, responsibility, restraint

Question 5

Make ______ spending decisions so you spend $ on what you actually want vs. whatever comes up

Accepted Answer

pro-active and smart

Question 6

People who volunteer their time, money, goods and resources:

Accepted Answer

started an early age in life based upon values learned

Question 7

Your employer sends you ____ by Jan. 31 to show how much $ you made & taxes withheld last year?

Accepted Answer

Form W-2

Question 8

Goals like saving for college in a 529 Plan or saving for retirement are what kind of goals?

Accepted Answer

open-ended or long-term goals

Question 9

Which tax must be paid by everyone who works a job?

Accepted Answer

none of the above

Question 10

Your monthly net income = $800. You want to save 20% each month. What is the monthly savings?

Accepted Answer

$160

Question 11

You would use money from your emergency fund to pay for which of the following?

Accepted Answer

An unexpected expense for repairing your car

Question 12

If your budg. monthly Net Inc. is > than the total of sharing, savings and spending you have a?

Accepted Answer

budget surplus

Question 13

How is a budget like a road map to your financial goals?

Accepted Answer

All of the above

Question 14

Which of the following will help you protect yourself from identity theft and fraud?

Accepted Answer

all of the above

Question 15

Which payment option can have interest charged to you?

Accepted Answer

credit card

Question 16

Which is not an example of a risk management strategy?

Accepted Answer

buying a new car

Question 17

Which one of these expenses most likely represents a VARIABLE cost in someone's budget?

Accepted Answer

Concert Tickets

Question 18

If you are trying to substantially reduce the amount you spend on food, you should try...

Accepted Answer

Cooking your own food at home for as many meals as possible

Question 19

Which of the following is a fixed expense?

Accepted Answer

Car Insurance Premium

Question 20

These initial steps should be followed in order to help you to meet your financial goals:

Accepted Answer

identify and prioritize your goals

Question 21

Mr. G's budget has $2,500 per month of net income and $3,000 of expenses (shar., sav. spend.):

Accepted Answer

Mr. G. has a budget deficit

Question 22

The best way to begin planning your budget is to look at your?

Accepted Answer

financial goals

Question 23

Even when you cannot afford to put $ towards your sharing goals you can always?

Accepted Answer

Donate your time to a charitable organization

Question 24

Which 2 factors impact your credit score (FICO score) the most?

Accepted Answer

Your payment history and how much you owe?

Question 25

Most adults with healthy money habits developed them?

Accepted Answer

When they learned them as young people from their parents

Question 26

Jan pays $150 each month for her auto insurance policy. This regular payment is called a:

Accepted Answer

premium

Question 27

Which of these are NOT one of the 6 steps in setting a financial plan?

Accepted Answer

make a complex plan

Question 28

Which statement accurately describes how the 50/30/20 Rule would break down your take-home pay?

Accepted Answer

50% Needs; 30% Wants; 20% Savings

Question 29

Which of the following are our taxes used to pay for?

Accepted Answer

all of the above

Question 30

The _________ money management system helps you look at money in terms of your own values

Accepted Answer

Share, Save, Spend

Question 31

When should your budget be revised?

Accepted Answer

All of the above

Question 32

Deb's monthly net income = $1,200. She shares 10% and saves 15%. How much is left for spending?

Accepted Answer

$900

Question 33

All of the following are fixed expenses except for?

Accepted Answer

Entertainment

Question 34

How often should you assess and review your budget?

Accepted Answer

Every month or two

Question 35

Which of these are NOT a quality of a good budget?

Accepted Answer

All of these are qualities of a good budget

Question 36

Keeping a spending log for a month reveals?

Accepted Answer

your actual expenses

Question 37

A budget is a plan on how to use your money for a given period of time based on your?

Accepted Answer

expected monthly net income sufficient to cover your expenses

Question 38

What type of income should be included in your budget?

Accepted Answer

regular or predictable income like your net paycheck

Financial Planning & Budgeting

Questions 38

Financial Planning & Budgeting

Questions 38