High School

Introduction Negative

Health – stress, worry, unhealthy coping behaviors; can’t afford things that improve health.

Happiness – lacking enough money impacts your happiness.

Productivity – when worried about finances we’re less productive at work, at home, and in our personal lives.

Relationships –cause of divorce, relationship strain, and fights.

Lifestyle – you miss out on life experiences and goals.

Security – unable to afford financial safety measures.

Wellbeing –stress, worry, and fear are common symptoms.

Free time – you have to spend a lot of time working to pay bills. IN

Positive

Health –relaxed, able to afford things that keep you healthy (good food, massages, relaxing nights, vacations).

Happiness – being able to do more of what you want makes you happy.

Productivity – you’re more productive in all areas of your life. Your mind is focused and not thinking about money worries.

Relationships – you argue less and have a financially stress-free home.

Lifestyle – you can live the lifestyle you want in freedom.

Security – you feel safe on the path to financial security.

Wellbeing – you feel a sense of peace and confidence.

Free time – you have time to spend with friends and loved ones, having fun experiencing what life has to offer.

Introduction

IN

oWhat percentage of lottery winners wastes all their winnings within a few years?

oHow many NBA and NFL players are broke or bankrupt within 5 years of retirement?

Let’s Learn to Budget

B5

oPeople with no money skills often make poor financial choices, regardless of how much money they have.

oBudgeting gives provides:• Control

• Organization

• More money

• Opportunity

Let’s Learn to Budget

B5

oComplete the worksheet as accurately as possible. This activity will not be shared with the class.

oFirst write down where you are right now.

oNext develop a savings plan that matches your lifestyle and long-term financial goals.

oComplete the Goal section of the budget worksheet. Identify where you can reduce expenses and increase savings.

oMake changes when your income or expenses change.

o Input the information on your computer to allow easy adjustments.

Let’s Learn to Budget

B5

Let’s Learn to Budget

B5

_____ Housing _____ Car (incl. gas & insurance) _____ Needs (electric, phone, food) _____ Clothes _____ Entertainment _____ Medical Insurance _____ Toys _____Credit Card Debt

_____ Student Loan Debt _____ Travel _____ Friends & family _____ Savings _____ Giving back

_____ Monthly Expenses_____Take-Home Pay

New Choices:

New Choices Outcome: ______

Closing

CL

Day 1 $.01 Day 11 $10.24 Day 21 $10,485.76 Day 2 $.02 Day 12 $20.48 Day 22 $20,971.52 Day 3 $.04 Day 13 $20.48 Day 23 $41,943.04 Day 4 $.08 Day 14 $40.96 Day 24 $83,886.08 Day 5 $.16 Day 15 $81.92 Day 25 $167,772.16 Day 6 $.32 Day 16 $163.84 Day 26 $335,544.32 Day 7 $.64 Day 17 $327.68 Day 27 $671,088.64 Day 8 $1.28 Day 18 $655.36 Day 28 $1,342,177.28 Day 9 $2.56 Day 19 $1,310.72 Day 29 $2,684,354.56 Day 10 $5.12 Day 20 $5,242.88 Day 30 $5,368,709.12

Closing

CL

ClosingoThe “Rule of 72” says to divide the

interest rate you’re receiving on an investment by 72 and the answer tells you how many years it will take for that money to double. The earlier you save for retirement, the better chance your money has to double.

oDisplay this example: If you have 10,000 in savings and earn a 10% interest rate, your money will double in 7.2 years.

oApproximately how much money will you have in 49 years?

CL