1. Fun with Lots of Die Rolling Todd Hospodarsky Monticello High School todd.hospodarsky@monticello.k12.ia.us

2. Materials needed Simulation materials Calculators (phones?) Possibly computers Dice - 4, 6, 8, 10, 12, 20 sided All are optional

3. Budget

4. A financial plan

5. 3 types of Budgets

6. Balanced – Spend what you make

7. 3 types of Budgets Balanced – Spend what you make Deficit – Spend more than you make

8. 3 types of Budgets Balanced – Spend what you make Deficit – Spend more than you make Surplus – Spend less than you make

9. If you Budget correctly = You will get farther (money wise) than if you don’t

10. Steps How to Budget

11. 1. Set a financial goal (with a time frame)

12. Steps How to Budget 1. Set a financial goal (with a time frame) 2. List your income

13. Steps How to Budget 1. Set a financial goal (with a time frame) 2. List your income 3. Plan your expenditures

14. Steps How to Budget 1. Set a financial goal (with a time frame) 2. List your income 3. Plan your expenditures ****Pay yourself first

15. If you run a deficit

16. If you run a deficit then you must look at your opportunity costs

17. If you still can’t balance then you need to borrow = credit

18. NEW TOPIC

19. Savings

20. Anything you don’t spend

21. Things that affect Savings

22. 1. Income

23. Things that affect Savings 1. Income 2. Expectations

24. Things that affect Savings 1. Income 2. Expectations 3. Tax Laws

25. What to Look for when Saving

26. 1. Safety

27. What to Look for when Saving 1. Safety 2. Rate of Return (Interest Rate) -APR

28. What to Look for when Saving 1. Safety 2. Rate of Return (Interest Rate) -APR Compound Interest –

29. What to Look for when Saving 1. Safety 2. Rate of Return (Interest Rate) -APR Compound Interest – APY Interest on Interest already earned Rule of 72 =

30. What to Look for when Saving 1. Safety 2. Rate of Return (Interest Rate) -APR Compound Interest – APY Interest on Interest already earned Rule of 72 = 72 divided by the interest rate =# yrs it takes your $ to double

31. What to Look for when Saving 1. Safety 2. Rate of Return (Interest Rate) -APR 3. Liquidity – How easy it is to turn your savings into cash

32. High Liquidity = Low Interest Rate Low Liquidity = High Interest Rate

33. NEW TOPIC

34. Credit

35. Buy Now Pay for it Later

36. Where can you Borrow??? – Types of Loans

37. 1.Mortgage – Property - Bank (4.5%)

38. Where can you Borrow??? – Types of Loans 1.Mortgage – Property - Bank (4.5%) 2.Consumer Loan – Goods/Services – Bank/Store/Company (0-8%)

39. Where can you Borrow??? – Types of Loans 1.Mortgage – Property - Bank (4.5%) 2.Consumer Loan – Goods/Services – Bank/Store/Company (0-8%) 3.Credit Cards – Goods/Services – Bank/Store (15-25%)

40. Credit Cards - Advantages 1. Flexibility

41. Credit Cards - Advantages 1. Flexibility 2. Safety

42. Credit Cards - Advantages 1. Flexibility 2. Safety 3. Emergency Funds

43. Credit Cards - Advantages 1. Flexibility 2. Safety 3. Emergency Funds 4. Character Reference Credit History

44. Credit Cards - DisAdvantages 1. Overspending

45. Credit Cards - DisAdvantages 1. Overspending 2. Higher Costs

46. Credit Cards - DisAdvantages 1. Overspending 2. Higher Costs a. Interest

47. Credit Cards - DisAdvantages 1. Overspending 2. Higher Costs a. Interest b. Store Charges

48. Credit Cards - DisAdvantages 1. Overspending 2. Higher Costs a. Interest b. Store Charges 3. Impulse Buying

49. Things To Look For

50. 1. Grace Period

51. Things To Look For 1. Grace Period 2. Annual Fee– (want None)

52. Things To Look For 1. Grace Period 2. Annual Fee– (want None) 3. Interest Rate

53. Things To Look For 1. Grace Period 2. Annual Fee– (want None) 3. Interest Rate 4. Credit Limit

54. Things To Look For 1. Grace Period 2. Annual Fee– (want None) 3. Interest Rate 4. Credit Limit 5. Extras – Cash Back – Flyer Miles –get Something

55. Things to Watch out For 1. Cash Withdrawal 2. Checks 3. If you don’t pay all of the bill you’ll have hidden costs

56. NEW TOPIC

57. Today– Late Work and EC Due Wed– Test and Sect Reviews Due – Bring a Calculator

58. Insurance

59. Shared Risk

60. Premium –

61. Price You Pay to be Covered By Insurance

62. Premium – Price You Pay to be Covered By Insurance Deductable –

63. Premium – Price You Pay to be Covered By Insurance Deductable – How Much You Have to Pay Before Insurance Kicks In

64. Premium – Price You Pay to be Covered By Insurance Deductable – How Much You Have to Pay Before Insurance Kicks In Co-Pay –

65. Premium – Price You Pay to be Covered By Insurance Deductable – How Much You Have to Pay Before Insurance Kicks In Co-Pay – How Much You Have to pay Along With Insurance

66. Life Insurance –

67. Pays Your Family Money When You Die

68. Life Insurance – Pays Your Family Money When You Die 1. Term – Cheapest – No Cash Value

69. Life Insurance – Pays Your Family Money When You Die 1. Term – Cheapest – No Cash Value 2. Whole – Pay Same Premium get Same Coverage – Entire Life Does Accumulate a Cash Value

70. Life Insurance – Pays Your Family Money When You Die 1. Term – Cheapest – No Cash Value 2. Whole – Pay Same Premium get Same Coverage – Entire Life Does Accumulate a Cash Value 3. Universal – Can Eventually Stop Paying Premium and Still Covered Does Accumulate a Cash Value

71. Health Insurance

72. 1. Disability – Pays You an Income if you Can’t Work

73. Health Insurance 1. Disability – Pays You an Income if you Can’t Work 2. Medical – Pays Your Doctor Bills

74. Health Insurance 1. Disability – Pays You an Income if you Can’t Work 2. Medical – Pays Your Doctor Bills HMO –Health Maintenance Organization – Pays everything but only if you Go to the right Dr.

75. Health Insurance 1. Disability – Pays You an Income if you Can’t Work 2. Medical – Pays Your Doctor Bills HMO –Health Maintenance Organization – Pays everything but only if you Go to the right Dr. PPO –Preferred Provider Organization -Covers you Everywhere but You’ll Pay Less if you Go to the Right Dr.

76. Property Insurance – Pays When Your Property is Damaged

77. Property Insurance – Pays When Your Property is Damaged 1. Car

78. Property Insurance – Pays When Your Property is Damaged 1. Car 2. Home

79. Property Insurance – Pays When Your Property is Damaged 1. Car 2. Home 3. Other

80. Liability Insurance – Pays When You Damage Other’s Property

81. Liability Insurance – Pays When You Damage Other’s Property -Umbrella Policy – covers you everywhere

82. YOU MUST GET RENTER’S INSURANCE