Grade 12 Budget Planning Worksheet
A comprehensive worksheet for Grade 12 students on budget planning, covering income, expenses, savings, and financial goal setting.
Includes
Standards
Topics
Budget Planning and Financial Goals
Name:
Date:
Score:
Read each question carefully and provide thoughtful, detailed answers. Show your work where applicable.
Understanding Income and Expenses
1. Define the following terms in your own words:
a. Gross Income:
b. Net Income:
c. Fixed Expenses:
d. Variable Expenses:
2. Which of the following is typically considered a fixed expense?
Groceries
Rent
Entertainment
Utilities (variable portion)
3. The primary purpose of creating a budget is to:
Spend more money
Track income and expenses
Avoid paying taxes
Increase debt
4. Sarah earns a gross monthly income of $3,500. Her deductions for taxes and benefits amount to 20% of her gross income. Her fixed expenses include rent ($1,200), car payment ($300), and student loan payment ($250). Her variable expenses typically include groceries ($400), utilities ($150), and entertainment ($200).
a. Calculate Sarah's net monthly income.
b. Calculate Sarah's total fixed expenses.
c. Calculate Sarah's total variable expenses.
d. Does Sarah have a surplus or deficit each month? By how much?
5. True or False: It is generally recommended to allocate at least 10% of your net income to savings.
True
False
6. True or False: A budget should be reviewed and adjusted periodically.
True
False
7. Imagine you are planning for your financial future after high school. Describe one short-term financial goal (within 1 year) and one long-term financial goal (5+ years). For each goal, explain how you would incorporate it into your budget and what steps you would take to achieve it.