*Budget* A budget is a MONEY plan, It is a plan that lays out what you will do with your money.A budget is a major tool to manage income and expenses. *Components of a budget* Income 👉List all sources of income Expenditure 👉List all items you want to spend on *NB.* 👉Savings are also considered as an expenditure, therefore included under expenditure. 👉Expenditure should not exceed income 👉 Keep in mind that it's better to spend less than you earn than spending more than you earn.