Transcript Financial Literacy for Children

Their
Minds
Financial Literacy
for
Children
What is Financial Literacy?
Why do we need it?
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What are some
misconceptions elementary
children have about money?
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Not developing a sound
understanding of
personal financial literacy
can result in . . .
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Topics:
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Earning Income
Saving
Spending
Credit
Money management
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3-5 Materials
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Objectives – Lesson 5
• List reasons to save and explain the benefit
of a savings plan, including for college (3.9E)
• Identify decisions involving income, spending,
saving, credit, and charitable giving (3.9F)
• Compare the advantages and disadvantages
of various savings options (4.10C)
• Develop a system for keeping and using
financial records (5.10D)
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Vocabulary
• Savings
• Trade-off
• Goals (short-term
and long-term)
• Economic
want
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Incentive
Interest
Motivate
Opportunity Cost
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Saving Starts with Wanting More
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Sources of income
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Chores as a source of income
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Setting goals for your money
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Savings goals
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• What was the beginning
balance on October 31,
2009?
• How much did Ms.
Savealot deposit during
November?
• How much was
withdrawn during
November?
• How much interest was
earned this month?
• What is the ending
balance in the account
on November 30, 2009?
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My Savings Plan
• Is your savings target realistic?
• Can you really set that amount of money
aside each week or month?
• What can you do if the targeted amount is
too much or too little?
• What will you give up by saving the
targeted amount each week or month?
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Making Decisions
Pair students up to discuss the
following:
• Explain your savings plan.
• Decide where you will keep your
money.
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Assessments:
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$100,000 Pyramid Game
• Choose your partner.
Game 1
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Goal
Services
Withdrawal
Opportunity cost
Interest
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Game 2
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Bank
Short-term goal
Personal Financial Literacy
Trade-off
Deposit
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Objectives – Lesson 8
• explain that credit is used when wants
exceed the ability to pay and that it is the
borrower’s responsibility to pay it back to
the lender, usually with interest (3.9D)
• identify the advantages and disadvantages
of different methods of payment including
check, credit card, debit card, and
electronic payments (5.10C)
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How Would You Like to Pay?
How do family
members pay?
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What are some things that
students buy using currency and
coins?
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Other methods of payment
check
credit card
debit card
electronic or online payment
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Paying by Check
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Writing a Check
September 7, 2011
Toys Galore
15.42
Fifteen dollars and forty-two cents
Mr. Estevez
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The Check Register
5942 9-7-11
Toys Galore
$15 42 84 58
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Exercise 8.1
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Exercise 8.2
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Visual 8.2
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How Would You Like to Pay?
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Assessment
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Extensions
• Ask a local bank for sample check registers for
students to use for practice recording checking
transactions and calculating balances. Students
may create story problems to provide context for
using the register.
• Read stories about people buying goods and
services; discuss the methods of payment used.
Students may write a story about buying goods
and services using different methods of
payment.
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Extensions
• Invite a local banker to talk about the four
methods of payment and what methods of
electronic payment people may use 20 years
from now.
• Divide the class into 4 groups. Assign each
group a form of payment. Members of each
group write a skit, rap, poem, song, etc. teaching
the other students the advantages and
disadvantages of the respective forms of
payment.
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Objectives – Lesson 15
• Distinguish between fixed and
variable expenses (4.10A)
• Describe actions that might be taken
to balance a budget when expenses
exceed income (5.10E)
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Vocabulary
• Budget
• Expenses
(fixed and variable)
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Taxes
Savings
Income
Donation
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It’s a Balancing Act
income
income
expenses
<
>
expenses
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Fixed or Variable Expenses
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The Monroe Family
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On-line tools and resources
• The Mint Kids Savings
Calculator
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Thank You
from TCEE
and Valerie Johse
[email protected]
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