1. Completing Your Own Budget Getting ready for JA Finance Park

2. UEQ and LEQ UEQ: How can JA Finance Park teach you to manage your money through the use of a monthly and yearly budget? LEQ: How can figuring out a budget help prepare you for your JA Finance Park visit?

3. Vocabulary Budget Expenses Income Needs/Wants Savings Taxes Wages Wants Net Monthly Income

4. Budget Completion and Review Finish Up: “Barbara’s Budget” in your workbooks on pages 59 and 60. Compare your answers with someone near you. Discussion of Barbara’s Budget Review: Complete “Ramon’s What If?” Scenario on pages 61 and 62, do not worry about filling in the blank lines on 61 and do not worry about answering 1 on 62. Discussion of Ramon’s Budget

5. Life Situation Card Teacher Single Two Children: Boy 10, Girl 14 You drive 20 miles to and from work. Monthly federal income tax: $552 Monthly Social Security: $234 Monthly Medicare: $57 You inherited a stock portfolio from your uncle, with the following stocks: 25 shares of Stock 1 60 shares of Stock 2 45 shares of Stock 3 ___ shares of _____________________ Annual Salary $ 63,000

6. JA Budgeting Overview and Checklist Read over the “Unit Four Overview” on page 74 of your workbooks. – Underline five major points on budgeting and what you will be doing at JA Finance that deals with budgeting. Checklist: Page 75, refer to the checklist over the next few days and check off items as you complete them.

7. Typical Family Budget

8. Life Situation Card Assignment Each of you will be assigned one life situation card, at least three of you in class will have the same life scenario. Use the card and the information for all workbook activities from pages 78 to 100. Turn to page 78 in your workbook and fill in items 1 to 5 using the information on your card.

9. Unlucky/Lucky Chance Cards Each of you will be given one unlucky and one lucky chance card. Read each card and each card will tell you a specific situation that has occurred in your imaginary life. Using the information each card provides, fill in item 12 and 13 on page 79 of your workbook.

10. Net Monthly Income Using the financial information from your life scenario card, fill out and complete the “Net Monthly Income” Worksheet on page 80 of your workbook. Follow directions and transfer your monthly income to the net monthly income box on page 81. How much do each of you get a month?

11. Budget Guidelines Each of you will now determine how much you could “possibly” spend a month on various items. (Housing, Food, Insurance, Entertainment, Etc.) Using your net monthly income that you wrote down and the equation below, figure out your minimum and maximum spending amounts for the various categories on page 81. Equation: (% x NMI) = Minimum/Maximum Amount Example – 18% of NMI (minimum) = (.18 x NMI) – 24% of NMI (maximum) = (.24 x NMI)

12. Established Expenses Using your Life Situation Card and your Unlucky Chance Card, fill in the information required on page 82. Multiply the number of adults in your scenario and number of children in your scenario where they apply. Once finished take the information from lines, 3, 4, 5, and 6, and write them into the corresponding areas on page 100 or 112.

13. Investment Portfolio Read over the section of information on investing your money at the top of page 83. JA Finance will provide the three companies that you are going to buy stock in, all you must do is keep track of them while you are there. Follow Stock Value Formula directions at bottom of page 83. – Three Stock: Walmart (WMT) = $47.51 Best Buy (BBY) = $24.73 McDonalds (MCD) = $52.32 Decide what shares you want to go where.

14. Housing Choosing a house is a major decision in anyone’s life. There are many costs associated with buying a house. Different things you must think about, property tax, crime, the neighborhood, driving distance, monthly mortgage, utilities. Will you have a roommate, or will you have a spouse/girlfriend/boyfriend living with you. Read over page 85 and decide what to do.

15. Home

16. Apartment

17. Townhouse

18. Mobile Home

19. Home Buyer Will you buy or rent? Depending on what you choose, buyers fill out page 86, renters fill out page 87. Use you marital status on your card to determine which bullet you follow to figure out the total.

20. Utilities Based on your mortgage, or how much rent you pay, using the price scales on page 88, determine how much you will pay for… – Electricity – Sewer/Water – Telephone Transfer your answers to the appropriate boxes on page 100.

21. Transportation: Buying a Vehicle Using the auto locator packet that I have given each of you, determine what vehicle you wish to purchase. Fill in all the necessary information, while following directions, on pages 89 and 90. Transfer your total amount you will pay for a vehicle to the appropriate box on page 100.

22. Sports Car

23. SUV

24. Sedan

25. Van

26. Jalopy

27. Food You will now figure out how much you spend on eating food outside of your home in one month. Turn to page 96 in your workbook. – Business Lunches: price x number of adults x 2 – School Lunches: price x child number x 5 – Breakfast: price x number of adults + children x 2 – Dinner out: price x numbers of adults x 2 – Dinner out: price x number of children x 2 Line 1: $125 (average weekly grocery bill)

28. Clothing Jacket: $83.97 Dress: $59.97 Girl Shoes: $35.40 Jeans: $74.00 Work Shoes: $69.99 T-Shirt: $19.99 Slacks: $13.00 Sweater: $49.50 Boy Shoes: $41.36 Purse: $108.73 Pick five items to purchase and write them into the chart on page 97. Write down the quantity of the item you wish to purchase and the cost. Multiply the cost by the quantity and figure out the total amount you will spend.

29. Entertainment Hiking Trip: $38.75 Hobby (Coin Collection of Steelers): $129.99 Movie: $9.50/$6.50 Clubbing: $80.00 Concert: $150-$300 Sporting Event: $78.75

30. Cable and Eating Out

31. JA Trip Rundown Behave; follow directions, listen, be respectful Be On Time; Meet at the entrance of the school on Princess Street. – Be outside by 8:15 – Check in with your homeroom teacher first, then report to the front, the bus will be waiting. Dress properly, no baggie pants, inappropriate shirts or tops, and wear comfortable shoes. Represent yourself and the high school well.