Chapter 3 Budgeting: Using Your Money Wisely 63 Copyright Goodheart-Willcox Co., Inc. May not be reproduced or posted to a publicly accessible website. 18. What will Latoya’s discretionary income be? Will she have enough money to cover her expenses? ______________________________________________________________________________ ______________________________________________________________________________ ______________________________________________________________________________ 19. After you graduate and get a full-time job, your earnings and expenses will increase. Assume you have the income and expenses listed in the chart that follows. What are your total expenses? How much will you have for discretionary income? Monthly Income and Expenses Net pay $3,000.00 Savings 12% of net pay Donations to charity 35.00 Rent 455.00 Utilities 98.00 Cable and Internet services 60.00 Cell phone plan 25.00 Car payment and insurance 480.00 Groceries 235.00 Gas 130.00 College tuition, fees, and books 295.00 Health insurance and personal care 350.00 Payment on a credit card balance 120.00 Clothes 110.00 Miscellaneous expenses 100.00 ______________________________________________________________________________ ______________________________________________________________________________ ______________________________________________________________________________ ______________________________________________________________________________ ______________________________________________________________________________ ______________________________________________________________________________ 20. You decide to make a weekly donation to a local charity. You categorize the donation as a fixed expense in your monthly budget. If you donate $25 per week, what is the total monthly fixed expense amount for your budget? ______________________________________________________________________________ ______________________________________________________________________________