Ann is 20 years old and has been working as a graphic designer for 3 years. She earns $35,000 per year in salary after tax. Because her family lives in a country town. Ann had to leave home to find employment and learn to look after herself and her finances.

She shares a flat with 2 friends and pays rent of $150 per week. She estimates that her other weekly expenses, on average, include public transport fares $45; food $120; utility bills $30; mobile phone $30; clothing $50; and miscellaneous expenses $60. She also makes sure that she is saving some of her income and for the past 2 years has arranged for an automatic debit of $300 per month from her bank account into a managed fund. The amount accumulated in the fund comprises the original $2500 she was given for her eighteenth birthday to start the fund and contributions and earnings of $7500, making a total sum of about $10,000. The managed fund is a balanced fund. Any money left over after expenses and investment is kept in her bank account, which totals $2000.

Ann's main goal is to buy a car in the next 6 months if she can afford it. She will use some money in her managed fund if she has to, but hopes to buy a car valued at about $13000 plus insurance of $750 p.a. she is prepared to take on some extra work in a restaurant to earn another $150 per week in cash to help her to meet her goal.