Define enough and give your money a purpose: test your skills
Without a definition of enough, every goal moves once you reach it. Write down what security and a good life cost for you. Answer each question to see the explanation; your score appears at the end.
This test checks that you can
- Define a personal “enough” budget
- Set a security target
- Decide in advance what extra money is for
- Practice
1. Why define “enough”?
- Practice
2. Is “enough” the same for everyone?
- Practice
3. How often should you revisit it?
- Key idea
4. Which statement best explains "Moving targets never satisfy"?
- Key idea
5. Which statement best explains "Comparison distorts"?
- Key idea
6. Which statement best explains "Extra becomes a choice"?
- Action plan
7. In the action plan, which step comes first?
- Mistake to avoid
8. Which of these is a mistake this lesson warns against?
- Mistake to avoid
9. Which of these is a mistake this lesson warns against?
A good year costs $48,000. What is a six-month security target?
Show the answer
$24,000
$48,000 ÷ 12 = $4,000. × 6 = $24,000.
Write one sentence describing what “enough” looks like for your household.