PRESENTATION FAMILY BUDGET Planning the family budget is

PRESENTATION

FAMILY BUDGET � Planning the family budget is an important family affair. It is a plan of expenditures that provides necessities of life and contributes to the personal development of happiness of every family member.

IMPORTANT OF FAMILY BUDGETING � - Family budgeting is an important task usually delegated to the mother and the father. All family members should have the knowledge of family budgeting. So that the prepared plan for spending income will be more realistic and the members will learn to spend wisely, save regularly and participate in family matters more actively.

Condition Affecting the family budget � � � 1. Size of family- more money would be spent for food, shelter and clothing if there are 10 members of the family than if there were only 3. 2. Amount of money to spend- if the amount of money is limited, the more it is important to get most of it. The bigger the income the greater is the percentage for luxuries, and comfort in life. 3. Age of family members 4. The health of the family members � 5. Ideas and interest of the family and activities member enjoy. � 6. Spending habit of friends and neighbours � 7. Family life cycle �

Components of a family budget v The percentage allotted for each type of expense varies depending on the family values, size and stage of the family's present condition. Ø Ø Foods - 40 TO 50 % purchases on food are made of groceries , meat, vegetables, poultry, fish and food purchase outside the home. Shelter or housing- 15 to 20% goes to the monthly rent. Clothing- 10 to 15 % includes RTW clothes, material, for clothes and shoes. Operating expenses- 10 -15 % the needed to keep the house in good condition a, Family- light fuel, telephone, laundry, cleaning, suppiles, water. b, Personal – transportation fares, toilet articles like soap, face, and body cleaners and make up. C, automobile – oils repairs , license, insurance.

Ø Ø 5. Advancement – 10% expenses incurred for school, medicines and family recreation. 6. Savings- 5 to 10 % includes savings and investments like insurance, bond, stocks

THE NEEDS AND DEMANDS OF THE FAMILY § Preparing a realistic family budget is difficult if the needs and demands of the family members are not given careful consideration. v Needs – refers to necessities that are basic and those which the family cannot do without. v. Demands – those which the family or its individual wish to have or posses.

THANK YOU! PREPARED BY Josette T Dasal BEED 3 A