Unit 2 Touchstone Template [Protected View] - BExcel (Unlicensed Product) 9 Tell me what you want to do 36T L3 Page Layout Formulas BETEY Review L= 214 o PROTECTED VIEW Be carefulfiles from the Internet can contain viruses. Unless you need to edit. it's safer to stay in Protected View. Enable Editing X o PRODUCT NOTICE Most of the features of Excel have been disabled because it hasn't been activated. Activate 115 - Je w A B 8 D E F G H | 1 K L N O P R s 1= 1 |ECON1010 Taking Charge of Your Economic Future Name: 2 |Unit 2 Touchstone Template Date: 3 4 ANNUAL BUDGET Note: 5| Amount = Percent To increase the height of a row, hover over the bottom border of that 6 |Income $50,000 100% row in the far left margin until your cursor becomes and up-down 7 |Expenditure arrow. Then click and drag the bottom border to the desired row height. 8 | Housing If you make an error, you can use the shortcut Ctrl +Z to undo it. 9 | Food 10| Transportation 11 | Education 12 | Utilities 13 | Taxes 14 Health Care 15 Family Care .I 16 | Miscellaneous 17 | Savings Savings Goal: 18 Total 19 20 PART 1: CREATING A PERSONAL FINANCIAL PLAN PART 2: REFLECT SCENARIO: Imagine that you are in a position where you need to movethis could be because of a change in job, a need to modify your QUESTION 1. In step 4, you selected a time frame to achieve living arrangements, or something else. In addition to searching for different housing, you want to begin saving for a specific financial goal. your savings goal. How can you tell that the time frame you chose is realistic? Explain. ALr NLIESTION 2 In sten S wniselacted a hausing Antinn Fynlain| |7 Ready H Type here to search E -F+ 100% Unit 2 Touchstone Template [Protected View] - BExcel (Unlicensed Product) 2l B Page Layout e bETE) Review View =01 9 Tell me what you want to do o PROTECTED VIEW Be carefulfiles from the Internet can contain viruses. Unless you need to edit. it's safer to stay in Protected View. Enable Editing o PRODUCT NOTICE Most of the features of Excel have been disabled because it hasn't been activated. Activate 115 - J A B 8 D E F G H | 1 K L N Q P Q R s STEP 1: Think about the productivity strategies you've learned in this course. Make a mental plan for how you will break down creating your QUESTION 2. In step 5, you selected a housing option. Explain financial plan into smaller steps. Think about ways you can stay organized and be productive. With your ideas in mind, move on to step 2. the reasons for your housing choice in terms of the following: * The time frame needed to achieve your savings goal = Your family's anticipated living arrangements + Your desired quality of life + Any trade-off decisions 22 * Other STEP 2: Choose an annual income as a starting point for your financial plan and insert the value in the ANNUAL BUDGET above. Select from QUESTION 3. In step 6, you entered more annual the following: expenditures into the budget. * Use the provided annual income of $50,000. A. What process did you use to make those choices? + Use your current annual income. B. How do your expenditures align with the financial goal + Use the average (or median) income of a career that you're interested in. Consider doing a quick online search. you selected? 23 STEP 3: Choose a financial goal you would like to save for. It can be a short-term goal (1 to 2 years) or a long-term goal (more than 2 years). QUESTION 4. In step 1, you thought about productivity You'll use this value in step 4. Select from the following: strategies that you might use to break your annual budget * Create an emergency fund of $1,000. into smaller steps for staying organized and productive. = Save for a vacation that will cost $2,000. + Save to buy a 515,000 vehicle. A. How closely did you follow the plan that you thought + Save for a down payment of 540,000 to buy a house. about? * Save 550,000 for education for you, a spouse, or a child. B. How does a step-by-step and organized approach help you adjust priorities in a financial plan? C. How did creating the annual budget draw from 3 productivity strategies that you learned in this course? Sheetl ' Ready &% H Type here to search Unit 2 Touchstone Template [Protected View] - BExcel (Unlicensed Product) 2l B Page Layout e bETE) Review View =01 9 Tell me what you want to do o PROTECTED VIEW Be carefulfiles from the Internet can contain viruses. Unless you need to edit. it's safer to stay in Protected View. Enable Editing X o PRODUCT NOTICE Most of the features of Excel have been disabled because it hasn't been activated. Activate 115 - Je w A B 8 D E F G H | 1 K L M N Q P Q R s - STEP 4: Now set a realistic time frame (in years) for reaching the goal in step 3. The recommended range is one to 10 years. This will yield a required rate of savings: + To understand your savings rate (5 per year), divide your financial goal by the number of years you plan to save forit. + Enter the result in the Savings cell of the ANNUAL BUDGET. o + Briefly describe your overall savings goal and the time to achieve it next to the ANNUAL BUDGET in the space provided. STEP 5: Choose a housing cost (rent or mortgage) and enter the amount in the Housing cell of the ANNUAL BUDGET. Select from the following: * Pay an annual mortgage of 15,000 per year. * Rentan apartment for $12,000 per year. + Rentaroom only for 59,000 per year. - + Use your current annual rent or mortgage. STEP 6: Fill in the other expenditure amounts in the ANNUAL BUDGET according to your preferences. Do some online research, if necessary. For this exercise, be sure to use all the income that you designated (550,000 or otherwise). Look ahead to step 7 to see how you can use o formulas to help you balance your budget as you work. STEP 7: Your ANNUAL BUDGET may or may not be balanced. To check, do the following: + Enter a formula to calculate your total expenditures. Adjust your expenditures until the total equals your annual income. + Next, enter formulas in the percent column to calculate each expenditure as a percentage of the total expenditure. + Finally, using your ANNUAL BUDGET as a reference, complete the REFLECTION QUESTIONS on the right side of this spreadsheet. 28 29 30 |Sophia Learning, LLC. Copyright @ 2021. All rights reserved. 31 32 - Sheetl ' Ready &% H Type here to search