Aim of the Lesson To understand: what is meant by an income the different types of incomes how to record income

What is it? Money coming in that you can spend. What is Income? What is it? Money coming in that you can spend. Income comes in

Do you as a student have Income?

Do you as a student have Income? What about presents from relatives? Pocket money? What about part time jobs?

Some examples of Income for people working would be.. Benefit in Kind/Perk An employee is given a car that be used for personal use or they are given a free holiday. Wages Weekly pay linked to hours worked Overtime Working extra hours Bonus This is when an employee is given extra pay because they worked hard or the firm is doing well. Salaries the same amount of money received each month regardless of hours worked

What income does an unemployed person have? Unemployment benefit e.g. Job Seekers payments for unemployed people Pensions- for retired people Social Welfare =money given to people by the government, because of the personal circumstances of those people. E.g. Pensioners, unemployed people, people with disabilities etc

The 3 Types of Income 1. Regular- predictable amount of money received every week or month Wages Pocket money Commission: This is an regular income given to an employee for reaching a target Unemployment Benefit Pension

Types of Income 2. Irregular- unpredictable income in size and when you will receive it Overtime Interest Bonus Lottery Win 3. Perks- Non cash Income given by an employer to an employee Examples: Company Cars, phones, gym memberships, free food at lunch, parking space

Recording our Income As we move through our chapters, we will see that it is really important to keep financial records. Here is an example of one of the ways in which we can show a record of our income that we will look at in our Budgeting chapter Pauls Income JAN FEB MARCH APR TOTAL Pocket Money 20 80 Babysitting 15 60 Cleaning the house 30 Present 100 Total 35 65 135 270

Research Make a list of three regular and three irregular sources of income that have come into your household this year Ask at home how much your parent/guardian receives in Child Benefit each month and ask them if they think it is enough to cover all costs