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The Ultimate Personal Budgeting Quiz
by Staff
Whether you have money flowing out of your pockets or you're barely scraping by each month, it's essential that you have a personal budget. Take the time and energy to devise and revise a monthly budget plan to help with your spending and increase your savings. Take this quiz and learn more about how you can become money savvy.

What is the purpose of a personal budget?

  • to figure out how much you earn
  • to figure out how much you spend
  • both of the above

How much should you save each month?

  • as much as you can
  • at least $50
  • at least $100

At what age do most Americans first begin thinking about saving for retirement?

  • 30 years old
  • 40 years old
  • 50 years old

What is the average age that working Americans think they will retire?

  • 60 years old
  • 65 years old
  • 70 years old

Why should you consider using personal finance software for creating your monthly budget?

  • Keeping track of earnings can be difficult.
  • Keeping track of spending can be difficult.
  • both of the above

What two categories should you divide your spending into?

  • fixed and discretionary spending
  • essential and miscellaneous spending
  • priority and secondary spending

The goal of a good budget plan is to save ____ percent of your earnings each month.

  • 5
  • 10
  • 15

How will you know where to make spending cuts if needed?

  • Personal finance software can provide suggestions.
  • Always cutback on eating out first.
  • Reduce spending money on poor habits like cigarettes.

What are cash culprits?

  • coffee, tobacco and alcohol
  • restaurants, taxi fares and gasoline
  • both of the above

Besides cutting back on discretionary funding, what other areas can you reduce your spending?

  • taxes, if you are self-employed
  • refinancing your mortgage
  • both of the above

How can you stay on track with your new personal budget?

  • keep track of all your receipts
  • write down all your expenses in a notebook
  • both of the above

How often should you review your budget goals?

  • every month
  • every few months
  • every year

What is the most important thing to do with your extra money?

  • Pay off credit card debt.
  • Save the money in a bank account.
  • Keep cash stashed in the house.

How do you stay ahead of inflation?

  • Save at least 10 percent of your income.
  • Earn at a greater rate than inflation.
  • both of the above

What expenses typically are not factored into a budget plan?

  • seasonal expenses and property taxes
  • car registration and maintenance
  • both of the above