Financial Literacy

By: Ava Latu

I am a teacher.  My gross annual income is $46,500. To get my yearly net income, I subtracted my annual taxes from my yearly gross income to get my net income of $39,525.

Savings

At least 10% of my monthly income should go to savings.  I should save $329.30 a month I got this answer by multiplying 0.10 by my monthly income 329.3 in six months I should have $1975.80 in my savings I multiplied my month savings by six to get my new amount in savings.

A year of savings should get me $3951.60 I knew that $1975.80 was the amount of saving I will earn half way through the year so I doubled that amount to get my yearly savings.  I am meeting the minimum amount of savings because I calculated my math to see if I was right or not.




House and Car

I rented a 2 bedroom,1 bathroom, 670 square foot apartment for $733 a month for rent .  I will pay $120 a month for utilities the reason why I didn't pick the high priced apartment was because I wanted to pay more money for my other expenses throughout the month
  I also bought a motorcycle for $172 a month.  I pay $65 a month for insurance $70 for gas I thought it would be better if I bought the cheapest vehicle available for now and maybe latter I could buy a little more expensive vehicle.

Grocery List

Below you will see a monthly grocery list.

Budget

Reflection

I think we did this  project to understand how to manage money when we're older.This project is important because we need to be aware of how money is like when we grow  .I think our teachers wanted us to be able to understand the importance in money because we will be using it a lot when we re older .This project helped me understand income,tax budget and other important thingsI now understand a lot more about money in the future and how to keep up with it.