Personal Monthly Budget

Personal Monthly Budget
Name
Course
Instructor
American Public University System (APUS)
Date
1.Does your income exceed your expenses?
My income exceeds my expenses by about $ 200 per month, but this is not enough and is only $2,400 per year. If the savings are not invested and remain the same, the total savings would be $12,000. The amount is less than my financial goals of saving towards retirement and for emergency funds guarantee. Knowing how much I spend on necessities, personal expenses are necessary to make changes in my budget. Savings depend on the net income and the expenses, and to improve my financial situation. I would focus on changing jobs to get a higher-earning job and reduce expenses. When expenses that have been estimated are maintained, it will be possible to determine in which areas it is possible to reduce expenses and save more money. Tweaking my spending habits and an increase in income will help me meet my budgeting goals.
2.        How is your short-term savings—if you had an emergency, would you have enough in savings to handle the situation?
The short-term savings are $ 1,800, but the emergency is not enough since emergencies are likely to require more money, such as in the case of health costs. One of the core principles of good financial planning is preparing for the future and an emergency fund. Short-term goals are the most immediate, focusing on a few months, including an emergency fund. In personal finance, an emergency fund is used for unplanned expenses that get paid urgently, which helps ease finances during unexpected situations. Yet, the $ 1,800 short-term savings can only cover certain expenses and emergencies that are unforeseen, such as health emergencies and the loss of a job. The personal fund is a backup for unplanned expenses that require significant use of funds. These funds are useful to avoid using the savings and incurring debt that worsen the financial situation. Still, since the funds are not enough, there is a concern of being able to pay for emergencies.
3.        Why is a savings account important? How much do you need to have in savings? What are some tips to accumulating savings?
The savings accounts products provide immedi...