Controlling and Evaluating Plans go together. Knowledge of cost of living is essential, cost of living- means expenditure or amount spent by the family. Records of expenditure provide information about cost of living. Based on the knowledge of the cost of living plans of controlling and evaluating the expenditures can be planned as part of money income management. Cost of living is also related to standard of living.
If cost of living information can be computed then the family can easily control money expenditure. Even approximate knowledge of cost will help in this direction. There is need for developing mutual faith in the earning members and other members in controlling and evaluating plans for money management. Controlling and evaluating plans of money income management should also take into account the possibility of excessive use of credit to finance family’s living may be acceptable. But if done excessively it may result in little income left after the payment on credit is made, for further requirements. Planning and controlling of income and its evaluation needs to include savings aspects. Saving is necessary for economic security. They have to be planned for future contingencies.
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