| dc.description.abstract | This study relates to financial planning and discusses different types of budgeting methods as well as common mistakes and tips. Using state expense reports, consumer reports, utility service websites, etc. average expenses for 3 different Oklahoma cities were complied to build a monthly budget to analyze the difference in cost of living. The three cities, Durant, Stillwater, and Oklahoma City, were chosen based on relevance and experience in that city. By building a pass or fail test based on the 50/30/20 rule, the efficiency of each budget was tested. The 50/30/20 rule is a budgeting technique that states no more than 50% of income should be allocated towards needs, 30% for wants, and 20% for retirement and savings. When comparing each city's budget, it is fair to assume that when population is larger so are average expenses for that area. By taking this information and discussing current minimum wage laws and newly proposed bills for the state the budget numbers were then used to test the financial stability of an individual working for the current minimum wage of $7.25 per hour and the newly proposed wage of $10.50 per hour. Based on the 50/30/20 rule test each budget for the three cities would not be enough to maintain the outlined lifestyle. | |
