Budgeting

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As More And More Spending Moves Online…

It becomes easier to spend mindlessly. This is a great graphic (for more, check out this CNN article) to get your class talking about their spending habits:

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Ask your students to think back to items they have bought online recently from Amazon (or other websites) and how many are

Videos: What Was Considered Good Financial Advice In the 1940s and 50s?

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Put this in the category of “not so current events.” Something about my impending birthday has me getting nostalgic for the “good ole days.” I stumbled across this trove of videos from the 1940s which would have been the financial advice that my teenage Mom would have been given. Here are some of the highlights that I thought you would enjoy (with questions):

  • Keeping a Budget: Your Thrift Habits (it’s 10 minutes long, but the first five minutes will give you plenty to discuss):
    • How was Ralph able to buy his camera?
    • What was the budget method that worked for Ralph (full disclosure: this was how I kept track of my newspaper route revenues)?  How did he track his progress toward saving for his camera?
    • Is it easy to make a budget work? Why or why not?
    • What are Jack’s sources of income?
    • What are Jack’s regular expenses? irregular expenses?
    • Why did Jack find it difficult to save?
    • What would be on your list of “Watch these expenses?”
    • Identify an item that you would like to save for and break it down to how much you need to save per week.
By |January 23rd, 2017|Budgeting, Checking Accounts, Investing, Savings, Stocks, Video Resource|

NGPF Podcast: Tim Talks to Author, Columnist and Personal Finance Advocate Beth Kobliner

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I had a great conversation with Beth Kobliner recently. Beth has an incredible personal finance focused CV. She’s been a columnist at Money Magazine, authored one (and soon to be two) New York Times Bestsellers (Get a Financial Life: Personal Finance in Your Twenties and Thirties), served on the President’s Advisory Council on Financial Capability, and gave financial advice to Elmo on Sesame Street (and a whole lot more too)! In this NGPF podcast, Beth shares the money lessons she learned growing up in Queens, New York as well as the motivation for her latest book, Make Your Kid a Money Genius, to be released in February. You will benefit from Beth’s insights on how to invest, use credit cards wisely and a simple test to control those impulsive purchases. Parents will find Beth’s new book a godsend in describing developmentally appropriate actions to build that financial decision-making muscle that your children need to thrive in this financially complex world. Enjoy!

Details:

Chart: How Much of Millennials’ Food Budget Is Spent on Dining Away From Home?

Answer: 47%

From The Atlantic/BLS:

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The chart is interesting when you look at it over a 20 year arc (instead of focusing on the short term ups and downs), where seniors have actually increased their dining away from home more than the other age groups (on a percentage basis).

From the Atlantic:

Question: How Much Does It Cost to Raise A Child Born in 2015?

Hat tip to Brian Page educator (and podcast guest) at Reading High School (Reading, Ohio) for tipping me off to this USDA Report.

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Answer (you better thank your parents): $233,610

By |January 10th, 2017|Budgeting, Current Events, Parent Conversations, Research|

Chart: How Does the Typical American Household Spend Their Money (and How Has It Changed Over Time?)

Good question to open your Budgeting unit.

Start with this question: Looking at the the six spending categories below (NOT ordered in any specific way), what percentage did households spend on each category in 2014? Must add up to 100%:

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Here’s the chart  with the answer (which is going to require interpreting data from the graph; click on the graph to increase it’s size):

Question: How Much Do Banks Earn From Overdraft Charges?

Answer: Billions!

Happy New Year! Welcome back to school. I know that banking tends to be a unit that many of you teach early in the semester so this data should prove particularly timely. I have posted on this topic several times but have some new data to report about the three largest U.S. banks and their fees from overdraft charges (from Financial Times, subscription required):

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This quarterly data on the three largest banks shows how fees tend to grow over the course of the year as evidenced by the quarterly data from 2015. So, back to the question about how much they are charging for overdrafts…Let’s make the math easy and say $400mm per quarter or $1.6 billion a year for each of the three banks totaling $4.8 billion for the three of them combined. Some other nuggets from the FT article:

Personal Finance In My Life: Calculator Deflation

Shopping at the Half Moon Bay Ace Hardware (with the most helpful associates ever!), I came across this basic Sharp calculator for $5.99:

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By |December 18th, 2016|Budgeting, Current Events, Math, Purchase Decisions, Question of the Day|