This document discusses the importance of budgeting and provides steps for creating a family budget. It notes that budgeting helps balance income and expenses to avoid debt and ensure savings. Budgeting provides comfort knowing expenses are covered and enables prioritizing needs over wants. Creating a budget gives a family control over finances and reduces stress. Key factors to consider in budgeting include income level, family size and composition, family values and priorities, basic needs, and discretionary wants. The document outlines steps to budget which include determining income sources and periods, making an expense list divided into fixed, flexible and occasional/emergency categories, allocating amounts for fixed and flexible expenses, and ensuring the budget is balanced.

2. Why is budgeting important?
Balance your income and your
expenditures. If your expenditure
is greater than your income, you
end up in debt. If your income is
greater than your expenditure,
then then you have savings.

3. Give a feeling of comfort
and satisfaction knowing
that your income is
enough for the expenses
of the family.
Why is budgeting important?

4. Enable the family to list
down their needs and
wants and to prioritize the
needs more than their
wants.
Why is budgeting important?

5. Give the family a full and
better life knowing that
the needs are satisfied
first before the wants.
Why is budgeting important?

6. Have a constant reminder
that you are in control of
the family finances, thus,
reducing worries, tension
and stress.
Why is budgeting important?

7. Have you tried eating a
pizza?

8. How many slices are
there?

9. Is it equally slice?

10. Just like budgeting it
should be equally
distributed but there is a
factors to be considered.

11. 1. List down all things you need to be
considered in budgeting family income.
a. ___________
b. ___________
c. ___________
d. ___________
e. ___________

12. 2. Write your answer in the given strips.
3. Write as many as you can and let one
representative to explain the group answer.

13. Checking of output

14. 1. Amount of Income – the
higher the income of the
family, the greater the amount
that the family members can
spend for their needs and
wants.

15. 2. Size and Composition of the
Family – the more the family
members are there, the bigger
the amount of income is spent on
food, schooling, clothing and for
their basic needs.

16. 3. Values of the Family –
Different families and different
individuals have different values
so they have different priorities on
what to spend their money for.

17. 4. Needs and Wants of the Family
– needs are materials which
the family members need to
survive on a day-to-day basis.

18. • Food
• Shelter
• Clothing
Basic
Needs
• Water
• Education
• Transportation
• Lights
Considered
Needs
• materials that the family
members desire to
have
• They can postpone if
the budget is not
enough but can be
purchased if the budget
allows it.
Wants

19. 1. Know your income or
allowances for a definite
period of time – monthly,
weekly, twice a month.

20. 2. Make a list of expenses. Expenses can be
classified as:
• this is an amount set
aside regularly for
the daily expenses of
the family like food,
transportation,
children’s
allowances and
others.
Fixed
• this amount may
be increased or
decreased
depending on the
money available.
Flexible
• this amount may be
considered a form of
savings
• Emergency expenses
include health and
medical expenses,
special occasions like
birthday, fiesta, visiting
a sick or dead relative
Occasional and
Emergency
Expenses

21. 3. Determine the amount
to be spent on fixed and
flexible expenses.

22. 4. Add the expenses
for these two
categories.

23. 5. Check on the figures to
find out if you are spending
the right amount where you
need to.

24. What are the factors affecting
the family income?

25. What are the steps in making a
budget?

26. 1. Create a slogan about
budgeting.
2. Write it in a white
half cartolina.
3. After 9 minutes
present your work.

27. Answer the following:
1. Enumerate the factors
affecting family income.
2. Write the steps in making a
budget.

28. 1. Interview your parents and
ask how they are going to
budget their family income.
(20 Points)
Write your answer in your
assignment notebook.