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Working within a budget is important. Budgeting is listing and planning estimated income and expenditure which allows us to make informed choices regarding expenditure and saving.

Income is the amount of money which comes to a person or organisation. All income comes under tax regulations.

When deciding upon a purchase it is advisable to find the best deal by comparing information on the product or service being provided, terms on offer and the price of an item.

Travelling abroad involves converting currencies into the currency of the country visited. To calculate the amount, exchange rates are used. Some foreign exchange providers charge a commission.

Investigating the impact of interest rates on savings and borrowing. Simple interest is calculated annually using the interest rate. Simple interest is always calculated using the original amount.

In compound interest the amount in interest is added to the original at the end of each year. So the next year the interest is worked out on a larger amount of money.

There are many different ways to save or to borrow money. The interest rate tells you how much extra you could earn from your savings, or have to pay back when you take on debt.