1. Part 1: Income

2. Key Ideas Employment provides a means of creating……. personal income Income is determined by many factors including…. individual skills and abilities, work ethic and market conditions

3. Overview 1. Most people derive their income from ….. employment Other means include…… government entitlements, annuities (retirement savings) trust fund, stock profits, etc.

4. 2. Income may be determined by……. skills and abilities that an individual has Some require intense training -Technical skills, specialized training Some require high levels of education -Levels of degrees: ……… Associate’s, Bachelor’s, Master’s, Doctorate (Ph.D.), Medical (M.D.)

5. Some keys to Income may be innate - define… (natural; in-born) - Physical, artistic, intellectual

6. 3. Income may be influenced by an individual’s… work ethic …..-define….. Amount of effort one puts into work Personal motivation - Could be internal…define…ex? Will to succeed Character Personal Satisfaction

7. Income could be driven by external incentives (ex’s?..) Commission, bonuses, promotions, raises More hours or better attitude may = higher income Lack of motivation/work ethic may lead to…. demotion, elimination of job

8. 4. Market conditions can influence an individual’s income Economic, social, cultural and political conditions can all affect incomes Economic growth or contraction can affect…. performance bonuses, wage increases Political conditions often influence job stability and availability of jobs – Stable vs. Fragile – Fiscal policy decisions - tax rates, job programs

9. Jobs that are in high demand, but where the supply of workers with particular skills is limited often offer …… higher incomes - Basic concept of supply and demand High Demand Physician, Pharmacy, Software Architect/Development, Finance, Solutions Analyst, Lawyer, IT, Tax Manager Low Demand Lending industry (loan officers, title clerks, etc..) Machine operators Computer operators Newspaper/ Broadcast Media Flight Attendant