Yields Dividends for a LifetimeHow many years do you plan to work between the

age of 18 and 65?

Objective: To demonstrate the financial payoff-over a lifetime-of an investment in education.

An Investment in Education

• Going to college should help you earn more money in the long-run.

• This of course is not 100 percent true.• Hard work, dedication, and devotion to your job

can also earn you a promotion.• Check out the chart on Page 116 in your

textbook.• Notice how more education can lead to more

money earned.

Determining Lifetime Earnings Activity 117

• How many years do you want to work for?• Multiply the following salary by those years to

equal your lifetime earnings.• $20,000 x _____ years in workforce = _______• $30,000 x _____ years in workforce = _______• $50,000 x _____ years in workforce = _______• $75,000 x _____ years in workforce = _______• $100,000 x _____ years in workforce = ______

Lifetime Earnings (Answers)

• $20,000 x 30 years in workforce = $600,000.• $30,000 x 30 years in workforce = $900,000.• $50,000 x 30 years in workforce = $1,500,000.• $75,000 x 30 years in workforce = $2,250,000.• $100,000 x 30 years in workforce = $3,000,000.

You do the Math!

• What is the difference between a $20,000 and $30,000 salary?

• What is the difference between a $20,000 and $50,000 salary?

• What is the difference between a $20,000 and $75,000 salary?

• What is the difference between a $20,000 and $100,000 salary?

You do the Math Answers

• What is the difference between a $20,000 and $30,000 salary? $300,000!

• What is the difference between a $20,000 and $50,000 salary? $900,000!

• What is the difference between a $20,000 and $75,000 salary? $1,650,000!

• What is the difference between a $20,000 and $100,000 salary? $2,400,000!

Minimum Wage in California

• $8.25 per hour.• 40 hours per week.• 50 weeks in a year (standard two week

vacation.)• $8.25 x 40 x 50 = _________• Total: $16,500.00• Lifetime Total (30 Years) = $495,000

Activity 118

• Let’s look at your lifespan. • The horizontal bar represents the average lifespan

of 78 years.• Already filling in time for your schooling to this

point, you will have 60 years to play with.• Envision your ideal future. How will you spend your

time?• Think about the job you would most like to have

REGARDLESS OF HOW MUCH TRAINING AND SCHOOLING IT TAKES TO GET THERE.

Activity 118 Cont

• Using polka dots, fill in and label the years you will be in college or training.

• Using horizontal stripes, fill in time for full time work.

• Using diagonal stripes, fill in time for part-time work.

• Using stars, fill in and label the time outside the workforce for raising a family or retirement.

Activity 119

• How many years of post-high school training will you complete? (A)

• How many years do you think you will work full-time? (B)

• How many years do you think you will work part-time? (C)

Activity 119 Cont

• Multiply 2,080 x (b). This will be your answer for (f).• Multiply 1,000 x (c). This will be your answer for (g).• Add (f) + (g) together. This is how many hours you

will work in your lifetime.• Look at the formula at the bottom of the page in

your workbook. Then write this total on the line above it.

• Schooling isn’t all that bad after all is it?