Welcome to DKG and TCEE Financial Literacy Workshop. Please help yourself to coffee. Please complete the registration form while we wait. Please tweet and acknowledge our sponsors: SF and PCB. Thank you for being here! Thanks to: Mu Sigma Chapter

What Role Does Texas Council on Economic Education Play? The Texas Council on Economic Education (TCEE) Teaches Teachers Who Teach Students Who Are the Future of Texas --John Anderson, TCEE Board Member

This workshop and the accompanying materials are made available to teachers through the generous support of State Farm, PlainsCapital Bank, Delta Kappa Gamma/Mu Sigma Chapter and the Texas Council on Economic Education.

Staff Development Annually: 2200 Educators and 2.3 million students Economics Entrepreneurship Career/Business Financial Literacy Playful EconomicsPlayful Economics

Jean Walker, MBA West TX A&M Cheryl McGaughey, MBA Angelo State U Alberto Davila, Ph.D. UT Pan Am Catherine Rinhart Program Director Debbie Mackey Stock Market Game™ Director Leonie Karkoviata Stock Market Game™ Coordinator David Pruitt Stock Market Game™ Consultant Steve Cobb, Ph.D. University North TX Susan Doty, MBA UT Tyler Nancy Shepherd, Ph.D. Stephen F. Austin State University Laura Ewing TCEE President Cherry Frye Office Manager Allen Reding Web Manager Cindy Manzano Smarter Texas Director Valerie Johse Smarter Texas Consultant TCEE Center Directors and Staff Provide Training All Over The Great State of Texas In After School Programs, Personal Financial Literacy (PFL), Math PFL Social Studies Economics Strand, Career/CTE, Entrepreneurship, Economics, Free Enterprise System, Paying for College

TCEE 2015 Summer Conference: Hotel Contessa, San Antonio Riverwalk June 18-19, 2015 Audience: K to 12 Math PFL Teachers K to 12 Economics Strand Social Studies Secondary CTE Economics Teachers $175 covers registration, 36 sessions, over $200 in materials, the new VE4.5 with 1400 lessons, 4 meals, reception

Three Student Programs Directly Reach 22,000 students annually Stock Market Game™ Economics Challenge Personal Financial Literacy (PFL) Challenge

10 week simulation Grades 4 through 12 Teams of 2 to 5 students Virtual $100,000 to invest 20,000 Texas students participate annually Legislative & Capitol Hill Challenges $10 team fees Research indicates improved math scores on standardized tests Greenhill School parents thank TCEE.

InvestWrite Open to students participating in the Stock Market Game™ Elementary, Middle and High School Competition Cash prizes from Texas Greenhill High School National Winner visited Wall Street First and 9 th Place National Winners From Texas in 2014

Economics Challenge Fall and Spring Online Testing In Micro, Macro and International Economics Bellaire HS placed FIRST in the Nation in the Economics Challenge 2014 Funding provided by State Farm

Personal Financial Literacy Challenge Teams of 4 compete in online test for state finals Winning state team and teacher win cash First place state team attends regional and national finals at St. Louis Federal Reserve Bank Funded by State Farm Bellaire HS Placed 5 th in Nation in 2014

Why Connect Financial Education and Savings Accounts? Academic achievement – educational savings account ownership is associated with higher scores on math achievement tests Improved college aspirations – children with < $500 in savings for college are 3X more likely to attend and 4X more likely to graduate from college Financial health - students with a savings account 7 years later were 2X more likely to have a savings account and 4X more likely to own stocks

How Do You Get These Materials?

Free Council for Econ Ed Resources Online economics and financial literacy lessons Gen I Revolution teaches financial literacy through problem solving 14

Select either Browse Economics Concepts Or Browse Economics Lessons Select Grade Band

Selected lesson

Saving For College The Why, When, and How Published by RAISE Texas Parent and Student Guides Written by TCEE Download Book And Guides at

Grades K to 8 Math PFL Lessons Visit resources: Economics texas.org Smartertexas.org

Free lessons for grades K-8 – Lessons for grades 2-3 funded by – Lessons for grades K-1 & 4-6 funded by – Lessons for grades 7-8 funded by under Resource tab 19

After School Programs: Never Too Young: Personal Finance for Young Learners Middle School After School tied to PFL Math TEKS After School Program for Elementary School Students in Personal Finance and Economics 20

Presentations Available Online “Recent Presentations”

A FINANCIAL LITERACY PROGRAM SPONSORED BY Helping young people learn to think, choose, and make better economic and financial choices in a global economy

501(c)3 Texas wide nonprofit 1801 Allen Parkway, Houston, TX * P: Presenter: Laura Ewing/President

The TCEE programs are made possible by the following TCEE partners. copyDR. EnviroChem Services, Inc. Trout Foundation John Anderson Less B. Fox RBC Wealth Management

Board of Directors

1801 Allen Parkway, Houston, TX P: F: Helping young people learn to think, choose and make better economic decisions.

And Your Question IS??? Ask Laura Ewing (TCEE) or Carolyn Keck (Mu Sigma)

Financial Fitness for Life Source: Financial Fitness for Life, Grades 9-12

Spending and Credit Engage How do you define the term “credit?” How do you define the term “debt?”

What Is True About Each Statement? “Hey, it’s only plastic! Lets go for it”

Household Debt and Credit Report Federal Reserve Bank of New York City Fourth Quarter 2014 Report Aggregate household debt balances increased in the fourth quarter of As of December 31, 2014, total household indebtedness was $11.83 trillion, up by $117 billion (1.0 percent) from the third quarter. Overall household debt still remains 6.7 percent below its third quarter of 2008 peak of $12.68 trillion. What is the significance of the statement above?

Lenders Analyze 3 C’s Character: Will applicant repay loan? What does his/her credit history say? Capacity Does the person have enough income to pay debts? Collateral Will the loan be secured or guaranteed if the borrower defaults on the loan?

Exercise 11.1 Think: – Read “What Is Credit” and highlight the main points. – Answer the questions that correspond with the reading. Pair: – Discuss the answers with two other students. Share: – The class will share the answers.

What Is Credit? To borrow or not borrow: that is the question. Advantages: – Acquire assets – Obtain goods and services need and want – Helps in an emergency Disadvantages – Run up debts cannot repay – College student aggregate debt over $1 trillion and average personal debt $29,400 by Dec. 2013

What Role Do Financial Institutions Play? Hold money May pay interest to use money deposited Lenders recoup loan plus interest Borrowers make purchases not available otherwise

Exercise 11.2 Using Common Forms of Credit, answer these questions in complete sentences: – What are the advantages of home loans and college loans compared to credit card and personal loans? – What are the disadvantages of credit cards and college loans?

Closure What is an advantage of using credit? What is a disadvantage of using credit? Who gains from credit transactions and how do they gain?

What Will You Do? You are 30 years old and have a nice job. What do you plan on earning at that age? ____________ You are determining your purchases and investments. Make a plan as to what you will do about each of the following and explain why. Type of CreditWhat Will You Do And Why? Home Mortgage Car Loans College Loans Personal Loans Credit Cards

Assessment: Essay Using the chart, “What Will You Do?” to help guide you in writing an essay. You will need introductory and concluding paragraphs. The body paragraphs need to address these points: How will you use credit over the next 10 years? What do you plan to buy? What institutions will you use to make your purchases and why? What advantages will there be in using credit? What disadvantages will there be in using credit?

Extension: Credit Research Identify one example of each of the four types of financial institutions listed in the chart on page 88. Find examples of each type in your community or on the Internet. Work with three other students to each contact one of these to determine the answers. It is important to ask what the annual percentage rate (APR) is. Share your answers with your team, and each records the answers while listening.