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BudgetWhys IDA Program
Financial Literacy Workshop Series Curriculum Outline
Session 1: Money & Values (Orientation/January)
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Overview of series and learning objectives
Why financial literacy is important
What money means to us
Wants, needs and how we make spending decisions
Consumerism 101: How the market tells us to spend, spend, spend!
Session 2: Tracking Spending & Budgeting (February)
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Understanding cash flow
Symptoms and causes of overspending
Ways to track what you spend: fixed, variable and seasonal expenses
Checking accounts as a way to track spending (including group exercise where
participants role play and practice writing and recording checks and balancing a
check book)
How to develop and follow a monthly budget
Session 3: Making Good Spending Decisions (March)
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Why rent-to-own, payday loans, check cashing stores, etc. are a bad deal
Purchasing a car and other “big ticket” items – the ins and outs
Buying the right types and amounts of auto and life insurance
How to access free or low cost health insurance
How to access free or reduced cost child care
Session 4: Taxes(April)
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Overview of the U.S. tax system
Understanding FICA and other paycheck deductions
W4s and exemption amounts – planning ahead
Claiming the Earned Income Tax Credit, Child Tax Credit, and other credits
How not to get ripped off at tax time – use free tax assistance
Understanding the basics of federal and state tax returns – exemptions,
deductions, allowances and other important terms and concepts
The mortgage interest deduction
Continued, Next Page
Session 5: Banking Basics (May)
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Understanding bank services
Identify the major types of financial institutions
Understanding the 5 main reasons to use a bank
How to open and maintain a bank account
Briefly describe two types of deposit accounts
Session 6: Credit & Debt Management (June)
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Understanding the Annual Percentage Rate (APR)
Understanding finance charges and other fees with credit
How credit cards work
Good vs. Bad Debt
How to keep debt manageable (i.e. the 20% rule)
Avoiding predatory lending: home equity loans, auto loans, mortgages
Understanding sub prime lending
Dealing with creditors – negotiating payments, lowering interest rates, etc.
When to go to a professional credit counseling agency; understanding the flooded
market of supposed “non-profit” credit counseling agencies
Bankruptcy: different types and how they affect you long-term
Understanding credit reports, FICO scores
How to dispute a credit report
How to improve credit ratings
Session 7: Saving, Investing & Assets (July)
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The magic of compound interest
Overview of basic investment options: savings accounts, CDs, money market
accounts, mutual funds, stocks, bonds
Tax advantaged plans: 401k, IRAs, etc.
Options for saving for your child’s education: state 529 plan, Education IRA,
Roth IRA
Home ownership overview – tax advantages, appreciation, equity, how to apply
for a mortgage, understanding the real estate market, help for lower-income
families