Jessica Smith, Single Mom, 2 Children Jessica wants to know if she can afford to pay $75 total per month for both of her children to take piano lessons.
1. What is her total income?
2. What is her total expenses?
3. Is she living beyond her means (spending more than she makes)?
4. Can Jessica afford to pay $75 total per month for both of her children to take piano lessons?
5. How can you make changes in her budget to her pay for the piano lessons?
Jessica must have 2 options.
Net Income=$2935 per month Mortgage=$1000(must be paid)
Car Note=Paid Off Insurance=$90 Groceries=$250
Gas for car=$150
Personal Care=$100 Savings=10% of Monthly Salary (must have) Charity=10% (must have) Clothes=$100 Cell Phone=$50
Student Loans=$75(must be paid)
Child Support=Pending Retirement Fund=$50