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FOCUS QUESTIONS FOR THIS SECTION

  • How is income earned and in what forms is it earned?

  • How do skills, education, and training define a job or career?

  • How do factors such as law, cost of living, skill, and the market affect wages? 

Personal Finance

Section 2: Employment and Income

SECTION DESCRIPTION
A job and a career are often thought to be the same thing. While a job requires a specific set of skills and abilities, a career requires not only skills and abilities but training and education. A person is compensated (paid) for the work (labor/expertise) he or she performs in different forms of income: wage, salary, and fees. Income can also be received through the use of assets, interest and rent, as well as through gifts.

In these lessons, students will explore employment, careers, and income. The level of skills, education, and training required to pursue and maintain employment.


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LESSON OBJECTIVES

  • Identify different types of income

  • Understand income as money earned from employment in the form of wages/salaries, investments, gift money, and rent.

  • Explain how rent, gift money, and interest are forms of unearned income.

  • Identify what are jobs (a position of employment with specific duties) and careers (a profession or field of employment for which one studies or trains).

  • Understand that labor is a human resource.

  • Define an entrepreneur as an individual who conceives of, establishes, operates, and assumes the risks of a business.

  • Distinguish between earned income (income earned by exchanging human resources usually through employment of a job or career) and unearned income (income acquired by interest on an investment,

    rent, and gift money).

  • Describe government assistance payments as another source of personal income and how they are different from other forms of income.


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LESSON OBJECTIVES

  • Identify educational and training requirements for a given job or career.

  • Examine and classify if the wages are affected by law, cost of living, skill, or the market.

  • Explain how factors such as law, cost of living, skill, and the market affect wages.


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LESSON OBJECTIVES

  • Research and choose a job or career opportunity, and then develop a resumé for a job or career interest.