Lisa has a net spendable income of $1,700. She must pay at least $100 per month to pay off her debts. However, she puts together the following budget for her main expense categories.

Housing $510
Food $204
Transportation $255
Insurance $51
Debts $262
Entertainment $85
Clothing $85
Savings $85
Medical $68
Miscellaneous $85

How is she able to pay so much money on her debts?

Question

Lisa has a net spendable income of $1,700. She must pay at least $100 per month to pay off her debts. However, she puts together the following budget for her main expense categories. 


Housing $510 
Food $204 
Transportation $255 
Insurance $51 
Debts $262 
Entertainment $85 
Clothing $85 
Savings $85 
Medical $68 
Miscellaneous $85 

How is she able to pay so much money on her debts?

anonymous · Answer

She is going over budget.



She is putting less than the recommended percentage of her income into the savings category.



She is putting the minimum recommended percentage of her income into all categories except debt.



She is putting less than the recommended percentage of her income into the clothing, medical, and miscellaneous categories.