Question
Scenario Imagine that you're a single parent raising a child. You live in a small town where you grew up and went to school. You've
Scenario
Imagine that you're a single parent raising a child. You live in a small town where you grew up and went to school. You've worked at a local bank for four years, starting out as a teller and advancing to the position of loan officer. You earn $50,000 a year. After you pay taxes and deposit a portion of your earnings into your 401K retirement account, your take-home pay is $38,000 a year.
You feel like you have great job security and enough income, so you've decided that now is the time to begin saving for a financial goal. You're creating a budget to help you to do that. You also happen to be in a situation where you need to move, so you plan to choose a new housing option that will help you to achieve your financial goal.
1.FINANCIAL PLAN
Set a Financial Goal: Save $20000 for a down payment to buy a house
Set a Time Frame for Achieving the Goal: 4
2. ANNUAL BUDGET Choose a Housing Option: Rent a house for $15000 per year
Yearly budget
Taxes on Income $7,125.00
401K Retirement Savings $2,500.00
Financial Goal Savings $5,000.00
Rent $ 15,000.00
Utilities $ 4,200.00
Health Care 900
Car Loan and Insurance $4,200.00
Phone $ 720.00
Total Fixed Expenses $38,025.00
Variable Expenses Dollars Food $3,600.00
Car Maintenance and Gas $2,000.00
Personal Care $ 1,500
Entertainment $ 1,575.00
Miscellaneous $
Total Variable Expenses $11,975.00
Total Expenses $ 50,000.00
Surplus (or Deficit)
Summary Total Income $50,000.00
Total Expenses $ 50,000.00
Surplus (Deficit) $-
I need help how to so better financial plan and understanding
- Develop a plan that breaks down the creation of a financial plan into smaller steps.
- Select a financial goal and a realistic time frame for reaching the goal.
- Select a new housing option and explain why the choice of housing was selected and how it supports achieving the financial goal.
- Allocate budget expenditures to reach financial goals within an achievable planned time frame.
- Reflect on how using an organized approach to the assignment helped you to consider your priorities and do financial plan.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started