diving into spending plans!. © take charge today – edited april 2007– diving into spending...

Diving Into Spending Plans!

© Take Charge Today – Edited April 2007– Diving Into Spending Plans – Slide 2Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the

University of Arizona

1.2.41.G1

Today We’ll Talk About

Spending Plan - What is it? Why use it? Income and Expense Bean Game

© Take Charge Today – Edited April 2007– Diving Into Spending Plans – Slide 3Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the

University of Arizona

1.2.41.G1

Why do you think this happens? People do not make enough money People spend too much money

Almost half of all American families spend more money than they

make.

© Take Charge Today – Edited April 2007– Diving Into Spending Plans – Slide 4Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the

University of Arizona

1.2.41.G1

Values, Needs, & Wants What is a value? Give an example.

A belief about what is important to a person What is a need? Give an example.

Something that is a necessity What is a want? Give an example.

Something that is not a necessity but is desired

© Take Charge Today – Edited April 2007– Diving Into Spending Plans – Slide 5Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the

University of Arizona

1.2.41.G1

Spending Plan - What is it?

A spending plan is A tool to help people manage their money

© Take Charge Today – Edited April 2007– Diving Into Spending Plans – Slide 6Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the

University of Arizona

1.2.41.G1

Spending Plan - Why use it?Why would you want to know where your

money is going?

Spending plans are used to help people Track where their money is going Identify income and expenses Meet financial goals

© Take Charge Today – Edited April 2007– Diving Into Spending Plans – Slide 7Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the

University of Arizona

1.2.41.G1

A Spending Plan Tracks…..

Income Money Earned

Expense Money Spent

© Take Charge Today – Edited April 2007– Diving Into Spending Plans – Slide 8Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the

University of Arizona

1.2.41.G1

Game Time!

Income Expense

As each item is read, stand up and move to the appropriate

game card.

© Take Charge Today – Edited April 2007– Diving Into Spending Plans – Slide 9Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the

University of Arizona

1.2.41.G1

Income or Expense?

Rent/House paymentPaycheckGroceriesInternet billWinning the lotteryUtilitiesPutting money into a

piggy bank

HobbiesCar repairsClothesBirthday moneyMP3 playerUsing savings to

buy a skateboard

© Take Charge Today – Edited April 2007– Diving Into Spending Plans – Slide 10Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the

University of Arizona

1.2.41.G1

Spending Plan Contents Income

Expenses Housing Utilities Transportatio

n Savings

Expenses Food Insurance Clothing Other

© Take Charge Today – Edited April 2007– Diving Into Spending Plans – Slide 11Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the

University of Arizona

1.2.41.G1

Lee’s Spending Plan Example

Income ExpensesItem Amount Item Amount

Mowing a lawn

$10.00 Movie ticket and popcorn

$15.00

Birthday gift

$15.00 Snack and drink

$5.00

Total $25.00 Total $20.00

Does Lee have enough income to pay his expenses?

If he would like to buy a new shirt for $15, does he have enough money?

© Take Charge Today – Edited April 2007– Diving Into Spending Plans – Slide 12Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the

University of Arizona

1.2.41.G1

In Conclusion A spending plan is

A tool to help people track their money A spending plan is based on

Values, wants, and needs A spending plan tracks

Income and expenses

The End!

© Take Charge Today – Edited April 2007– Diving Into Spending Plans – Slide 14Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the

University of Arizona

1.2.41.G1

Your Turn! Spending Plan Shake-Up…

Budget your beans to pay for the things you need and want

Each square is worth one bean and all the squares must be filled to have that item

Budget as if you are a senior in high school

=

© Take Charge Today – Edited April 2007– Diving Into Spending Plans – Slide 15Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the

University of Arizona

1.2.41.G1

Spending Plan Shake-Up! Could you afford everything that you

needed? Could you afford everything that you

wanted?

How does Spending Plan Shake-Up relate to real life?