Intro
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Budgets

A budget lists income and outgoings for a specific period. Both families and companies draw up budgets. Many families draw up a budget every month. This makes it easier to plan how one is going to spend one’s money.

Here is an example of a family budget:

January 2006

IncomeOutgoings
Pay, Laila15.000Mortgage 7.500
Pay, Karim15.000Car loan2.800
Child benefit allowance970Student loan1.500
Nursery school2.500
Local authority charges1.000
Electricity 1.200
Petrol 1.300
Bus pass750
Insurance 1.000
Newspapers 400
Health 300
Food 4.000
Telephone 1.000
Clothing 1.000
Holidays and leisure activities3.000
Savings 1.500
Total income: 30.970Total outgoings:30.750

Discuss Karim and Laila’s income and outgoings.

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