Money Savvy Youth Workbook

East Bay Asian Local Development Corporation Money Savvy Youth Workbook 2010

WORKBOOK

Name

Money Savvy Youth draws from lessons in Citibank’s Money Math, Wells Fargo’s Hands on Banking, and the National Council on EconomicEducation’s Financial Fitness for Life curricula, as well as original lessons and projects developed by the East Bay Asian Local Development

Corporation.

2East Bay Asian Local Development Corporation Money Savvy Youth Workbook 2010

Class 1 - You and Your Money

Ground rules

In order for us to have a good learning environment for Money Savvy Youth, everyone should...

1 _________________________________________________________________________________.

2 _________________________________________________________________________________.

3 _________________________________________________________________________________.

4 _________________________________________________________________________________.

5 _________________________________________________________________________________.



In MSY you earn points from quizzes, projects, and class participation.

Week 1 Week 2 Week 3 Week 4 Week 5 Total

1. Quizzes / Projects 10 10 10 10 10 50

2. Workbook 5 5 5 5 5 25

3. Participation 5 5 5 5 5 25

Total Points Possible

If you earn at least 80 points, and turn in a completed parent permission form, you will

receive a $50 savings bond.

IntroductIon



IntroductIon

Bank of EBALDC

Account Holder: Your Name Here 310 8th St. Oakland, Ca 94606 Balance before class last week 57 Points earned last week + 20 Other/Withdrawals - 0 Total Points Now = 77 Deposit details

DATE DESCRIPTION DETAILS AMOUNT10/15/10 EBALDC direct deposit Quiz/Project 10

Workbook 5 Participation 5

Total 20



YOU ANDYOUR MONEY

What do you think about money?

What is money?

From where does money come?

CLASS ONE

IntroductIon



Worksheet

Use the space below to list words, phrases, songs, or anything else that comes to mind when you hear the word “Money”.

1.

2.

3.

What would you buy if you had all the money in the world?

Most people earn money by getting jobs. But different jobs pay different amounts of money.

Look at the list of jobs below and write in how much you think each might pay per year. Then the teacher will tell you how much each job actually makes.

Lawyer Doctor Sales Person My Guess

Actual



defInItIon

Definition:What is money?

We use money to buy things that we need and want. Money also brings up strong thoughts and

feelings. But what is money?



From where does money come? Where does it go?

Worksheet

Class 2 - Budgets


IntroductIon

BUDGETS

CLASS TWO

What is the difference between products that have commercials on TV and products that don’t have commercials?

How do we know if something is a need or a want?

What is a budget?

How does a budget work?

Class 2 - Budgets


ActIvIty

Below are pictures of a 1 GB Zune MP3 player and a 1 GB iPod MP3 player. What are some of the differences and similarities between them?

Similarities

Differences

Price: Price:

Which MP3 player would you rather buy?

It costs $1 to buy a song for an MP3 player. If you had $200, how many songs could you buy after buying the iPod?

If you had $200, how many songs could you buy after buying the Zune?

Would you still buy the same MP3 player? Why or why not?

Class 2 - Budgets


defInItIon

Because we don’t have all the money in the world, we need to makedecisions about what to buy with our limited dollars. The first thing we

should ask ourselves before we buy something is:

But how do we know if something is a need or a want?

defInItIons

What are needs:___________________________________

________________________________________________

________________________________________________.

What are wants:____________________________________

________________________________________________

________________________________________________.

Class 2 - Budgets


Worksheet

For each item listed below, circle if it is a NEED or a WANT.

Fruits and Vegetables NEED WANT

Potato Chips NEED WANT

Shelter NEED WANT

Electricity NEED WANT

Toys NEED WANT

Television NEED WANT

Books NEED WANT

List four other needs and wants in the spaces below.

NEEDS WANTS

_________________________ __________________________

_________________________ __________________________

_________________________ __________________________

_________________________ __________________________

Class 2 - Budgets


defInItIon

We can use a tool called a budget to help us spend our money wisely.

_______________________________________________________________

_______________________________________________________________

_______________________________________________________________.

There are four parts to a budget. What does each part tell us?Description:

Income:

Expense:

Balance:

Class 2 - Budgets


ActIvIty

Scenario: In this project you and a partner will pretend that it is time to do some back-to-school shopping. You will receive “$50” to buy the things that you need and want. You must purchase at least one item from each of thefollowing categories: school supplies, food for lunch, and clothing. If you have money leftover you can buy more things or you can save your money.

Record all of your purchases on the budget provided on the next page. When you finish, answer the questions below the budget.

Remember, with $50 you need to buy one item from each of the following categories:

FoodSchool Supplies

Clothing

The four parts of a budget are arranged into a grid, and then you fill in each section. Like this:

Description (what is it?) Income (money coming in) Expense (money going out) Balance (leftover)

Allowance $10 $10.00

Bubble Gum $1.25 $8.75

Class 2 - Budgets


ActIvIty

Description Income BalanceExpense

QuestionsHow many items did you purchase?

Did you purchase at least one clothing item, one food item, and one school supplies item?

Did you buy anything else with the money you had leftover? If yes, why did you choose to buy those things?

Are you a responsible spender? Why or why not?

Class 3 - Savings and Interest


IntroductIon

SAVINGS AND INTEREST

CLASS THREE

What is the best way to make sure that you spend your money wisely?

What is a spending leak?

Where can you put your money so that it will grow?



ActIvIty

The story:You get $10 every week for allowance. Right now, your favorite game is on sale for $40. It will only be on sale for six weeks, then the price will go up to $100. You must save at least $40 by the end of six weeks, but every week something comes up that you need to buy.Everytime you have to buy something, you can choose between two different items. Your job is to decide which item to buy each week, and keep track of how much money you have in your budget. If you have at least $40 left at the end of 6 weeks, you win!

Instructions:Keep track of your money in your budget. First, record in the budget your allowance of $10.Then pull a card from the envelope provided and decide which of the two items on the card you should buy. Record the amount that you spend on the budget.Then record your allowance again, and pull another card from the envelope.Repeat this until all the cards are out of the envelope.If you do not have enough money to buy one of the things on the card that you pulled, put it back in the envelope and choose another one. If you cannot afford any items in theenvelope, you must start over from the beginning.



Description Income Expense Balance

ActIvIty



Worksheet

When you were filling in Your budget did you notice anything that made it difficult for you to save money?

One thing that can make it difficult for us to save money is something called a spending leak.

What is a Spending Leak?

There is a way that we can avoid spending leaks. We call it PYF.What do the letters PYF stand for?

P

Y

F



Worksheet

When you save money, where do you keep it?Where can you save money so that you will get more than what you put in?

When we talk about banks and money, what is INTEREST?

CalculationsHere are some examples of how interest works.If you save $100 in a savings account that earns 5% interest, how much money will you get?

$100 + 5% =

What if you put $500 in a savings account that pays the same amount of interest?

$500 + 5% =

If the bank gives you the same interest, how do you get more money?

Class 4 - Credit


CREDIT

CLASS FOUR

What happens when you borrow something?

What is credit?

What is it called when people borrow money from banks?

Why do people borrow money from banks?

IntroductIon

Class 4 - Credit


C r e d i t C a r d6 5 1 5 8 1 1 8 6 3 9 8 3 2 1 7 0 0 4 2

Responsible Borrower

Have you ever heard of a credit card?

Do you know how a credit card works?

What is

What is

defInItIon

Class 4 - Credit


ActIvIty

A play about credit by the National Council on Economic Education (Financil Fitness for Life)

In the boxes below, write down credit clues about Penny and Simon from the play, then answer the questions at the bottom.

Penny’s Credit Clues Simon’s Credit Clues

Who do you think is more responsible, Penny or Simon?

Why is it important to have good credit?

Class 4 - Credit


Worksheet

What is a When people borrow money from the bank that is called getting a________.

Below are some pictures of things that people usually buy with loans. Write down how much each one costs.

When people borrow money from the bank, how do they pay it back?

Example: How much does it cost to go to a college like UC Berkeley for 4 years?

If you pay $415 per month for 10 years, how much will you pay back in total?

Class 5 - Goals and Planning


GOALS AND PLANNING

CLASS FIVE

IntroductIon

What is an asset?

What is a goal?

How can you be sure to reach your goals?



What is one asset that you are working towards in Money Savvy Youth?When there is something that you know you want to achieve in the future, like

an asset, that is called a goal.

The best way to achieve a goal is to have

In the last class, we talked about reasons why people borrow money from banks. Can you remember some of the reasons why people get loans?

House, car and education are all examples of something we call assets.

Worksheet

?What is an



ActIvIty

You will be placed in a group with 4 or 5 other students. Your group will be assigned a goal and you will have to make a written plan for how to achieve that goal. Write out your plan on the poster paper provided to you. When you are finished, your group will present your goal and plan to the rest of the class. You have 20 minutes to complete this project.

Directions

1. Write the names of everyone in your group and your goal on the poster paper.

2. Decide how long it will take to achieve your goal.

3. List 3 things you can do to make sure that you achieve your goal in the time youdecided.

4. Draw a picture of your group achieving your goal.

5. Present your goal and plan to the rest of the class.

Goal: save enough money to

buy a carHow long it will take:

5 years3 things I can do:

1. save money in the bank to

earn interest2. pay myself first3. cut out spending leaks

Example:

Documents

Money Savvy Youth Workbook