According to the video, what is the initial step in creating a budget?

Calculate your after-tax income.

According to the video, where can you find your after-tax income information?

Pay stub or bank account statement

Having a winter coat to protect from the cold (need) versus getting the newest gaming console (want).

50% for needs, 30% for wants, and 20% for savings.

I can create a personal budget that tracks income and expenses.

1
When creating a budget, it's important to start with your after-tax income, which is the amount you actually have to spend each month.
2
According to the video, needs are essential expenses like housing, transportation, and food, while wants are non-essential items such as restaurant meals and entertainment.
3
The video references the 50/30/20 rule, which suggests allocating 50% of your income to needs, 30% to wants, and 20% to savings.