financial decisions presentation

NEFE High School Financial Planning ProgramNEFE High School Financial Planning ProgramUnit One - Your Financial Plan: Where It All Begins

Unit 1 - Your Financial Plan:Unit 1 - Your Financial Plan:Where It All BeginsWhere It All Begins


““Most people don’t plan to fail…Most people don’t plan to fail…They simply fail to plan!”They simply fail to plan!”

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The Five-Step The Five-Step Financial Financial Planning Planning ProcessProcess

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Term GoalsTerm Goals

• SHORT-TERM GOALSSHORT-TERM GOALS

–Within three monthsWithin three months• INTERMEDIATE-TERM GOALSINTERMEDIATE-TERM GOALS

–Three months to a yearThree months to a year• LONG-TERM GOALSLONG-TERM GOALS

–More than a yearMore than a year

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Delayed GratificationDelayed Gratification

• Saving money over time to make a major Saving money over time to make a major purchase.purchase.

• Waiting to buy a new product until the Waiting to buy a new product until the price goes down.price goes down.

• Waiting to see the latest movie until it Waiting to see the latest movie until it comes out on Netflix?comes out on Netflix?

• Can you create your own example?Can you create your own example?

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S-M-A-R-TS-M-A-R-T GOAL CRITERIA GOAL CRITERIASSpecificpecific

MMeasurableeasurable

TTime-Limitedime-Limited

RRealisticealistic

AAttainablettainable

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SMARTSMART Goals Goals

SSpecific……..pecific……..

MMeasurable…easurable…

TTime-Limited..ime-Limited..

RRealistic…….ealistic…….

AAttainable…..ttainable…..

“Pay for lodging, transportation, meals for a 5-day trip to Washington, D.C.”

“$300 through fundraising, $50 from birthday money, save $25 a week.”

“If I stick to my plan, I’ll have the money when I need it.”

“I still have enough money to live on while I work toward this goal.”

“I need to have all the money by 6 months from now.”

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what about you?what about you?

Factors That AffectFactors That AffectDecision MakingDecision Making

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WantsWants

FamilyFamily

ValuesValues

TimeTimeMoneyMoney

NeedsNeeds

HabitsHabits

MotivationMotivation

EducationEducation

AgeAge

AttitudesAttitudes

SocietySocietyCultureCulture


EvaluateEvaluateResultsResults

Decision-Making ProcessDecision-Making Process

Make a DecisionMake a Decision

Identify YourIdentify YourGoalGoal

Weigh ProsWeigh Prosand Consand Cons

EstablishEstablishCriteriaCriteria

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The Decision- The Decision- Making ProcessMaking Process

EvaluateEvaluateResultsResults

Make a DecisionMake a Decision

Identify YourIdentify YourGoalGoal

Weigh Pros Weigh Pros and Consand Cons

EstablishEstablishCriteriaCriteria

Monitor & ModifyMonitor & Modifythe Planthe Plan

Implement Implement the Planthe Plan

Set GoalsSet Goals

Create a PlanCreate a Plan

AnalyzeAnalyzeInformationInformation

The Financial The Financial Planning ProcessPlanning Process

Decision Making and Financial PlanningDecision Making and Financial Planning

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NEFE High School Financial Planning ProgramNEFE High School Financial Planning ProgramUnit One - Your Financial Plan: Where It All begins


RREALITYEALITYRRESPONSIBILITYESPONSIBILITYRRESTRAINTESTRAINT

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Unit 1: Your Financial Plan:Unit 1: Your Financial Plan:Where it All BeginsWhere it All Begins

financial decisions presentation

Economy & Finance