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Overview
CAEC Math
Number Sense
5. Financial Mathematics: Solving Problems with Fractions, Decimals, and Percentages
5.15 Budgeting
How to Make a Budget
Learn how to make a budget plan by tracking income, sorting needs from wants, and setting aside savings, with a worked example for students.
What You'll Learn
Identify all sources of income and list every fixed and variable expense before planning a budget
Apply the balance formula \( N = I - E \) to check whether a budget leaves money left over or runs short
Separate spending into needs and wants to decide where money should go first
Use the 50/30/20 guideline, roughly \( 0.50I \) for needs, \( 0.30I \) for wants, and \( 0.20I \) for savings
Calculate leftover money after expenses to set a realistic savings goal each month
Adjust a budget plan when income or expenses change to keep spending and saving on track
This Unit Includes
Learning resources
TEST-PREP Curriculum Aligned