managing your personal finances financial planning: your roadmap to success mrs. gray spring 2015...
TRANSCRIPT
![Page 1: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/1.jpg)
MANAGIN
G YOUR
PERSONAL FIN
ANCES
FINANCIA
L PLANNING:
YOUR ROADM
AP TO SUCCESS
MRS. GRAY
SPRING 2015 – Q3
![Page 2: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/2.jpg)
DO NOW
What goals have you set for this course or thisschool year?
Are they SMART?
![Page 3: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/3.jpg)
STANDARD:
1.1 Students will be able to explain the importance of a financial plan and identify its main components.
![Page 4: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/4.jpg)
Lesson Goals:• I can understand why
financial planning is important.• I can distinguish between a want and a
need.
![Page 5: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/5.jpg)
What’s so important about Financial Planning?Financial planning is a process of •setting goals (short, medium or long term)•developing a plan•putting the plan into action, and•achieving goals
![Page 6: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/6.jpg)
What’s so important about Financial Planning?
It’s creating a roadmap for handling everything you do with your money—spending, savings, using credit and investing.
![Page 7: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/7.jpg)
What’s so important about Financial Planning?
Without a roadmap, you may not arrive at your destination or even know that you have arrived.
Life is a journey, not a destination. Ralph Waldo Emerson
![Page 8: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/8.jpg)
What’s so important about Financial Planning?On a white board write down:What do you regularly purchase (every week or so)? and What are currently saving to purchase?
![Page 9: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/9.jpg)
What’s so important about Financial Planning?
From the items that you buy and save for, some are needs and some are wants: Needs: the very basic things we must have to survive.
Wants: the things that make life more interesting and fun (but you could live without them if you had to).
![Page 10: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/10.jpg)
What’s so important about Financial Planning?
From your list, which are needs and which are wants?
Needs: the very basic things we must have to survive.
Wants: the things that make life more interesting and fun (but you could live without them if you had to).
![Page 11: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/11.jpg)
DO NOW: Wants vs. Needs
(See U1 Handout - Needs and Wants) things that you want
5 things that you needPeople define needs and wants differently depending on your values (beliefs and practices in your life)
Needs: the very basic things we must have to survive.
Wants: the things that make life more interesting and fun (but you could live without them if you had to).
![Page 12: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/12.jpg)
DO NOW: Wants vs. NeedsSee U1 Handout - Needs and Wants
Self-reflection:Why are the wants and needs lists
different from one student to another? What factors determines your wants
and needs?
Needs: the very basic things we must have to survive.
Wants: the things that make life more interesting and fun (but you could live without them if you had to).
![Page 13: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/13.jpg)
Lesson Goals:Students will be able to describe the 5
steps of a financial plan.
![Page 14: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/14.jpg)
STEP 1: Set SMART Goals
A goal is a destination (something you want or need) which you acquire by takingcertain steps.
![Page 15: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/15.jpg)
STEP 1: Set SMART GoalsEffective goals should be in defined in a SMART way:
•Specific
•Measurable
•Attainable
•Realistic
•Time Bound
![Page 16: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/16.jpg)
Set SMART Goals Example #1Save $50 by the end of next month using babysitting money earned ($15 per week) to buy a new video game. Is this short-term goal SMART:•Specific•Measurable•Attainable•Realistic•Time Bound
Yes or No?
![Page 17: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/17.jpg)
Set SMART Goals Example #2Save $2,000 from a summer job working at a fast food restaurant (saving $100 per week) for the next three years for a down payment on a car. Is this long-term goal SMART:•Specific•Measurable•Attainable•Realistic•Time Bound
Yes or No?
![Page 18: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/18.jpg)
DO NOW: SMART Goals Practice
Are these Goals SMART?see U1 Handout - Smart Goals
![Page 19: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/19.jpg)
What is a SMART Goal?SMART
![Page 20: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/20.jpg)
DO NOW: What is the difference between a want
and a need? Can something be a want for one person and a need for someone else? Explain your thinking.
![Page 21: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/21.jpg)
Goals of the Day• I can describe the 5 steps of a
financial plan.• I can describe the 3R’s of Money
(Financial Responsibility)
![Page 22: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/22.jpg)
DO NOW: Is this Goal SMART?
Save $75 by the end of the month using money earned ($25 per week) to pay for a camping trip that I would like to attend.
Identify the Smart Components
![Page 23: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/23.jpg)
The 5 Steps of Financial Planning
5Monitor
& Modify the Plan
1Set
SMART Goals
2Analyze
Information
4Implement the Plan
3Create A
Plan
![Page 24: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/24.jpg)
STEP 2: Analyze InformationWhere does your money go?
It is important to create a Personal Spending Record to keep track of your Cash Flow (money you receive and spend).
![Page 25: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/25.jpg)
STEP 2: Analyze Information
Where does your money go?
DO NOW (See U1 Handout- PersonalSpending Record) What do you spend your money on? Create a simple Cash Flow Record that shows the money you received and the money you spent during the last week. (Remember, you can not spend more than you receive.)
![Page 26: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/26.jpg)
Income +$ Spending -$Sunday
Monday
Tuesday
Wednesday
Thursday
Friday
Saturday
Totals
Difference (Income minus Spending)
STEP 2: Analyze Information
![Page 27: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/27.jpg)
STEP 3: Create a Plan
Making decisions about how you are going to spend your money based
on your values, culture,habits and opinions of your friends and parents.
![Page 28: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/28.jpg)
STEP 3: Create a Plan
• Identify your goals• Establish your criteria• Examine your options• Weigh the pros and cons• Make your decision• Evaluate result
![Page 29: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/29.jpg)
STEP 3: Create a Plan
• Identify your goals• Establish your criteria• Examine your options• Weigh the pros and cons• Make your decision• Evaluate result
DO NOW: Use the DECISION MAKING
STEPS to decide which movie to see this
weekend with your friends!
![Page 30: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/30.jpg)
STEP 4: Implement the Plan• Write down your goals and post them
where you can see them• Tell others about your goals• Create a budget (highlighting income and
expenses…more on this later)• Spend money according to your
budget• Review your plan regularly
![Page 31: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/31.jpg)
STEP 4: Implement the PlanReflection:• Why do you think it is important to write
down your goals and post them where you can see them?
• Why tell others about your goals?• Have you experienced a time when one of
these strategies helped you accomplish your goal?
![Page 32: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/32.jpg)
STEP 5: Monitor and Modify the Plan • Need to monitor the plan to make
sure you are staying on track• Review your plan at regular
intervals.• Modify the plan if your goals or
finances change or your resources vary
![Page 33: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/33.jpg)
STEP 5: Monitor and Modify the Plan Reflection Question #1:
Why is it important to modify your plan if something happens (and something always happens)?
![Page 34: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/34.jpg)
STEP 5: Monitor and Modify the Plan Reflection Question #2:
What must you do if you find your plan is not working for you? (For example, you are not able to earn as much as you thought you could.)
![Page 35: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/35.jpg)
3 R’S OF MONEY: Reality, Responsibility & Restraint
Personal Financial Responsibility is attained when you recognize:•The reality that you will have set income•It is your responsibility to handle money wisely. •When you show restraint or self-control to save your money for a futuregoal instead of spending it now.
![Page 36: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/36.jpg)
Look at the goals of the Unit, what do you need to review to prepare for our first assessment.
HOMEWORK
![Page 37: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/37.jpg)
TICKET OUT THE DOOR:
Explain (in paragraph format) how creating a financial plan will help you accomplish your goals. Why is it important?
![Page 38: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/38.jpg)
Goal of the Day
• Students will create personal financial roadmap and reflect on how creating a financial plan will help you accomplish your life’s goals.
![Page 39: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/39.jpg)
DO NOW: PERSONAL FINANCIAL ROADMAPClose your eyes and think about the wants and needs that you will be spending your money on in the future (cars, education, children, houses, vacations, etc.) Write these down.
![Page 40: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/40.jpg)
DO NOW: PERSONAL FINANCIAL ROADMAP
Using your list of wants and needs create a roadmap (poster) that shows your life’s journey with these expenditures in mind.
![Page 41: MANAGING YOUR PERSONAL FINANCES FINANCIAL PLANNING: YOUR ROADMAP TO SUCCESS MRS. GRAY SPRING 2015 – Q3](https://reader030.vdocuments.site/reader030/viewer/2022032708/56649e5d5503460f94b55d75/html5/thumbnails/41.jpg)
DO NOW: PERSONAL FINANCIAL REFLECTION
Post your completed roadmap (poster) around the room and complete the Step 2 Reflection (o back).