MONEY MANAGEMENT Child Development What is Money From

MONEY MANAGEMENT Child Development

What is Money? From Dictionary. com money [muhn-ee] noun, plural moneys, monies. 1. any circulating medium of exchange, including coins, paper money, and demand deposits. 2. paper money.

What is Management? From Dictionary. com management [man-ij-muh nt] noun 1. the act or manner of managing; handling, direction, or control. 2. skill in managing; executive ability:

What is a Budget? From Dictionary. com budget [buhj-it] noun 1. an estimate, often itemized, of expected income and expense for a given period in the future. 2. a plan of operations based on such an estimate.

What is Income? From Dictionary. com income [in-kuhm] noun 1. the monetary payment received for goods or services, or from other sources, as rents or investments. 2. something that comes in as an addition or increase, especially by chance.

What is an Expense? From Dictionary. com expense [ik-spens] noun 1. cost or charge: the expense of a good meal. 2. a cause or occasion of spending:

What is Profit? From Dictionary. com profit [prof-it] noun 1. Often, profits are gain resulting from the employment of capital in any transaction. 2. the monetary surplus left to a producer or employer after deducting wages, rent, cost of raw materials, etc. :

What does it mean to be Financially Responsible? Live within your means - even if that means changing the way you live Pay yourself first Save 3 to 6 months of income for that inevitable rainy day Start and maintain an automatic payroll deduction plan for long-term savings Write a household budget and follow it

What does it mean to be Financially Responsible? Track your expenses - know what your actual expenses are Be careful with debt – particularly expensive credit card debt Pay off credit card debt as quickly as possible Know and manage your FICO (credit) score Take advantage of free credit reports every year

General “Rule of Pay” Formula from TAKE HOME PAY 35% for Home/cost of living 15% for travel - includes car payment and gas 25% for other - includes clothing, extras, vacation 15% max on debt loans 10% for Savings - pay yourself first

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