Budget Simulation Activity!!
Assignment:
It’s time to move on with your life… Mom and dad are sending you out into the “world” to make it on your
own. You will need to make some “grown-up”decisions about real-world situations.
1. Where are you going to live?
a. live in mom’s basement ($0)
b. live at mom’s for rent ($200)
c. rent an apartment ($?)
d. rent an apartment with a roommate (1/2 rent)
2. You will need to pay for utilities.
a. telephone ($?)
i. if a cellphone don’t forget texting and data
ii. if a landline, you can split with a roommate
b. electricity (?)
c. heat/gas ($?)
d. water/sewer(?)
e. furniture ($75/month)
f. Renter’s insurance ($15)
3. Transportation.
a. walk or ride a bike ($0)
b. bus fare ($180/month)
c. maintain a used car for $2000 ($75/month + $110 for insurance)
d. new small car -a Ford Focus ($250/month + $200 for insurance)
e. new truck –a Ford F-150 ($440/month + $275 for insurance)
f. new sports car –Mustang ($345/month + $515 for insurance)
g. $2000 down payment for any new vehicle ($35/month)
4. Transportation Maintenance
a. gasoline and oil changes ($85)
b. repairs ($20 for new cars $100 for used cars)
5. Food…
a. Breakfast at home ($1/day X days =___)
b. Breakfast fast food ($3/day X days =___)
total $_____/month
c. Lunch at home ($2/day X days =___)
d. Lunch fast food ($5/day X days=____)
total $_____/month
e. Dinner at home ($4/day X days =___)
f. Dinner fast food ($6/day X days=__)
total $_____/month
g. You may eat for free at mom’s 4 times per month
h. ***Assume that there are 30 days in a month***
6. Personal Expenses
a. clothes, shoes, and accessories ($50-$100)
b. toiletries –deodorant, toothpaste, etc. ($20)
c. haircut/style ($10-$100)
d. laundry ($3/load X 10/month)
e. medical insurance ($175)
f. vision insurance ($10)
g. dental insurance ($10)
h. other medical prescriptions, etc ($10)
i. misc expenses –hobbies, etc ($?)
j. pet food/supplies ($40)
k. gifts/church ($?)
l. other ($?)
7. Entertainment & Recreation
a. basic cable ($35)
b. premium channels ($50)
c. high-speed cable ($45)
d. electronic devises –ipad, ipod, mps, laptop ($?)
e. purchasing/renting videos, cds, etc. ($?)
f. sports -fees, sports equipment, travel, etc. ($?)
g. admission fees to sporting events ($?)
h. recreational activities fees - bowling, ice skating, skiing, etc. ($?)
i. eating out @ places better than fast food ($?)
j. admission fees to movies or concerts ($?)
k. other ($?)
l. Vacations!
i. airfare, hotel, food, etc. ($125/month)
8. Savings and Contributions
a. emergency savings account ($50/month)
b. charitable donations ($20/month)
9. College
a. community college (pay as you go? ($?))
b. four year university (pay as you go? ($?))
((college loan payments?)
10. How Much Will You Need??
a. add up all your expenses ($?/month)
b. multiply this by 12 to find your yearly expenses
11. Tax Time!
a. you need to pay federal, state, and social security
taxes on top of what you need to
“survive.”
b. multiply your total needed income (answer in 10 b) by
1.33 (33% for taxes added to your income)
c. this is the amount of income you need to live the
lifestyle you chose.
12. What is Your Career Choice Again??
a. research your career you chose from CareerCruising (be realistic, chose something you
seriously like -not everyone makes $100,000/year)
b. subtract your answer from 12 b from your income research in CareerCruising
i. is it more or less?
ii. can you maintain this lifestyle on your projected income?
13. Pulling it Together
a. create a spreadsheet using your Google account of all your answers (1-13) in an
organized way with brief descriptions.
b. present your findings to the class and be prepared to explain your findings in section 12.
YOUR GRADE :
1. DON’T WASTE TIME.
2. WORK ALL THE TIME .
3. SOLVE PROBLEMS, DON’T CREATE THEM.
4. CREATIVE PRESENTATION.
5. INFORMATIVE INFORMATION.
6. HAVE FUN!
Final Thoughts...
There is no right or wrong answer… Don’t feel that you will fail this assignment if you will spend more than you make
–don’t adjust your numbers!!
-be honest.
-try hard.
-consider your choices.
-be realistic.
budget_activity.doc | |
File Size: | 392 kb |
File Type: | doc |
budget_activity.xls | |
File Size: | 56 kb |
File Type: | xls |