Practice numeracy tasks for budgeting

Use the resources in this section to help you practise the learning outcomes for this module. We have offered some suggestions after each one below:

Read and interpret utility bills, bank statements and other financial documents
  • Gather bills and bank statements and try using different operations to interpret the information. For example, use the breakdown on your council tax bill to work out what percentage of the total goes towards water rates (applies in Scotland).
Compare services and products to inform financial decisions
  • Gather offers from different banks, service providers or comparison sites. Work out whether packages and bundles are cheaper than paying for components separately (e.g. phone, TV and broadband).
  • Compare the value of short-term offers and fixed prices on products to their competitors. For example, if a subscription is free or cheaper for a trial period, will it work out cheaper overall after a year than a similar product without a trial offer?
Find ways to save money in everyday life
  • Make a wish list of items that might be on offer at certain times of the year, such as Black Friday or Boxing Day sales. Make a note of the prices a few months, and then weeks, before the sales are expected. Check the prices again on sale days. Are they cheaper? If so, by how much? Can you calculate the change as a percentage?
  • Look at bank accounts and products that offer a percentage cashback on certain types of purchases. Work out the value of cashback you could receive based on your circumstances. For example, if a bank account offers 1% cashback on housing bills, add up your bill payments that would be eligible, and calculate 1%.
  • Compare the prices of groceries in a supermarket. Notice not only any special offers, but also the price per unit of weight. Can you get more for your money if you buy in bulk for example?
Manage personal income and expenditure to plan a budget and achieve financial goals
  • Make a list of all your sources of income and calculate the total as a monthly or annual amount.
  • Make a list of all your household bills and calculate the total monthly or annual expenditure.
  • Make a list of any other regular outgoings, such as groceries, clothing, entertainment and so on.
  • Calculate how much disposable income you have left after bills, and then any other expenditure.
  • Use the 50/30/20 rule to work out how much you should ideally spend on needs, wants and savings. The rule states that 50% of your income should be spent on essentials like food and bills, 30% on wants like going to the cinema or gym membership, and 20% should go to savings. Next work out what percentage of your income is actually spent on each area. The rule may need to be adjusted to suit your particular circumstances, but can you calculate potential improvements in your monthly spending?
  • Calculate a savings goal, for example, by adding up the cost of presents on a Christmas list, or the travel and accommodation costs for a weekend break. Next work out how many months or weeks you would need to save for and divide the savings total by that number to determine regular amounts you’d need to save.

When you have practised numeracy skills from each of these areas, you can try taking the quiz in the Activity Zone. This will help you find out if you’re ready to take on the challenges in the Mathemap activity.

Last modified: Saturday, 28 September 2024, 5:23 PM