Thanks to Greg Hock for taking time out during this busy tax season to join me on the NGPF podcast. I have been a client of Greg’s for a few years now and appreciate the value-added services that he provides that go well beyond just filing a tax return. I enjoy exchanging ideas and getting his perspective about building financial capability in young people, which come from years of experience of being a trusted parter with his clients. I enjoyed our wide-ranging conversation in this podcast, which went from discussing the career path of an accountant to why he took the leap of faith to start his own firm and into specific teen tax tips and common myths when it comes to filing taxes. So, just in time for tax season, here’s Greg Hock…enjoy!
- 0:00~1:29 – Introduction
- 1:29~2:29 – How does one become a tax expert?
- 2:29~3:46 – Experience of working at a Big 4 accounting firm
- 3:46~5:22 – The entrepreneurial journey: starting his own accounting firm
Lengthy article in NY Times (5,000 words, about 30 minutes) recently about the behavioral tactics utilized by Uber and Lyft to nudge its drivers to take certain actions. Not necessary for students to read the article as I focus this post on 3 of the 4 simulations embedded within it and suggest mini-activities for students to experience the tradeoffs inherent in being a ride-share driver. The simulations also demonstrate how the best interests of the company often diverge from the interest of their drivers. I see these simulations as a fun way to bring behavioral science into the math, psychology, economics or personal finance class.
- How changing number of drivers impacts idleness of drivers.
a. General Motors
To mark Financial Literacy Month, Next Gen Personal Finance (NGPF) is excited to announce their “$50K for 50 States” grant program in partnership with the Jump$tart Coalition for Personal Financial Literacy. Through this grant program, NGPF will provide $1,000 grants to support the activities of JumpStart state affiliates that meet basic criteria. These state organizations, led by volunteers, deliver much-needed teacher training, advocate for greater access to financial education and support the financial literacy community in their states in myriad ways.
Laura Levine, the Executive Director of Jump$tart, commented on the grant program:
By now, you realize that I am a data geek, so it would only seem natural that I obsess over our website statistics and the story it tells about how educators, students, parents and others who stumble across our website use us. Please note that we don’t track individual users on our site and get our aggregate data from Google Analytics, a web analytics service provided by Google.
I thought I would choose a day from last week. How about Wednesday, March 29th? Here is what I can tell you about that day:
- Tesla now worth more than Ford but their valuation depends on hitting aggressive sales targets for Model 3 (Economist)
But Tesla is going to have to crank production up by an awful lot more to make the 500,000 cars a year which Mr Musk wants to see pouring off the production line by 2018, let alone the 1m intended for just two years later. To reach those volumes, Tesla is counting on its forthcoming Model 3. Priced at around $35,000, the new car will cost around half that of the other two models. Due to begin production later this year, the Model 3 is supposed to take Tesla into the mass market, where it will face stiff competition from plug-in vehicles produced by existing mass manufacturers, including GM, Nissan and BMW.
- Can taking a financial education course reduce impulsive behavior? Research out of Utah State suggests the answer is yes! (WSJ with hat tip to Abnormal Returns):
Here are the deets:
- COMPLETE THIS FORM to submit details about your favorite personal finance lesson or activity that demonstrates an innovative approach to teaching a personal finance concept.
- Creation of an original lesson plan or activity with a personal finance focus
- Modification of an existing lesson or activity (e.g., creating an extension activity to challenge your high performers, finding additional resources to supplement your lesson/activity, creating a differentiated lesson/activity to meet the various learning styles of your students)
- Modification of an existing lesson or activity to meet the needs of a specific student population (e.g., English Language Learners (ELL), Individualized Learning Plans (ILP), Special Education)
Keep in mind: your submission should be replicable for other educators and not reliant on outside partnerships.
WHO IS ELIGIBLE?
I thought that business teachers would get enjoy getting students to guess the answer for their specific state. Also will teach an important lesson about the various ways to measure the size of corporations. Here is the infographic with the largest company in each state based on number of employees (with hat tip to Visual Capitalist):
It was great having Carmen Tall on the NGPF podcast recently to discuss her financial literacy work at a non-profit, Mercy Connections, located in Burlington, Vermont. Carmen is the director of the Women’s Small Business program. It was through that work that Carmen identified the need for a Financial Empowerment class to improve her clients’ financial skills. We had a great conversation covering a variety of topics; from Carmen’s experience as an entrepreneur and how that shapes her program to how she creates a safe and open environment so difficult conversations about money can happen. What is clear throughout the podcast is Carmen’s passion for her work and how impactful that work has been in creating a thriving start-up ecosystem in Burlington. I can’t wait to try the cupcakes when I am in town next!
One amazing insight from our DonorsChoose Classroom Rewards program was that 60% of the teachers participating were NOT personal finance, business or economics teacher. Instead there were teachers from all disciplines who found a way to provide the gift of financial education to their students (including PE and Art Teachers!). We created a list of the top NGPF resources and arranged it my subject area. One of the exciting elements of personal finance is the cross-curricular opportunities it presents. We hope that you enjoy this list!
PERSONAL FINANCE EDUCATORS
Answer (from WSJ): 13%
Back in 2014 (eons ago in the tech industry), we marked the launch of Apple Pay with a post that included several news summaries and the potential that Apple saw in the product. We had students analyze the stories and then answer that personal question “Would you use Apple Pay?” Apparently the answer for most IPhone users two years later is a resounding “No.”
Jessica also wrote a post in early 2015 asking the question “Can Teenagers Use Apple Pay?” Find out the answer here.
The article enumerates the reasons why the rate of adoption has not been faster:
Interesting WSJ article that has a behavioral finance bent to it. Before I give you the answer, write down your own response to this question. Your choice will explain a lot about how you think about money. First, the reasons those two choices were given was no accident. According to the article, the $1 million lump sum and $5,000 monthly payment are roughly equivalent when it comes to annuity pricing. So what does your choice tell you?
- Choose $1 million and you suffer from an “illusion of wealth.” What is that?