E Block Monthly Budget Rules by Jake Ferguson https://padlet.com/fergusonj23/briky6n2ndv3 What rules should we consider when creating a monthly budget? en-us 2019-01-17 10:26:19 UTC 2019-01-23 14:11:17 UTC hello@padlet.com https://padlet-assets.s3.amazonaws.com/icons/Growing.png Instructions: fergusonj23 https://padlet.com/fergusonj23/briky6n2ndv3/wish/321607199
  • Find a relevant article and summarize the rules into 1-5 bullet points
  • Use the "link" option to link your source for the class to use.
    • ]]>     2019-01-17 10:26:19 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/321607199     50/30/20 budget rule 1zafranyl https://padlet.com/fergusonj23/briky6n2ndv3/wish/323436146 Your budget should be split like this:
    - 50% on needs
    - 30% on wants
    - 20% on savings ]]>     2019-01-23 14:00:45 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323436146     20/10 rule https://padlet.com/fergusonj23/briky6n2ndv3/wish/323436300  
    - The 20/10 rule is something to help you figure out how much money you should be spending per purchase you make.
    - You must put at least 20 percent down on your purchase, and you must keep the total monthly purchase expenses
     - this includes principal and interest payments as well as insurance, under 10 percent of your gross income for the month.


     
    ]]>     2019-01-23 14:01:04 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323436300     20/10 rule https://padlet.com/fergusonj23/briky6n2ndv3/wish/323436748 The first part refers to your overall debt. Excluding mortgage debt, you should keep your borrowing total below 20% of your annual after-tax income. This includes credit cards and debts such as student loans, as well as car loans and any similar installment debt. Link ]]> 2019-01-23 14:02:00 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323436748 The 30 day rule 1oportoa https://padlet.com/fergusonj23/briky6n2ndv3/wish/323436891 -   is a simple method to control impulse spending 
    " Here's how it works: Whenever you feel the urge to splurge — whether it's for new shoes, a new video game, or a new car — force yourself to stop. If you're already holding the item, put it back."

    ]]>     2019-01-23 14:02:16 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323436891     The 70% rule https://padlet.com/fergusonj23/briky6n2ndv3/wish/323437114  
    • 70% is for monthly expenses (anything you spend money on)
    • 20% goes into savings, unless you have pressing debt (see below for definition) in which case it goes toward debt first.
    • 10% goes to donation/tithing, or investments, retirement, saving for college. 
    ]]>     2019-01-23 14:02:39 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323437114     Save First then spend nvm https://padlet.com/fergusonj23/briky6n2ndv3/wish/323437165 2019-01-23 14:02:45 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323437165 30 day rule https://padlet.com/fergusonj23/briky6n2ndv3/wish/323437547 To lower impulse spending, buy items if you have wanted them for more than 30 days.
    https://www.getrichslowly.org/control-impulse-spending-with-the-30-day-rule/]]>     2019-01-23 14:03:24 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323437547     50/20/30 https://padlet.com/fergusonj23/briky6n2ndv3/wish/323437655   

     
    • Step One: Calculate Your After-Tax Income. ...
    • Step Two: Limit Your Needs to 50 Percent of Your After-Tax Income. ...
    • Step Three: Limit Your "Wants" to 30 Percent. ...
    • Step Four: Spend 20 Percent on Savings and Debt Repayments. 
    ]]>     2019-01-23 14:03:37 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323437655     60/30 rule https://padlet.com/fergusonj23/briky6n2ndv3/wish/323437891  Your 60% is the main color for your room. Most likely the 60% in a living room would be most of your walls, large accent pieces like area rugs, and perhaps a sofa. The idea is that the 60% color anchors the space and also serves as a backdrop for what comes next. link ]]> 2019-01-23 14:04:03 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323437891 50/20/30 https://padlet.com/fergusonj23/briky6n2ndv3/wish/323437894  
    The 50/30/20 Rule of Thumb for Budgeting
    • Step One: Calculate Your After-Tax Income. ...
    • Step Two: Limit Your Needs to 50 Percent of Your After-Tax Income. ...
    • Step Three: Limit Your "Wants" to 30 Percent. ...
    • Step Four: Spend 20 Percent on Savings and Debt Repayments. 
    https://www.thebalance.com/the-50-30-20-rule-of-thumb-453922
    ]]>     2019-01-23 14:04:04 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323437894     50/30/20 1irelando https://padlet.com/fergusonj23/briky6n2ndv3/wish/323438275 50 percent of your income toward necessities, like housing and bills. 20 percent should then go toward financial goals, like paying off debt or saving for retirement. Finally, thirty percent of your income can be allocated to wants, like dining or entertainment.]]> 2019-01-23 14:04:51 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323438275 rules 1harpc https://padlet.com/fergusonj23/briky6n2ndv3/wish/323438614 1.Calculate expenses. Your first order of business is finding out exactly how much you're spending each month.
    2.Determine your income.
    3. Set savings and debt payoff goals
    4. Record spending and track progress
    5. Be realistic]]>     2019-01-23 14:05:25 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323438614     28/36 Rule https://padlet.com/fergusonj23/briky6n2ndv3/wish/323438695 - The 28/36 rule states that a household should spend no more than 28% of gross income on total housing expenses, and no more than 36% on all debt 

    ]]>     2019-01-23 14:05:36 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323438695     50/30/20 https://padlet.com/fergusonj23/briky6n2ndv3/wish/323438899  
    https://www.thebalance.com/the-50-30-20-rule-of-thumb-453922

    50% On necessities
    30% On thing you want such as eating at restaurants and  clothing
    20% On savings


     
    ]]>     2019-01-23 14:06:01 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323438899     Student Loans 1zafranyl https://padlet.com/fergusonj23/briky6n2ndv3/wish/323439021 You shouldn't take out more in student loans than you expect to make your first year on the job.
     ]]>     2019-01-23 14:06:14 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323439021     50/30/20 https://padlet.com/fergusonj23/briky6n2ndv3/wish/323439088 This is a popular rule for breaking down your budget. The 50-30-20 rule puts 50 percent of your income toward necessities, like housing and bills. Twenty percent should then go toward financial goals, like paying off debt or saving for retirement. Finally, thirty percent of your income can be allocated to wants, like dining or entertainment.

    There are also variations to this rule, like the 80-20 rule, in which you use 20 percent of your income for financial goals, then spend 80 percent on everything else.

    Why It Works: If you're not sure where to start with a budget, breaking it up into these basic categories can be really helpful. Those percentages help create a balance between obligations, goals and splurges.Link]]>     2019-01-23 14:06:23 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323439088     Saving and Investing 1zafranyl https://padlet.com/fergusonj23/briky6n2ndv3/wish/323439505 You should have six months' worth of savings on hand in case of an emergency. ]]> 2019-01-23 14:07:18 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323439505 Four stages of the budget process 1harpc https://padlet.com/fergusonj23/briky6n2ndv3/wish/323439651 The budget cycle consists of four phases: (1) preparation and submission, (2) approval, (3) execution, and (4) audit and evaluation. The preparation and submission phase is the most difficult to describe because it has been subjected to the most reform efforts.]]> 2019-01-23 14:07:37 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323439651 The 10-Year Rule 1irelando https://padlet.com/fergusonj23/briky6n2ndv3/wish/323441311 This rule has to do with the decision to buy new vs. used. If you want to maximize your car's value, you should either buy used, or buy new and drive the car for ten years. ]]> 2019-01-23 14:10:31 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323441311 Save first, then spend 1zafranyl https://padlet.com/fergusonj23/briky6n2ndv3/wish/323441442 Conventional thinking states that you should spend first, then save what’s left over (assuming you’ve spent less than what you’ve earned over a given period of time). But why not turn that around? Socking away money at the beginning of the month, for instance, bypasses the temptation to spend those extra funds. ]]> 2019-01-23 14:10:43 UTC https://padlet.com/fergusonj23/briky6n2ndv3/wish/323441442