Download Personal Finance

Personal Finance
BOE approved April 1, 2010
Learner Objective: Demonstrate the relationship between setting goals and good money
management using decision making skills.
A:
Financial literacy
B:
Standard of living
C:
Values
D:
Goals
E:
Wants vs. needs
F:
Economic way of thinking
G:
Problem solving process
H:
Introduction to money management skills
• Explain the rationale for financial literacy.
• Explain how sound financial decisions can increase a person’s standard of living and wealth.
• Identify goals for the future.
• Recognize that choices made today will affect goal attainment.
• Apply steps in a problem-solving process and economic reasoning.
• Apply the economic way of thinking to improve money management skills and affect an
individual’s or family’s standard of living.
Learner Objective: Identify, compare and analyze the services offered by different types of
financial institutions.
• Identify and compare deposit, credit and investment services offered by commercial
banks, savings and loans, credit unions and brokerage firms.
• Compare checking accounts from different institutions.
• Prepare the following forms related to opening and maintaining a checking account:
application form, deposit ticket, check, check register, reading and reconciling a
monthly statement.
• Differentiate among various types of electronic banking services and smart cards.
• Identify internet banking options for managing accounts.
• Explain the roles and responsibilities of the Federal Reserve System.
Learner Objective: Explain the importance of saving and investing to an overall financial plan.
• Identify the opportunity cost of spending and saving.
• Recognize financial investments as options for savings.
• Explain the advantages of compounding.
• Predict how much savings will be needed to achieve goals.
• Describe five types of financial investment risk.
• Describe the relationship between financial investment risk and return.
• Distinguish between real and nominal rate of return.
• Summarize how inflation affects spending and saving decisions.
FHSD Academics SAL
1
Personal Finance
BOE approved April 1,2010
• Compare the characteristics of several financial investments, including savings accounts,
stocks, bonds, mutual funds and real estate.
• Explain how interest rates are determined.
• Compare the features of savings accounts among financial institutions.
• Identify the trade-offs related to various financial investment options.
• Distinguish between primary and secondary markets.
• Identify the costs and benefits of trading stocks.
• Explain the role of brokers.
• Examine how investors are protected by agencies that regulate financial markets.
Learner Objective: Demonstrate the ability to plan and manage credit.
A:
Types of credit
B:
Advantages and disadvantages of using credit
C:
Consumer protection laws
D:
Types of loans and associated costs
E:
Credit reports and credit scores
• Differentiate between debit and credit cards and cash.
• Analyze the costs and benefits of various methods of payment.
• Compare the advantages and disadvantages of using credit.
• Explain the opportunity cost of using credit.
• Describe the rights and responsibilities of buyers and sellers under consumer
protection laws.
• Identify types of credit and their common forms.
• Compare types of loans from different financial institutions.
• Identify the qualities a lender looks for in a loan applicant.
• Analyze a credit report and Fair Isaac Corporation (FICO) score.
• Explain the factors that determine the cost of credit.
• Calculate finance charges using different interest rates.
• Analyze the relationship among the finance charges, principle of the loan and the
loan repayment period.
• Compare credit cards in terms of annual fee, annual percentage rate, grace period
and credit limit.
• Propose ways to avoid or correct credit problems.
Learner Objective: Apply good financial management skills to establish a budget.
A:
Scarcity and economic decisions
B:
Goal achievement through financial planning and budgeting
C:
Financial behaviors and patterns
D:
Employee benefits
E:
Understanding your paycheck
F:
Tax and employment forms
G:
Economic decision-making
• Explain how scarcity affects economic decisions.
FHSD Academics SAL
2
Personal Finance
BOE approved April 1,2010
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Prioritize personal and financial goals and construct a plan to achieve those goals.
Examine current saving and spending behaviors and patterns.
Explain the types of benefits provided by employers.
Distinguish between required and optional deductions.
Identify and analyze a paycheck/stub and W-2 statement.
Complete a W-4 form.
Develop a budget.
Examine forms needed for beginning employment and tax returns.
Learner Objective: Know how and where to gather information that an individual or
household could use to evaluate consumer purchases or agreements.
• Evaluate consumer purchases/agreements using the Problem, Alternatives, Criteria,
Evaluate, Decide (PACED) decision-making model.
• Analyze how advertising influences consumer decision making .
• Analyze the rights and responsibilities of consumers in the marketplace.
• Evaluate the costs and benefits of buying, leasing or renting.
• Analyze financing options of consumer purchases.
• Evaluate various forms of insurance coverage.
Learner Objective: Identify and evaluate the factors in the economy that affect personal
financial decisions.
A:
Human capital
B:
Skills
C:
Interest
D:
Interest inventories
E:
Values
F:
Career planning
G:
Career goal
• Define resources and the income payments to resources.
• Evaluate resources students possess.
• Analyze the relationship between education and potential income using economic reasoning.
• Examine personal characteristics to determine interests, skills and knowledge related to career
choices.
• Establish career goals.
• Outline steps required to reach a career goal.
FHSD Academics SAL
3
Personal Finance
BOE approved April 1,2010