Income is money that comes in. Expenses are money that goes out. Balance = income − expenses. Writing down your expenses shows where your money really goes.
A need is something you must have. A want is nice to have. Needs usually come first, and the same thing can be a need for one person and a want for another.
A budget is a plan for your money made before you spend. You can split your income in groups or use envelopes. Budgets can and should be adjusted when life changes.
A savings goal has a thing and an amount. Goal ÷ monthly savings = months. An emergency fund protects you from surprise costs.
Pay yourself first: save at the start. Small, regular amounts add up, and automatic saving builds the habit. A bank account keeps savings safe and may add interest.
What you'll learn
Lesson 2.1
Where Did My Money Go?
It's the 28th of the month. Kavya opens her wallet... and it's almost empty. She got money at the start of the month. Where did it all go?
You'll learn: How to see where your money comes from, where it goes, and what is left.
The Mystery of the Empty Wallet: Income is money that comes in.
Following the Money: An expense is money going out. Writing expenses down shows where your money really goes.
What's Left? Balance = income − expenses. Spending more than you get leaves you short.
Lesson 2.2
Need or Want?
Rohan got ₹1,000 as a gift. His school shoes have a hole. And the shiny sneakers in the shop window are calling his name. Which one wins?
You'll learn: To tell needs from wants, and that it can depend on the person.
Two Kinds of Spending: Needs are things you must have. Wants are nice to have.
Sorting Rohan's Shopping List: Cover your needs first. What's left can go to wants.
When It Gets Tricky: Needs and wants depend on your situation. Pausing before buying can help you decide.
Lesson 2.3
A Plan for Your Money
Imran just got his first weekend job at a bookshop. ₹4,000 a month! It feels like a lot... until the 15th. How can he avoid a surprise empty wallet?
You'll learn: How to make a simple budget and adjust it.
What Is a Budget? A budget is a plan for your money, made before you spend.
Two Ways to Plan: There are many ways to budget: splitting by groups, or using envelopes. Choose what works for you.
Plans Can Change: Make a budget in 4 steps, and update it when life changes.
Lesson 2.4
Ananya's Bicycle
Ananya has been dreaming of a bicycle for a year. It costs ₹3,000. She earns ₹250 a month from small jobs. Will she ever get it?
You'll learn: To set a savings goal, calculate the time, and protect yourself from surprises.
A Goal You Can Count: A savings goal is a specific thing and amount that you save for.
How Long Will It Take? Goal ÷ monthly savings = number of months.
The Surprise: An emergency fund is money kept aside for surprises.
Lesson 2.5
Pay Yourself First
Zoya always says: 'I'll save whatever is left at the end of the month.' Guess how much is left? Zero. Every single time. Let's fix that.
You'll learn: How to build a saving habit and where to keep your savings.
The Order Trick: Pay yourself first: save at the start of the month, not at the end.
Small Steps Add Up: Small, regular amounts add up. Making it automatic builds the habit.
Where to Keep Your Savings: A bank account keeps savings safe, and may add interest.
Final challenge
Master of Your Money
You've met Kavya, Rohan, Imran, Ananya and Zoya. Now it's your turn. 10 quick questions!
Try a question
From lesson 2.1: Where Did My Money Go?
What is an expense?
Money you receive
Money that goes out when you spend
A kind of coin
Show the answer
Money that goes out when you spend. An expense is money you spend: a snack, a bus fare, a game top-up.
Learn it the Yukti way
Every lesson is a short story told in scenes, with a quick question after each idea and a review at the end. Wrong answers come with a clear explanation, and Practice brings them back until they stick. Examples use Indian rupees and Indian rules, and show in your own currency in the app.
Yukti is for education only, not financial advice. It teaches general ideas and doesn't recommend specific products. Spot a mistake? Email support@yukti.finance and we'll fix it.
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