Question

Congratulations! You are entering the working world! As a college graduate with a good job, you are earning $50,000 a year. After taxes are taken out, your net income is $42,000 ($3,500 a month).
Using your monthly income, create a budget for your expected expenses for the month. Remember, a budget is a plan for how you want/need to spend and save your money. After working through your budget, answer the questions that follow.

For all of the following, circle which payment option you choose, and then write the amount in the space provided.
Power Bill
Trying to be conservative: $120
Normal power bill: $150
“I need more heat!! It’s cold!!”: $180 Total amount for power bill: ________________

TV/Internet Bill
Internet and local channels only: $30
Normal Internet and TV plan: $90
Normal cable + extras (Movie channels, etc.): $120 Total amount for TV/Internet bill: ________________

Cell Phone Bill
Call and Text Only (no internet usage): $20
Call, Text, 3GB Data: $40
Call, Text, Unlimited Data: $70 Total amount for cell phone bill: _______________

Water Bill
Trying to be conservative: $20
Normal water bill: $35
REALLY long showers, lots of laundry, etc.: $50 Total amount for water bill: _______________

Groceries
Use coupons & buy just enough: $350
Buy for meals, but also some extra: $425
Always buy lots of meals, snacks, etc!: $500 Total amount for groceries: ________________

Going out to eat
Only once in a while: $50
Frequently: $120
Eat out all the time: $250 Total amount for going out to eat: __________________
Car Payment:
Paying off Mom and Dad’s old car: $100
Used car but in good condition: $250
Really nice, expensive car: $400 Total amount for car payment: _______________

Gas
Only drive when totally necessary: $120
Drive frequently for work, to see friends, etc: $180
Always on the road! Traveling, hanging out, etc.: $250 Total amount for gas: ________________

Insurance (health, dental, etc)
Minimum amount of insurance: $100
Good insurance, but not the best: $220
Best possible insurance: $350 Total amount for insurance: __________________

Charity
No donations: $0
Donate to one or two different charities: $100
Donate to lots of charities: $300 Total amount for charity: __________________

**Add up all of your expenses. What is your total amount of spending per month so far? _________________________

You haven’t factored in your payment for a house or apartment yet!!
Use www.realtor.com to find a house or apartment in GA that you like but also that will fit in your budget!! On the website, you can see the estimated monthly payment (see example below) --- that monthly payment is the information you will need to know for your budget!!!

Once you have chosen the house/apartment you want, fill-in the total monthly payment here: _________________________


Now, what is your TOTAL amount of spending per month? (Add your monthly house payment to the total amount of spending that you added up earlier)
_________________________________________

*Remember, your monthly income was $3,500. Based on the budget you just created, is your total monthly spending ABOVE or BELOW $3,500? _______________________________

Answer the following in complete sentences with 3-5 sentences for each answer. You will either answer questions 3 & 5 if your budget came in below your monthly income, or 4 & 5 if your budget came in above your monthly income.
3. If your budget is BELOW your monthly income (less than $3500), what would you do with that extra money? If it is above, skip to question #4.



4. If your budget is ABOVE your monthly income (more than $3500), what are some ways you may consider cutting back on certain costs? If it is below, skip this question but make sure you’ve answered question #3.




5. What are some other things that may have been left off this budget that you would want or need to spend money on?

Answer 1

Answer:

your question is too long.