Section 4: Savings
SECTION DESCRIPTION
In these lessons, students will clearly define savings, find safe places to save money, make appropriate decisions about which savings instruments to choose, and apply these concepts to prepare themselves to make decisions that impact their financial goals.
FOCUS QUESTION FOR THIS SECTION
How can saving and planning help consumers reach their goals?
LESSON OBJECTIVES
Define saving as the part of income not spent on taxes or consumption.
Describe the advantages and disadvantages of saving for short- and medium-term goals.
LESSON OBJECTIVES
Explain how limited personal financial resources affect the choices people make.
Rank personal wants/needs in order of importance.
Set measurable short- and medium-term financial goals.
Prioritize personal financial goals.
Outline the steps in systematically evaluating alternatives and making a decision.
LESSON OBJECTIVES
Describe ways that people can cut expenses in order to save more.
Apply systematic decision making to a short-term goal.
LESSON OBJECTIVES
Give an example of an investment and explain how it can grow in value.
Compare investments and their rates of return.
LESSON OBJECTIVES
Evaluate the results of a financial decision.
Use a financial or online calculator to determine the cost of achieving a medium-term goal.
Apply systematic decision making to a medium-term goal.