Personal Finance Education Budgeting Lesson Resources

Pocket moneyCarrie’s pocket money is £50 per month, but she always seems to be broke. She likes music. She’ll download something new onto her iPod just about every day. She’s always on her mobile, texting or chatting to friends.

ShoppingSometimes she meets up at someone’s house. At other times they’ll hang out around the local shops or the park. On Saturdays she’ll meet friends down town and wander around the shops. She’ll usually get a T-shirt or a CD – but only if she’s been able to get the extra money.

SportsOne thing Carrie won’t miss out on is her swimming club – she loves it and is good enough to swim at competition level. She pays £2.50 a week membership fees. She usually goes twice a week.

HolidayCarrie’s older brother has just come back from a week in Ibiza with his friends. She would like to go too. But she needs to save up for this.How arrie cut her spending

How can Carrie cut her spending (£77.06) to match her income (£50)?

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Carrie’s Budget

Monthly income Monthly expenses New budget

£50 allowance Travel

Seeing friends and going down town £12

Food

Snacks on top of lunch

• Chocolate: £7

• Chips: £3.60

• Drinks: £5

• Buying snacks & drinks for friends: £3

Music and DVDs

Music downloads: £16

Bought DVD from friend: £4

Beauty products

Skincare: £2.50

Communication

Mobile phone (pay as you talk): £18

Phone box calls (left mobile phone at home): 80pSports, hobbies and pastimes

Swimming club membership fees: £2.50

Playing arcade games: £2.65

Savings

No savings: £0

Total expenditure: £77.06 £50

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Sample Monthly Budgeting SheetWhat would YOU do if you had £50 per month?

Monthly Income Monthly Expenses

Total monthly income = £50 Travel

Food

Music and DVDs

Entertainment

Communication – mobile phone

Sports, hobbies and pastimes

Savings

Other items

Total monthly expenditure

Income – Expenditure:

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