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Budget

Terms associated with budgeting

AB
BudgetSpending plan
Emergency Saving3 to 6 months
Fixed Expensesexpenses that occur monthly for the same amount (car payment, rent, student loan)
Variable Expensesvaries month to month and can be adjusted if needed
Net Worthtaking what someone owns (assets) - what you owe (liabilities) = NET WORTH
SUrplushaving more income than expenses
Deficithaving more expenses than income
Variancea difference
Liquidityeasily converted to cash


Business Teacher
West Point High School
West Point, VA

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