1. 1 Getting a strong start Money Management 1-2-3 A project of Consumer Action | www.consumer-action.org Funded by Consumer Action’s Money Management Project © 2010 Rev. 2/16

2. Money Management 1: Getting a strong start Money Management 1-2-3 Getting a Strong Start

3. Pay stub Net vs. gross Withholding Voluntary deductions Earning income Money Management 1-2-3 Getting a Strong Start

5. Tax rates Money Management 1-2-3 Getting a Strong Start

7. Tax tips Stay organized and don’t wait until April Be aware of credits and deductions Plan for health insurance Money Management 1-2-3 Getting a Strong Start

8. Checking and savings accounts Money Management 1-2-3 Getting a Strong Start Bank vs. credit union Compare options Account opening requirements

9. Money Management 1-2-3 Getting a Strong Start

11. Budgeting Money Management 1-2-3 Getting a Strong Start

12. Budgeting tips Identify wants and needs Write it down (paper or electronic budget forms) Convert income/expenses to monthly amounts Track your spending Adjust as needed Money Management 1-2-3 Getting a Strong Start

13. Building your savings Money Management 1-2-3 Getting a Strong Start

14. Employment, insurance, home rental, utilities, wireless service Achieve goals Pay over time Emergencies Importance of good credit Money Management 1-2-3 Getting a Strong Start

15. Financial cost of bad credit 48-month car loan of $20,000 Credit score:650725 Interest rate:9.364%3.26% Monthly payment:$501 $445 Total interest paid:$4,056$1,359 Cost of a low credit score: $2,697 (almost $700 per year additional interest!) Source: http://www.myfico.com/crediteducation/calculators/loanrates.aspx. Scoring is on a scale of 350 to 850.http://www.myfico.com/crediteducation/calculators/loanrates.aspx Money Management 1-2-3 Getting a Strong Start

16. FICO score calculation

17. Establishing and building good credit Money Management 1-2-3 Getting a Strong Start

18. Installment vs. revolving Interest rate (APR) and type (fixed/variable) Repayment term (length of credit) Fees Money Management 1-2-3 Getting a Strong Start

19. Credit, debit and prepaid cards Money Management 1-2-3 Getting a Strong Start

21. Financing a vehicle

22. Congratulations! You’ve completed Part 1 of the Money Management 1-2-3 training. Money Management 1-2-3 Getting a Strong Start