Basics Of Managing Income And Expenses

From Open Risk Manual


Basics Of Managing Income And Expenses. In the context of the Financial Competence Framework, Basics Of Managing Income And Expenses is a topic in the Planning And Managing Finances subject matter domain.[1]


Mastering the role of Basics Of Managing Income And Expenses in financial literacy context requires the following competences:

Code Competency Description Competency Type
130 Understands why it is important to actively manage money in addition to monitoring income and expenses Knowledge
131 Aware that family, community and socio-cultural values and customs can influence the way in which people manage their money Knowledge
132 Compares actual expenses against budgeted amounts and makes adjustments to the budget or to expenses where necessary Skill
133 Seeks ways of adjusting income or expenditure as necessary, taking into account occasional expenses such as gifts, donations or holidays. Skill
134 Confident to make independent decisions about income and expenditure Attitude
135 Confident to set personal priorities in terms of essential and discretionary expenditure Attitude
136 Accepts the responsibility of managing individual and possibly household finances Attitude
137 Comfortable discussing planning and managing finances with significant others Attitude
138 Confident to act on behalf of others to manage their financial affairs if given the legal responsibility to do so Attitude


  1. European Union/OECD (2022), Financial competence framework for adults in the European Union