Lesson Plan
Lesson Plan
Introduce 7th graders to budgeting by teaching them to create a simple budget, understand saving, and make informed financial decisions.
Financial literacy is a key life skill that empowers students to manage money, build savings, and make smart spending choices from an early age.
Audience
7th Grade Students
Time
30 minutes
Approach
Interactive discussion, group activity, and guided reflection.
Materials
Prep
Preparation
10 minutes
- Review the Budgeting Basics Presentation to ensure all key points are covered.
- Familiarize yourself with the Budgeting Activity Worksheet to guide students through the budgeting exercise.
- Prepare discussion prompts on saving and responsible financial decisions.
Step 1
Introduction & Presentation
10 minutes
- Introduce the concept of budgeting and its importance.
- Present key concepts using the Budgeting Basics Presentation.
- Ask open-ended questions to stimulate student interest and prior knowledge.
Step 2
Group Activity - Create a Budget
10 minutes
- Divide students into small groups and distribute the Budgeting Activity Worksheet.
- Guide them to create a simple budget using a fictional scenario.
- Encourage groups to share their budgets and justify their decisions.
Step 3
Discussion & Reflection
5 minutes
- Facilitate a class discussion on what was learned during the activity.
- Emphasize the long-term benefits of saving and careful spending.
- Summarize the key takeaways and encourage students to apply these skills in their daily lives.
Slide Deck
Welcome to Budgeting Basics
Understanding money: Income, Expenses, and Savings.
Introduce the topic of budgeting. Explain what a budget is and why it's important. Engage students by asking if they've ever saved up for something.
What is a Budget?
A plan for how to use your money. It helps you decide what to spend, save, and share.
Discuss the main components of a budget. Use simple examples like allowance and small expenses to make it relatable.
Understanding Income
Income is the money you receive, like an allowance or gift money.
Explain sources of income and give relatable examples (e.g., allowance, chores reward). Ask students to brainstorm other possible sources.
Understanding Expenses
Expenses are the costs of things you buy or need, such as snacks and school supplies.
Describe common expenses with everyday examples (snacks, school supplies). Emphasize making choices about spending.
Understanding Savings
Savings is money you put aside for future needs or goals.
Define savings and its importance. Discuss how saving helps achieve future goals and weather unexpected expenses.
Budgeting Recap & Activity
Remember the key components: Income, Expenses, and Savings.
Now, let's work together to create a sample budget!
Summarize key points of the presentation. Encourage students to think about how they might create a budget in their life. Transition to the group activity seamlessly.
Worksheet
Budgeting Activity Worksheet
In this activity, you will create a simple budget based on a fictional scenario. Answer the following questions and fill in the blanks to practice managing your money!
Scenario Overview
Imagine you have a weekly allowance of $20. You need to manage this money for your weekly expenses, saving some, and a small treat for yourself.
Part 1: Income
-
What is your weekly income?
-
Can you think of any other sources of income (e.g., gifts, rewards)? List one or two ideas:
Part 2: Expenses
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List three expenses you might have each week (e.g., snacks, school supplies, fun activities):
-
Choose one expense and write a short description of why it is important to you:
Part 3: Savings
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How much money do you think you should save each week?
-
Why is it important to save a part of your income? Write your ideas below:
Part 4: Create Your Budget
Using the information above, create a simple budget that includes your income, expenses, and savings. Use the table below or list it out:
| Category | Amount |
|---|---|
| Income | |
| Expenses | |
| Savings |
Now, add a few lines about why you made these choices:
Remember, the goal is to think about balancing your money so you can spend wisely and save for the future. Enjoy creating your budget and think about how these choices can be applied in real life!
Discussion
Class Discussion on Financial Decisions
This discussion is designed to give you an opportunity to reflect on the budgeting activity and to think more deeply about how your financial decisions in everyday life have an impact. Below are some discussion prompts and guidelines to help you share your thoughts and learn from each other.
Guidelines
- Be respectful: Listen carefully when others share their opinions.
- Share openly: There's no right or wrong answer—what's important is why you think the way you do.
- Build on ideas: If someone shares an idea, feel free to ask questions or add your perspective.
Take your time to consider each question and share your thoughts using the provided space. You'll use the break lines to mark areas for your responses.
Discussion Prompts
1. Reflecting on Budgeting
- What did you learn from creating your budget today?
- Were there any surprises about how you allocate money among income, expenses, and savings?
2. Understanding Savings
- Why do you think saving money is important? How might saving help you in the future?
- Share an example or idea of something you might want to save for.
3. Financial Decisions in Daily Life
- Think about a purchase you made recently. How did you decide it was a good choice?
- How do you think making a budget could change the way you spend your money daily?
Follow-Up Questions
- For those who mentioned challenges in balancing your budget, what strategies do you think could help overcome them?
- How might you apply the idea of budgeting or saving to other decisions in your life, like planning for a school event or saving up for something fun?
- Would discussing budgeting with your family or friends help you make better financial decisions? Why or why not?
Remember, your insights could help others think about money in new ways. Enjoy sharing and reflecting on your financial choices!