Created by Camille Krum

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Personal Finance
Help! Im out of money!

• Created by Camille Krum

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Activity How Much Do They Make?
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Learn and Earn
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How much is your time worth?
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Earnings

• The average earnings of college graduates in 1996
  were 55 higher than those of high school
  graduates.
• The average income for a family headed by a high
  school graduate declined 4.5 between 1973 and
  1996.
• During that same time (1973-1996), the income of
  families headed by college graduates grew 13.8.
• During that same time, the earnings of families
  headed by a parent who went to school beyond a
  college degree rose 38.8.

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Activity
How Much is Class Attendance Worth?
Do you get tired of going to class every day?
Complete the assignment and see what the value of
a days education is over a 40-year work life.
How much is attending each class really worth?
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Millionaire Game

• Hold up a true or false card. Include a
  Millionaire Card if you are sure your are
  correct.
• Most Millionaires are college graduates.
• Most millionaires work fewer than 40 hours a
  week.
• More than half of all millionaires never received
  money from a trust fund or estate.

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Millionaire Game

• More millionaires have American Express Gold
  Cards than Sears cards.
• More millionaires drive Fords than Cadillac's.
• Most millionaires work in glamorous jobs, such as
  sports, entertainment, or high tech.
• Most millionaires work for big Fortune 500
  companies.
• Many poor people become millionaires by winning
  the lottery.

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Millionaire Game

• College graduates earn about 65 percent more than
  high school graduates.
• If an average 18-year-old high school graduate
  spends as much as an average high school dropout
  until both are 67 years old, but the high school
  graduate invests the difference in his or her
  earnings at eight percent annual interest, the
  high school graduate would have 5,500,000.

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Millionaire Game

• Day traders usually beat the stock market and
  many of them become millionaires.
• If you want to be a millionaire, avoid the risk
  stock market.
• At age 18, you decide not to by fountain drinks
  and save 1.50 a day. You invest the 1.50 a day
  at eight percent annual interest until you are
  67. At age 67, your savings from not drinking
  soda are almost 300,000.

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Millionaire Game

• If You save 2,000 a year from age 22 to age 65
  at eight percent annual interest, your savings
  will be over 700,000 at age 65.
• Single people are more often millionaires than
  married people.

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Lifestyle costs

• Where you live
• Clothes
• Food
• Transportation
• Entertainment
• Vacations
• Other costs-car repairs insurance

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Reality Check

• Take the reality check quiz online to see what
  your life style choice requires you to earn per
  hour.
• URL
• http//www.jumpstart.org/madmoney/pgv_money_rc_mai
  n.html

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Activity Cookie Monster

• Select student to be employee
• Select student to be State Tax collector
• Select student to be Social Security Tax
  collector
• Select student to be Federal Tax collector
• Select student to be Health Insurance collector
• Select student to be Life Insurance collector
• Select student to be Donation collector

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REALITY BITES

• Do you know where your money goes?
• Identify your spending traps
• For the next two days keep a spending log.
  Record everything you spend.

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Financial Goals

• Short term goalpay for immediate needs such as
  school, entertainment, clothes, etc.
• Medium term goalcollege education, cars,
  vacation.
• Long term goalretirement plans, change in
  career, travel

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Activity Road Map to Spending

• Divide into groups of three. In two minutes list
  as many items as they can in the following
  categories
• Fixed Expenses
• Variable Expenses
• Differential Expenses
• Each student completes A Road Map For Spending

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Budget

• Go to computers in groups of threeif not enough
  computers for all students.
• Go to web site
• and select career and salary from list.
• Go to Where does your salary go and complete
  the activity.

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Three Cs of Credit

• Characterborrowers willingness to pay you based
  on past history paying back loans
• Capabilityability to pay back money borrowed
• Collateralproperty used to cover amount owed if
  fail to pay back money
• Group students to do scenarios

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A Credit Check
Perhaps you have not developed a personal credit
history, but you do have a personal education
performance history that reflects similar
behavior patterns. On a piece of paper, answer
the following questions

• Number of times you have missed class this
  semester.
• Number of times you have been tardy this
  semester.
• How many times have you turned in late
  assignments this semester.

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• How many times have you turned in incomplete
  assignments this semester?
• How many times have you not turned in an
  assignment at all this semester?
• How many times have you been asked by the teacher
  to change or improve your behavior in class this
  semester?
• How many times have you forgotten to bring the
  required materials (pencil, disk, notebook, etc.)
  to class this semester?

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TOTAL (Add the numbers listed for 1-7 above)
How did you do? 4 or less Credit
Granted!! 5o-7 You are going to need a
cosigner 8 or more CREDIT DENIED!
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FALSE
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TRUE
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FALSE
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TRUE
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FALSE
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TRUE
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FALSE
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TRUE
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FALSE
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TRUE
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Credits and Referencs

• www.themint.org
• www.jumpstartcoalition.org