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 Up Grocery budget Ch4 Study Guide Bottom Line

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 Up Grocery budget Resume Bottom Line

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 Up Scenario P.P. Scenario activities Grocery budget activity Paycheck project Bottom Line Warm Up: How much money do you want to have by the time you are 30? What will you use it for?

April is Financial Literacy Month!! Daily Information 4/4 Objectives: Discover ways to save money when purchasing groceries. Agenda: Warm Up Financial Literacy Fact Friday!! Grocery budget activity Warm 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!

Daily Information 4/7 Objectives: Agenda: Warm Up: Discover ways to save money when purchasing groceries. Agenda: Warm Up Grocery budget activity BottomLine Warm Up: Check your grade in infinite campus. If you have concerns regarding your grade, please write them down in your warm-up book.

Daily Information 4/7 Objectives: Agenda: Warm Up: Discover ways to save money when purchasing groceries. Agenda: Warm Up The Carson Family Grocery budget activity Bottom Line Warm Up: Check your grade in infinite campus. If you have concerns regarding your grade, please write them down in your warm-up book.

The Carson Family Goals Changes Pay the rest of tuition, no more student loan ($200) Enroll in life insurance ($75) Pay off credit card ($___) Changes Dining out: $40 Cell Phone: $50 Cigarettes: $0 Credit Card: (More than $30)

The Carson Family Calculate your total Income = expenses What you will do with the remaining balance? How much towards the credit card How much towards their savings

Congratulations! You have been hired as a financial advisor for John and Tia Brown Financial Advisor Information Your Job Developed a Statement of Financial Position and Income and Expense Statement Identified the following goals: Develop a spending plan for the Brown family Increase the amount of their emergency savings fund Pay more on their monthly car loan payment to pay the loan off faster Spend less money on clothing every month Spend less money dining out at restaurants

The Brown Family Tracked Income and Expenses for January Financial Advisor Information Your Job Kept all receipts for the month of January to create an Income and Expense Statement Review John and Tia’s January Income and Expense Statement for a realistic view of their income and expenses

Personalize Your Spending Plan How will you develop a spending plan? Step 1 - Track Current Income and Expense Step 5 - Evaluate and Make Adjustments Step 4 - Implement and Control Step 2 - Personalize Your Spending Plan Step 3 - Allocate Money to Each Category

The Brown Family Personalize The Spending Plan Income and Expense Statement for: John and Tia Brown   Time Period: January Amount Planned Amount for February Income Earned Income Wages or salary before deductions 5500.00 Total Income $5,500.00 $ Expenses Deductions Often Taken from Paychecks *Contribution to a retirement program (401k, 403b) 385.00 *Federal income tax 1,100.00 *Social Security 317.13 *Medicare 74.17 Saving and Investing (Pay Yourself First) Contribution to savings and investments 250.00 Insurance Premiums *Health insurance, Medicaid and Medicare *Renters or homeowners insurance 15.00 *Automobile insurance 70.00 Housing Costs *Housing payment (rent or mortgage) 800.00 *Utilities (gas, electricity, water, garbage) 100.00 Transportation Costs *Automobile payment 200.00 *Fuel (gasoline/diesel) *Automobile repairs and maintenance 50.00 *Public transportation fees *Automobile license and registration (yearly fee) 20.00 Food Costs Food at the grocery store 300.00 Meals at restaurants 350.00 Snacks away from home (coffees, treats) 30.00 Non-food kitchen supplies (plastic wrap, dish soap) Communication and Computers *Cell phone 110.00 *Internet 60.00 *Cable/satellite television 40.00 Medical Costs Not Covered by Insurance *Medical care Clothing and Personal Care Clothing Personal care (shampoo, haircuts, cosmetics, laundry, etc.) 150.00 Entertainment Movies, books, and other entertainment Total Expenses $5,401.30 Net Gain or Net Loss (Income less Expenses) $98.70 Financial Advisor Information Your Job Requested a spending plan for the month of February Requested the same document and categories as the Income and Expense Statement Find the column on the Income and Expense Statement where the Spending plan will be created

The Brown Family Allocate Money to Each Category Financial Advisor Information Indicated a * next to expenses that are either contractual or they are unwilling to decrease Remember goals Consider trade-offs Must have a net gain or a zero balance

The Brown Family Allocate Money to Each Category Your Job Develop a spending plan for the family Explain each change made

Net Gain or Net Loss? Net Gain? Net Loss? Income Expenses Net Gain or Net Loss Net Gain? Net Loss? Add more money to savings or another expense Increase income Decrease expenses Both

The Brown Family Evaluate and Make Adjustments Financial Advisor Information Your Job How 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 expense Increase their grocery budget by $20.00 How has developing a spending plan helped the Brown family?

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.