Presentation on theme: "Daily Information 4/9 Objectives: Warm Up: Agenda:"— Presentation transcript:
1 Daily Information 4/9 Objectives: Warm Up: Agenda: Prepare a meal plan and determine if you were able to stay within budget.Explain the importance of budgeting.Warm Up:Make sure work turned in last class has been updated in infinite campus!Record all expenditures in the month of April on the “New” student budget.Agenda:Warm UpGrocery budgetCh4 Study GuideBottom Line
2 Daily Information 4/8 Objectives: Warm Up: Agenda: Prepare a meal plan and determine if you were able to stay within budget.Warm Up:Check your grade in infinite campus to make sure work submitted yesterday has been updated.Agenda:Warm UpGrocery budgetResumeBottom Line
3 Daily Information 4/1 Objectives: Agenda: Warm Up: Implement the process of creating a spending plan.Discover ways to save money when purchasing groceries.Agenda:Warm UpScenario P.P.Scenario activitiesGrocery budget activityPaycheck projectBottom LineWarm Up:How much money do you want to have by the time you are 30?What will you use it for?
4 April is Financial Literacy Month!! Daily Information 4/4Objectives:Discover ways to save money when purchasing groceries.Agenda:Warm UpFinancial Literacy Fact Friday!!Grocery budget activityWarm Up:Who is one of your “money role models” and why?April is Financial Literacy Month!!Every Friday in Financial Literacy Month will be a Fact Friday!
5 Daily Information 4/7 Objectives: Agenda: Warm Up: Discover ways to save money when purchasing groceries.Agenda:Warm UpGrocery budget activityBottomLineWarm Up:Check your grade in infinite campus. If you have concerns regarding your grade, please write them down in your warm-up book.
6 Daily Information 4/7 Objectives: Agenda: Warm Up: Discover ways to save money when purchasing groceries.Agenda:Warm UpThe Carson FamilyGrocery budget activityBottom LineWarm Up:Check your grade in infinite campus. If you have concerns regarding your grade, please write them down in your warm-up book.
7 The Carson Family Goals Changes Pay the rest of tuition, no more student loan ($200)Enroll in life insurance ($75)Pay off credit card ($___)ChangesDining out: $40Cell Phone: $50Cigarettes: $0Credit Card: (More than $30)
8 The Carson Family Calculate your total Income = expenses What you will do with the remaining balance?How much towards the credit cardHow much towards their savings
9 Congratulations! You have been hired as a financial advisor for John and Tia Brown Financial Advisor InformationYour JobDeveloped a Statement of Financial Position and Income and Expense StatementIdentified the following goals:Develop a spending plan for the Brown familyIncrease the amount of their emergency savings fundPay more on their monthly car loan payment to pay the loan off fasterSpend less money on clothing every monthSpend less money dining out at restaurants
10 The Brown Family Tracked Income and Expenses for January Financial Advisor InformationYour JobKept all receipts for the month of January to create an Income and Expense StatementReview John and Tia’s January Income and Expense Statement for a realistic view of their income and expenses
11 Personalize Your Spending Plan How will you develop a spending plan?Step 1 - Track Current Income and ExpenseStep 5 - Evaluate and Make AdjustmentsStep 4 - Implement and ControlStep 2 - Personalize Your Spending PlanStep 3 - Allocate Money to Each Category
12 The Brown Family Personalize The Spending Plan Income and Expense Statement for:John and Tia BrownTime Period:JanuaryAmountPlanned Amount for FebruaryIncomeEarned IncomeWages or salary before deductionsTotal Income$5,500.00$ExpensesDeductions Often Taken from Paychecks*Contribution to a retirement program (401k, 403b)385.00*Federal income tax1,100.00*Social Security317.13*Medicare74.17Saving and Investing (Pay Yourself First)Contribution to savings and investments250.00Insurance Premiums*Health insurance, Medicaid and Medicare*Renters or homeowners insurance15.00*Automobile insurance70.00Housing Costs*Housing payment (rent or mortgage)800.00*Utilities (gas, electricity, water, garbage)100.00Transportation Costs*Automobile payment200.00*Fuel (gasoline/diesel)*Automobile repairs and maintenance50.00*Public transportation fees*Automobile license and registration (yearly fee)20.00Food CostsFood at the grocery store300.00Meals at restaurants350.00Snacks away from home (coffees, treats)30.00Non-food kitchen supplies (plastic wrap, dish soap)Communication and Computers*Cell phone110.00*Internet60.00*Cable/satellite television40.00Medical Costs Not Covered by Insurance*Medical careClothing and Personal CareClothingPersonal care (shampoo, haircuts, cosmetics, laundry, etc.)150.00EntertainmentMovies, books, and other entertainmentTotal Expenses$5,401.30Net Gain or Net Loss (Income less Expenses)$98.70Financial Advisor InformationYour JobRequested a spending plan for the month of FebruaryRequested the same document and categories as the Income and Expense StatementFind the column on the Income and Expense Statement where the Spending plan will be created
13 The Brown Family Allocate Money to Each Category Financial Advisor InformationIndicated a * next to expenses that are either contractual or they are unwilling to decreaseRemember goalsConsider trade-offsMust have a net gain or a zero balance
14 The Brown Family Allocate Money to Each Category Your JobDevelop a spending plan for the familyExplain each change made
15 Net Gain or Net Loss? Net Gain? Net Loss? IncomeExpensesNet Gain or Net LossNet Gain?Net Loss?Add more money to savings or another expenseIncrease incomeDecrease expensesBoth
16 The Brown Family Evaluate and Make Adjustments Financial Advisor InformationYour JobHow could creating a spending plan help you now and in the future?John and Tia realized that if they dine out at restaurants less often they will need to increase their monthly grocery expenseIncrease their grocery budget by $20.00How has developing a spending plan helped the Brown family?
17 The Brown Family You may begin the scenario within your group When you are finished, start working on the second scenario for the Carson family.