• We use decimals to write numbers in pounds (£).

• The decimal point separates pounds and pence. Pounds come in front of the decimal point, pence come after. £12.99 is 12 pounds and 99 pence.

• You need two numbers after the decimal point for pence.

• A calculator works in decimals, not money. A calculator will show 2.5 for £2.50. 2.05 is two pounds and five pence.

• Some answers on a calculator show lots of numbers after the decimal point. Just read the first two numbers after the point for pence. For example, 5.7142857 is £5.71.

• To add or subtract amounts of money, line up the decimal points, and put the numbers underneath each other, filling up the columns each side of the point.

• A personal or household budget helps you to manage your money. Income is the money coming in. Expenditure is what you pay out. Subtract expenditure from income to find out what’s left.

• If you always spend more than your income, you will get into debt (or use up your savings). You can get free help and advice on how to deal with debt from your local Citizens Advice Bureau or the National Debtline (telephone: 0808 808 4000).