Smart Money Moves

Jade Hodge

Tier 1

Lesson Plan

Smart Money Moves

Learn basic financial concepts

This lesson introduces basic financial concepts such as saving, budgeting, and making smart financial decisions through engaging activities and simulations. It is designed to equip teens with the knowledge and skills to manage their finances responsibly.

Audience

Leaders (ages 13-18)

Time

1 hour

Approach

Learn basic financial concepts

Materials

Worksheet: Budget Planning, Worksheet: Financial Scenarios, Discussion Questions, and Quiz: Financial Literacy Check

Step 1

Introduction

10 mins

Briefly explain the importance of financial literacy in everyday life.
Share real-life examples of good and bad financial decisions.

Step 2

Activity 1: Budget Planning

15 mins

Distribute the 'Budget Planning' worksheet.
Guide students through the process of creating a simple budget based on a set income and list of expenses.
Discuss the importance of prioritizing needs over wants.

Step 3

Activity 2: Financial Scenarios

20 mins

Distribute the 'Financial Scenarios' worksheet.
Divide students into small groups and assign each group a different financial scenario.
Ask groups to discuss and decide on the best financial decision for their scenario.
Have each group present their scenario and decision to the class.

Step 4

Discussion

10 mins

Engage students in a discussion using the provided discussion questions.
Encourage them to share their thoughts on what they learned from the activities.

Step 5

Quiz & Closure

5 mins

Distribute the 'Financial Literacy Check' quiz.
Collect completed quizzes and provide brief feedback.
Summarize the key points of the lesson and emphasize the importance of being financially responsible.

Worksheet

Budget Planning

This worksheet guides students in creating a simple budget based on a set income and list of expenses.

List your monthly income.

Include any allowances, part-time job earnings, etc.

List your fixed monthly expenses.

These might include rent, utilities, transportation, etc.

List your variable monthly expenses.

These might include food, entertainment, clothing, etc.

Calculate your total expenses and compare them to your income. Do you have a surplus or deficit?

Expenses = Fixed + Variable expenses. Compare this with your total income.

If you have a deficit, identify areas where you can cut expenses to balance your budget.

Consider reducing variable expenses first.

Worksheet

Financial Scenarios

Groups will discuss different financial scenarios and decide on the best financial decision for each scenario.

You have a part-time job earning $200 a month. You want to buy a new bike that costs $150. What steps will you take to save for the bike without running out of money for your other expenses?

Consider setting aside a portion of your income each month.

You receive $50 for your birthday. Do you spend it all at once or save it? Why?

Think about the long-term benefits of saving versus the short-term satisfaction of spending.

You have an unexpected expense of $100 this month. How will you adjust your budget to cover this expense?

Look at areas where you can reduce spending temporarily to cover the unexpected cost.

Discussion

Financial Literacy Discussion

A discussion to engage students in reflecting on the financial concepts learned and their application in real life.

Why is it important to have a budget?

Discuss how a budget helps manage money and avoid debt.

How can you distinguish between needs and wants?

Explore the differences and why prioritizing needs is crucial.

What strategies can help you save money effectively?

Share tips like setting savings goals, tracking expenses, and avoiding impulse buys.