Money Management Activities

1
Money Management Activities
2
Get Organized

• Home File
• Personal and Employment Records
• Money Management Records
• Tax Records
• Financial Services Records
• Credit Records
• Consumer Purchase and Automobile Records
• Housing Records
• Insurance Records
• Investment Records
• Estate Planning and Retirement Reports

3
Get Organized

• Safe Deposit Box
• Death Certificates, Citizenship Papers, Adoption,
  Custody Papers, Military Papers, Serial Numbers
  of Expensive Items, Photographs or Video of
  Valuable Belongings.
• Certificate of Deposits, List of Checking and
  Savings Account Numbers and Financial
  Institutions, Credit Contacts
• Mortgage Papers, Title Deed, Automobile Title,
  List of Insurance Policy Numbers and Company
  Names, Rare Coins, Stamps, Gems, and Other
  Collectibles, Copy of Will.
• Personal Computer
• Current and Past Budgets, Summary of Banking
  Transactions, Past Income Tax Returns, Account
  Summaries and Performance Results of Investments,
  Computerized Version of Wills, Estate Plans, and
  Other Documents.

4
Comparison of Statements
5
Balance Sheet
Item of value (what you own) - Amounts owed
(what you owe) Net worth (your wealth)
6
Cash Flow Statement
Total Cash Received During the Period -
Cash Outflows During the Time Period Cash
Surplus or Deficit
7
Six Phases of Budgeting
Achieve success in financial goals
Monitor, review, revise after each period.
8
Financial Goal-Setting Phase of Budgeting

• Setting long-term goalsanything more than 12
  months away.
• Developing short-term goals from long-term goals.
• Prioritizing goals.
• Making goals time and dollar specific.

9
Organization Phase of Budgeting

• Select recordkeeping format.
• Use cash basis.
• Select budget classifications.
• Select time periods.

10
Decision-Making Phase of Budgeting

• Inflation and other economic factors
• Realistic budget estimates
• Reconciling initial estimates

11
Implementation Phase of Budgeting

• Recording actual income/expenditures
• Managing with a cash-flow calendar
• Utilizing a revolving savings fund
• Calculating time-period totals

12
Control Phase of Budgeting

• REASONS FOR BUDGET CONTROLS

• 1. Stay on target
• 2. Be alert to problems or errors
• 3. Employ a credit control sheet
• 4. Monitor unexpended balances
• 5. Use the envelope system

6. Check progress 7. Use a checking account 8.
Check accuracy 9. Justify exceptions 10. Employ
subordinate budgets
13
Evaluation Phase of Budgeting

• Compare estimated and actual amounts
• Decide how to handle balances
• Assess progress toward goals

14
www.sa.utah.edu/personalfinance Go to
Resources. At the bottom of the page click on
CASH expo May 15, 2009-Budgeting For School, Fun,
and the Future
Jerry Basford 801-581-3435