Personal Finance

Course Description:

Students will complete this class with the understanding of everyday financial matters. Basic economic principles are taught with an emphasis on personal finance. Daily assignments, vocabulary, review sheets, and tests will be assigned every chapter. There will be projects in some of the chapters.

Topics Covered: Financial issues related to every day living

Prerequisites: None

Length: Year Course - 57-minute period

Grade Level: 11^th & 12^th Grade

Instructional Philosophy:

Students will be expected to complete all work with high quality effort. Discussion of all material will be completed before assignments are given. Some classroom problems will be completed together, with the majority of work completed on their own. Timelines will be given on when work is to be completed. Assessment will be daily work (including vocabulary, questions), quizzes, tests (over every chapter), and class room projects. There is a semester test at the conclusion of the course. This is a semester course.

Course Standards:

I. EARNING A LIVING

Indicator #1: Identify various forms of income and analyze factors that affect income. Bloom’s Taxonomy Level	Standard, Supporting Skills, and Examples
Analysis	P1.1 Students will be able to analyze how career choices, education, skills, and economic conditions affect income. For example, to meet this standard students may: • Identify various ways people earn a living. • Analyze how career choices can be affected by economic conditions. • Research, using availability of jobs, salary, cost of living expenses, and standard of living, similar occupations in different locations and how this affects personal decision making.
Analysis	P1.2 Students will be able to explain how taxes, government transfer payments, and employee benefits impact disposable income. For example, to meet this standard students may: • Calculate gross earnings including benefit packages. • Calculate net earning • Prepare a federal income tax return and other tax forms.

II. Money Management

Indicator 2: Explain the processes involved in managing your personal finances. Bloom’s Taxonomy Level	Standard, Supporting Skills, and Examples
Comprehension	P2.1 Students will be able to explain the importance of taking responsibility for personal financial decisions. For example, to meet this standard students may: • List specific ways that young people can demonstrate that they are financially responsible
Evaluation	P2.2 Students will be able to evaluate available money management tools. For example, to meet this standard students may: • Compare two sources of online financial advice • Compare and contrast financial services and/or financial institutions
Synthesis	P2.3 Students will be able to design a plan for managing finances. For example, to meet this standard students may: • Create a personal income and expense statement • Plan, prepare, and manage a balanced budget • Determine net worth • Create and implement a personal financial plan using current information from newspapers, magazines, the internet, etc.
Application	P2.4 Students will be able to organize personal finance records. For example, to meet this standard students may: • Reconcile a financial statement • Develop a system for maintaining records. • Use a simulation
Analyze	P2.5 Students will be able to analyze how risk-management strategies protect against financial loss. For example, to meet this standard students may: • Compare and contrast risk-management strategy. • Research the financial responsibility laws for your state • Explain types of insurance

Indicator 3: Use a rational decision-making process as it applies to informed decisions on spending and credit. Bloom’s Taxonomy Level	Standard, Supporting Skills, and Examples
Application	P3.1 Students will be able to apply a rational decision-making process to personal buying decisions. For example ,to meet this standard students may: • Identify the steps in the decision-making process • Distinguish between needs and wants • Explain the factors that affect personal spending patterns • Evaluate information about products and services • Apply comparison shopping practices • Identify alternative sources for purchases
Analysis	P3.2 Students will be able to compare the advantages and disadvantages of different payment methods. For example, to meet this standard students may: • Compare the total costs of leasing, borrowing to buy and rent-to-own options • Examine security issues related to various payment options
Analysis	P3.3 Students will be able to analyze the sources, benefits and costs of consumer credit. For example, to meet this standard students may: • Calculate how long it takes to repay debt and the total cost when a borrower makes minimum payments • Compare credit card offers • Explain why the amount of principal, the period of the loan, and the interest rate affect the amount of interest charged • Explain why the interest rate varies with the amount of assumed risk • Explain the various types of consumer credit, including credit cards, installment loans, student loans and mortgages.
Analysis	P3.4Students will be able to assess the positive and negative consequences of using credit. For example, to meet this standard students may: • Describe the negative consequences of bankruptcy • Explain factors that affect a credit report • Identify signals of credit problems and resources available for consumer credit counseling • Explain factors that affect creditworthiness and the purpose of credit history.
Evaluation	P3.5Students will be able to explain the rights and responsibilities of buyers and sellers under consumer protection laws.

For example, to meet this standard students may:

• Research consumer advocacy groups that address consumer rights and responsibilities

• Explain the purposes and features of consumer protection laws and regulations

• Write a letter of complaint to resolve a consumer issue

Major Assignments:

1. Daily work (Vocabulary and questions from each chapter)

2. Power Point over country of their choice

3. Test over every chapter

4. Stock Market Activity

Instructional Delivery Plan:

Delivery Method: Instruction will consist of lecture, discussion, reading, problem solving, and writing, Examples done together in class.

Student Work: Students will work independently on tests, quizzes, and performance task. Student can work independently or in teams on PowerPoints, problems, and worksheets. We will also read two books by Chad Foster, Financial Literacy for Teens and Success in the Real World. Students will blog over the assigned reading.

Community Involvement: Guest speakers from financial type businesses, colleges and universities, and the community will be brought in throughout the course. Trips to career fairs may be done during the year with me and/or the counselor.

Grading Scale:

A	100-94	Excellent Work, all assignments completed and shows understanding of work
B	93-86	Good Work, all assignments completed and shows understanding of work
C	85-78	Decent work, missing a few assignments and shows understanding of most work, missing effort
D	77-70	Borderline Work, missing assignments and late assignments, basic understanding of most work, lack of effort
F	69 and below	Minimal Effort, many missing assignments, understanding is below basic, does not meet expectations.

Grade Distribution:

5%	Stock Market Activity
70%	Daily Work
20%	Tests & Quizzes
5%	Blogging over assigned readings

Chapter Descriptions:

Chapter 1 - Consumer - The Engine That Runs The Economy Video 1 Video 2 video 3 video 4 video 5 video 6

Objective-What are the consumers roles in the economy. How buying influences production and promotion of products. How you can be more responsible as a consumer.

Chapter 3 - Consumer Protection - Rights, Responsibility, Resolution

Objective-Informed on the consumer bill of rights. Government protection and acts that protect consumers. Aware of consumer issues and how to resolve those issues.

Chapter 6 & Chapter 11 - Budgeting - How Will You Use Your Money?

Objective-How to complete a budget with fixed and variable expenses and with limited money. Expose students to the concept of "planning ahead" in a fixed budget scenario. Unit Pricing, what is the best deal.

Chapter 7 - Banking Services - Where to Stash Your Cash

Objectives-Key terms related to banking and how they work. Students learn how to complete checks, complete a check register, complete a check stub, reconcile a bank statement, and how to complete electronic banking transactions and how to record them. Students learn the different services offered by most banks. Students also learn of the different bank drafts they offer.

Chapter 8 - Saving - Plan for Financial Security

Objective-Benefits and strategies for saving. Different savings institutions and options and their benefits. Figuring simple and compound interest on deposits and other investments.

Chapter 9 - Investing - Prepare For Your Future

Objective-Advantages and disadvantages of low, medium, and high risk investments. Stock Market Game. How to read a stock quote from the paper and on the internet.

We have a stock market game that we play in class. Each student is given $100,000 to invest. We set up excel spreadsheets with formulas. All they have to do to update the spreadsheet is type in the new price of the stock. We check the stocks every Friday and have a bulletin board to chart the progress of each of the students. We use www.javaticker.com to research and look at stock history. They have a chart of how stocks have done in the past year. They also have a list of rapid growing stocks on the home page of www.nyse.com.

At the end of the semester, whomever is ahead of me receives a pop. The leader of the group, regardless if I win the game, receives a $5 gift certificate to a restaurant of your choice. Usually a store manager will be happy to give you a gift certificate if you tell them what it is for.

Chapter 10 - Credit - Your In Charge

Objective-Figuring interest on revolving credit and explaining why this is dangerous. Explanation of creditworthiness and how things you do now affect your ability to get loans in the future. Explanation of credit bureaus and credit ratings and what things affect those ratings. Differences in the different types of loans and how each ends with a different cost of a particular item. How to maintain a good credit rating. Different services available to you if you get in financial trouble.

Chapter 14 - Automobile and Home Insurance - Sharing The Risk

Objective-Basic insurance terms and meanings. Different types of insurance, coverage, deductibles, and how these things affect your premium. Types of Automobile coverage and the types and what they cover. How to figure claims with 100/300 and deductibles. What different laws are there to protect the public from people who are not insured or underinsured. Renter's and Home owners insurance and what is covered under Basic, Broad, and Special coverage. How to receive discounts on premiums by taking certain precautions. How to choose the right insurance and agent to fulfill your needs.

Chapter 15 - Health and Life Insurance - Your Personal Security

Objective-Basic and additional coverage that are offered and how to obtain these coverages. How to figure cost to you using deductibles and 80/20. Explaining the different options of coverage, both in youth and elderly. Your responsibilities and health care providers responsibilities. Types of life insurance and what they cover and how long they cover.

Chapter 17 - Global Economy - What It Means To You

Objective-General terms relating to international trade. Trade agreement and what that means to us as consumers. Figuring conversion rates of currency. Figuring GDP and CPI and how these figures affect us as consumers. PP on a country of their choice. Describing countries economy, imports, exports, trade deficit or surplus, major trading partners, etc.

Extra Help:

Students are required by policy to come in at 7:45 for extra help in a subject. There are also days available after school for a student to come in for extra help. Contact me and I'll work something out to find a time that works to help the student.

Home