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BUDGETING TUTORIAL

Budget:	Tool commonly used to measure expenses against income. A written plan that helps people manage their money.
Down Payment:	Initial payment, usually a large amount, used to reduce the amount financed.
Types of Expenses:	Fixed: Expenses due at a particular time or on a regular schedule. These expense amounts remain the same or change according to a known schedule (for example, rent or car payment). Flexible: Expenses that occur by choice and are subject to change (for example, hobbies and entertainment). Variable: Expenses that take place on a regular basis and are consistent and predictable, but the amounts change (for example, utilities and credit cards).
Types of Income:	Gross Income: Total amount of money earned before any taxes and payroll deductions are subtracted. Net Income: Gross income minus taxes and payroll deductions; your take-home pay. Bi-Weekly Income: Payment every two weeks (for example, every other Friday). Semi-Monthly Income: Payment twice a month, such as on the 15th and the 30th.