Guide to Financial Literacy Upward Bound Math and Science UTA Lucy Carreño-Roca
Today’s focus: How to Create a Personal Budget Understanding Checking Accounts How to Start Saving Money
What is Financial Literacy? "The ability to use knowledge and skills to manage financial resources effectively for a lifetime of financial well-being." Earning Money Managing Money Investing Money What is Financial Literacy?
What are Budgets and are they Necessary? Helps you visualize where your money is being spent. Learning how to build a budget that works for you, ensures your goals and dreams are attainable. Top reason students give for dropping out of college is financial constraints What are Budgets and are they Necessary?
How to Create a Budget Step 1 Step 2 Step 3 Income: Allowance Stipends Figure out your Income Step 1 Track your Spending (Flexible v. Fixed) Step 2 Set your Goals! Income: Allowance Stipends Part-time/ Odd Jobs Gift money Step 3 Step 4 Make a Plan Income:
Checking Account v. Saving Account Checking Accounts: Debit Card/ Checks Use at any Merchant Unlimited Withdrawals Automatic Transfers to Savings Direct Deposit (Jobs and Scholarships) Saving Accounts: ATM Card Limited Withdrawals Earns Interest! Helps you set money aside What is needed to open an Account? Student ID or State Issued ID Social Security or ITIN number Minimum Deposit (ex. $25)
Top Questions to ask when Opening an Account Is there any Maintenance Fees? Is there a branch near by? What happens if I try to withdraw more money than I have in my account? Is mobile banking available? Will it cost me money to transfer money? Does the Account pay me interest?
Questions & Resources Understanding the Basics of Banking Creating a Budget 8 tips for getting the most from your Checking Account