Question

creating financial goals

• is the second step of creating a
• requires setting goals which will help plan and better prepare for the
• is a good way for people to identify specific they would like to see occur
• involves short-, intermediate- and long - term goals

short - term goals

• are goals set to be achieved in a year’s time
• look at the characteristics of the present financial situation and devise strategies to them
• include:

◦ paying $50 more per month on a credit card bill to the life of the debt
◦ saving for a family

personal budget outcomes setting future

improve less than decrease vacation

Explanation:

1. The second step of creating a personal - budget involves setting financial goals. These goals help plan and prepare for the future, and allow people to identify specific outcomes they want. Setting short - intermediate and long - term goals is part of this process.
2. Short - term goals are achieved in less than a year. Analyzing the present financial situation helps in devising strategies to improve it. Paying more on a credit card bill decreases the life of the debt, and saving for a family vacation is a common short - term financial goal.

Answer:

1. personal budget
2. future
3. outcomes
4. setting
5. less than
6. improve
7. decrease
8. vacation