1. Section 1

1.12. Lesson 2

Mathematics 20-3 Module 1

Section 1: Personal Budgets

 

Lesson 2: Creating a Budget

 
Focus
 

Many people find it difficult to live within their means. Even though they may have what appears to be adequate income, at the end of each month they are struggling to pay all their bills and may go further into debt by resorting to credit. One way to avoid accumulating debt is to draft a conservative budget and follow this guide as strictly as possible. To create this budget, it is necessary to review spending habits and determine which expenses can be reduced or eliminated.

 

In this photo a bank book, a calculator, and some budget guidelines are on a desk.

iStockphoto/Thinkstock

 

A conservative budget is a plan to help people live within their means. Expenses will be less than income, with money left over at the end of the month.

 

Lesson Question
 

How can you estimate your income and expenses so that you can create a conservative budget?

 

Assessment
 

Your assessment for this lesson may include a combination of the following:

  • course folder submissions from Try This and Share

  • your contribution to the Mathematics 20-3: Glossary Terms

  • Lesson 2 Assignment (Save a copy of your lesson assignment to your course folder now.)

  • the Project Connection
Materials and Equipment
  • calculator