Question

What is the first step in creating a budget?

Calculate income
Open a checking account
Decide how much to spend
Pay fixed and variable bills

Answer 1

The first step in creating a budget is to **calculate income**. This involves determining all sources of income, such as salary, wages, bonuses, and any other earnings. Once you have a clear understanding of your total income, you can then move forward to decide how much to spend, pay bills, and manage your finances.