{"id":1590,"date":"2023-09-29T10:53:45","date_gmt":"2023-09-29T10:53:45","guid":{"rendered":"http:\/\/localhost\/ecole9ja\/?p=1590"},"modified":"2023-09-29T10:58:02","modified_gmt":"2023-09-29T10:58:02","slug":"week-2-jss-3-second-term-home-economics-notes","status":"publish","type":"post","link":"https:\/\/ecolebooks.com\/nigeria\/posts\/week-2-jss-3-second-term-home-economics-notes\/","title":{"rendered":"Week 2 &#8211; Jss 3 Second Term Home Economics Notes"},"content":{"rendered":"<p><strong>WEEK TWO<br \/>\n<\/strong><\/p>\n<h2>TOPIC: BUDGETING<br \/>\n<\/h2>\n<p><strong>SUB-TOPIC: HOUSEHOLD BUDGET<br \/>\n<\/strong>\u00a0\u00a0\u00a0\u00a0Budgeting is the process of preparing a budget. Household budget is a plan for future expenditures of a given household. Good budgeting leads to wise management or use of a family income. Poor budgeting leads to wasteful expenditure of income.<br \/>\n<strong>BUDGETING TERMS<br \/>\n<\/strong><\/p>\n<ul>\n<li>\n<div><strong>Family Income:<\/strong> The incomes of a family include the money and other economic resources available to the family for meeting their needs.\n<\/div>\n<\/li>\n<li>\n<div><strong>Money Income:<\/strong> is the total amount of money which the family has at a given period. It is the purchasing or buying power of a family at a given period.\n<\/div>\n<\/li>\n<li>\n<div><strong>Gross Income:<\/strong> is the total amount of money from a person&#8217;s income.\n<\/div>\n<\/li>\n<li>\n<div><strong>Net Income:<\/strong> is the amount of money that remains after deductions, such as tax, water rate and levies.\n<\/div>\n<\/li>\n<li>\n<div><strong>Budget:<\/strong> is the plan of how to spend the family income. The budget is normally prepared based on the net income.\n<\/div>\n<\/li>\n<li>\n<div><strong>Expenditure:<\/strong> is the amount of money spent on the goods and services which the family needs.\n<\/div>\n<\/li>\n<\/ul>\n<p><strong>SOURCES OF FAMILY INCOME<br \/>\n<\/strong>     There are sources from which families get their income. They include: salaries, wages, gifts, assets or investment that yield interests; such as rents, dividends on shares e.t.c.<br \/>\n<strong>IMPORTANCE OF FAMILY BUDGET<br \/>\n<\/strong><\/p>\n<ul>\n<li>\n<div>It helps the family to make wise decision about expenditure\n<\/div>\n<\/li>\n<li>\n<div>It helps the family to spend money on what they really need\n<\/div>\n<\/li>\n<li>\n<div>It prevents wasteful spending of family money\n<\/div>\n<\/li>\n<li>\n<div>It helps the family to see how they spend their money\n<\/div>\n<\/li>\n<li>\n<div>It helps to prevent impulsive buying\n<\/div>\n<\/li>\n<li>\n<div>It helps to train children on the use of money.\n<\/div>\n<\/li>\n<\/ul>\n<p><strong>FACTORS TO CONSIDER IN PREPARING A BUDGET<br \/>\n<\/strong><\/p>\n<ul>\n<li>\n<div>The family income\n<\/div>\n<\/li>\n<li>\n<div>Family needs\n<\/div>\n<\/li>\n<li>\n<div>Family size\n<\/div>\n<\/li>\n<li>\n<div>Family value\n<\/div>\n<\/li>\n<li>\n<div>The season of the year\n<\/div>\n<\/li>\n<li>\n<div>Locality\n<\/div>\n<\/li>\n<li>\n<div>Inflation.\n<\/div>\n<\/li>\n<\/ul>\n<p><strong>PROCEDURES IN PREPRING A FAMILY BUDGET<br \/>\n<\/strong><\/p>\n<ul>\n<li>\n<div>List all the goods and services needed by the family throughout the proposed budget period.\n<\/div>\n<\/li>\n<li>\n<div>Place them in order of priority or importance to the family\n<\/div>\n<\/li>\n<li>\n<div>Make an estimate of the cost of each need\n<\/div>\n<\/li>\n<li>\n<div>Estimate the total expected income for the planned period\n<\/div>\n<\/li>\n<li>\n<div>Bring expected income and expenditure into balance. Expenditure should not be more than income.\n<\/div>\n<\/li>\n<li>\n<div>Review the budget to ensure that it is likely to work.\n<\/div>\n<\/li>\n<\/ul>\n<p><strong>EXAMPLE OF A BUDGET FOR THE FAMILY<br \/>\n<\/strong>The following is an example of a budget for an imaginary family of three persons that has monthly income of Ten Thousand naira. (# 10,000.00)<\/p>\n<div>\n<table>\n<tbody>\n<tr>\n<td><strong>FAMILY NEEDS<\/strong><\/td>\n<td><strong>% OF INCOME BUDGETED<\/strong><\/td>\n<td><strong>AMOUNT             #                    K<\/strong><\/td>\n<\/tr>\n<tr>\n<td>Food<\/td>\n<td>30%<\/td>\n<td>3000             00<\/td>\n<\/tr>\n<tr>\n<td>Housing (rent and maintenance)<\/td>\n<td>23%<\/td>\n<td>2300             00<\/td>\n<\/tr>\n<tr>\n<td>Clothing<\/td>\n<td>10%<\/td>\n<td>1000             00<\/td>\n<\/tr>\n<tr>\n<td>Health<\/td>\n<td>10%<\/td>\n<td>1000             00<\/td>\n<\/tr>\n<tr>\n<td>Transportation<\/td>\n<td>6%<\/td>\n<td>600               00<\/td>\n<\/tr>\n<tr>\n<td>Education<\/td>\n<td>13%<\/td>\n<td>1300             00<\/td>\n<\/tr>\n<tr>\n<td>Entertainment and recreation<\/td>\n<td>2%<\/td>\n<td>200               00<\/td>\n<\/tr>\n<tr>\n<td>Personal allowances<\/td>\n<td>3%<\/td>\n<td>300               00<\/td>\n<\/tr>\n<tr>\n<td>Savings and insurance<\/td>\n<td>3%<\/td>\n<td>300               00<\/td>\n<\/tr>\n<tr>\n<td><strong>Total<\/strong><\/td>\n<td><strong>100%<\/strong><\/td>\n<td><strong>10,000          00<\/strong><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<p>\u00a0<strong><em>Assignment: prepare a family budget for a family of six that earns #30,000.00 every month.<br \/>\n<\/em><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>WEEK TWO TOPIC: BUDGETING SUB-TOPIC: HOUSEHOLD BUDGET \u00a0\u00a0\u00a0\u00a0Budgeting is the process of preparing a budget&#8230;.<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1,147],"tags":[],"class_list":["post-1590","post","type-post","status-publish","format-standard","hentry","category-posts","category-second-term-jss3-home-economics"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/posts\/1590","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/comments?post=1590"}],"version-history":[{"count":1,"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/posts\/1590\/revisions"}],"predecessor-version":[{"id":1591,"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/posts\/1590\/revisions\/1591"}],"wp:attachment":[{"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/media?parent=1590"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/categories?post=1590"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/tags?post=1590"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}