Personal Finance

•  Introduction   
•  Budget Introduction
•  Checks
•  Renting an Apartment
•  Purchasing a Car
•  Revolving Credit
•  Saving and Investing
•  Final Assessment

Grade Level's: Freshman - Sophomore
Content Areas: Personal Budgeting, Checking Accounts, Credit, Saving and Investment, Insurance, Educational and Career Exploration
Description/Abstract: Students will learn basic financial concepts and the implications these decisions have on their futures.
Timeline: 3 - 4 Weeks

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Goals/Content and Cognitive:

Upon completion of this unit students will have the ability to make sound, informed decisions regarding their financial futures including building net worth utilizing the components of personal budgeting and saving and investment, the appropriate use of credit, using insurance to manage risk, as well as exploring the educational and career choices that will be required to sustain the lifestyle they envision for themselves.

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Links to Curriculum Standards:

Idaho Core Standards, National Council on Economic Education Standards, Idaho Technology Standards

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Guiding Questions:

Personal financial decisions are one of the most important any person makes in their lifetime. Students will be asked;

1.      How much consideration (if any) have they made about their futures 5 years, 10 years, 20 years from the present?

2.      What knowledge do they have concerning the steps involved to achieve the life they envision?

3.      What do they currently know about everyday budgeting decisions involving; food, shelter, clothing, transportation, saving, investment, credit, insurance, etc.?

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Assessment:

Students will be assessed on their knowledge of terminology as well as practical demonstrations of their ability through handouts, a classroom project, and final written assessment.

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Learning Connections:

Students will be shown the necessity of sound financial decision making and how such decisions impact their future success and happiness. The content will relate back to previous instruction in Economics and Business Law.

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Learning Activities or Tasks:

1. Students will begin by taking an “Economic Values Survey” to get a better understanding of financial choices and their personal attitudes concerning money.
    

2. Through lecture and a Microsoft PowerPoint presentation students will be exposed to the 12 financial principles every young person should know. Discussion of these principles and how they affect the student’s future quality of life will follow.
    

3. Expected incomes of completion of various educational levels (High School, Associates Degree, Bachelors, Masters, Professional, etc.) will be presented.
    

4. Students will be introduced to an initial budget taking into consideration fixed and variable expenses.
    

5. Students will be required to research realistic financial figures for each category by doing research on the internet, local newspapers, and talking with parents and others they are familiar with; and as a continuing project throughout the unit students will prepare a detailed personal budget.
    

6. Class lecture and discussion will focus on areas of how best to pay for items; cash (check), or credit.
    

7. Various worksheets and handouts will be provided on bank deposits, writing checks and use of a check register as well as different types of endorsements.
    

8. Discussion of and worksheets pertaining to renting an apartment will be completed.
    

9. Credit and its costs will be discussed to stress the importance of a wise use of credit. Students will fill out a credit card application paying attention to what sorts of information the credit card company is interested in, students will compare various offers of revolving credit, and auto loans (amortization).
    

10. The role and importance of insurance of various types will be discussed and worksheets comparing different offers of insurance will be completed.
     

11. The role that savings and investment play in a financial plan will be discussed and a working knowledge of risk, rate of return on investment, and the power of compound interest will be presented.
     

As a conclusion to the unit, expected incomes of completion of various educational levels (High School, Associates Degree, Bachelors, Masters, Professional, etc.) will again be discussed and some career exploration will be undertaken to stress the importance of a good education to their future earning potential.

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Teaching Strategies:

Content will be delivered through a combination of lecture, individual and group written activities, as well as computer activities utilizing Microsoft Excel, PowerPoint, and the internet.

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Lesson Evaluation and Teacher Reflection:

Questions:
Was this lesson worth doing?
In what ways was this lesson effective?
What evidence do you have for your conclusion?
How would you change this lesson for teaching it again?
What did you observe your students doing and learning?
Did your students find the lesson meaningful and worth completing?

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