Savings

/Savings
­

Chart: Could You Come Up with $400 In Case of An Emergency?

From WSJ:

FI-AA004A_LOWIN_16U_20170421113910

In 2015, we posted research indicating that 47% of Americans couldn’t come up with $400 in case of an emergency. These charts and data tables provide some additional context around that statistic. Questions for your students:

Article: Financial Advice From The Stars

We know how much young people look up to, mimic and try and emulate the stars. That’s why I thought this article might grab your students’ attention. Here are a few of the 11 stars that were mentioned (I have to admit that I am having a lot of “who’s that?” moments as I skim through the article, your students probably won’t).

From Bloomberg

What’s New In Financial Education Research?

Hat tip to Brian Page for reminding me about the recent Cherry Blossom Financial Education Institute held in early April. Here’s a summary of a few of the papers that were presented that you might be interested in:

What Are We Watching? Three Of Our Latest Curated Videos

The NGPF Team is always scouring the web for videos to add to our Video Library. Here are the latest that the team has uncovered:

Pay Day 101: Direct Deposit (from Young Illinois Saves), duration of 3:48, provides a good description of how direct deposit works from the perspective of young adults:

Question: Can You Really Build Wealth Earning The Minimum Wage?

Thought-provoking infographic from Visual Capitalist. I like the question because the knee jerk reaction to the question would be “of course not.” The infographic lists 10 ways to be able to build wealth while earning a low wage. Frankly these tips work for people at all income strata which is why I am including it here. Some questions for your students:

By |April 2nd, 2017|Current Events, Index Funds, Purchase Decisions, Savings|

Resource Lists for Financial Educators (courtesy of Barbara O’Neill of Rutgers Cooperative Extension)

What does a distinguished professor do during her sabbatical? Curate personal finance resources, of course! In this blog post, Barbara O’Neill shares the fruits of her hundreds of hours of labor in putting together three awesome resource lists (see bottom of post for links to her lists), including what what she considered the “best of the best” from the NGPF library. As she describes below, the purpose of her odyssey was to replenish her “well” of creative learning activities. I hope that your “well” overflows as you find resources that will work in your classroom. Thank you Barbara for this tremendous gift to the community! Your commitment and dedication to improving financial literacy in this country inspires us.

Spanish Translations for Saving & Investing

Did you know that one of our most popular projects at the moment is Ravioli Den (technically called Joining the Market)? Did you know it is now available in Spanish (Unirse al mercado de valores)? NGPF is in the process of translating some of our best and most-used activities and projects into Spanish, so that teachers with English Language Learners in their classes can further support their students. This month we’re releasing 10 translations on the topics of Saving and Investing.

You can view our growing list of 30 translations here in our Spanish Translations Directory. Is there a topic you’d like us to tackle next? Email Jessica to have your favorite activity or project placed on the list. And to receive an automated email every time new resources are added, join our Spanish Translations mailing list.

Another helpful hint: You’ll know a resource is available in Spanish when you see an (Sp) after its title on our website. ¡Que bueno!

Spanish screenshot

By |March 19th, 2017|Activities, Investing, Savings|

What’s New In Behavioral Economics?

I thought I would highlight some recent behavioral economics resources that caught my eye recently:

  • ArticleHow Behavioral Economics Can Help You Retire Rich (Bloomberg article). Have your students read the article and ask them ONE action they will take based on these findings. Here are some of the interesting experiments described:
    • How to get people to save more with their tax refunds: “In one experiment, a control group of users was sent a simple text after a refund showed up in checking. It asked what percentage of the refund they’d like to save. The answer: an average of 10 percent. The experimental group was messaged before getting any refund check. Its text said that members might get a tax refund and asked what percentage of it they’d want to save. They answered 15 percent.”
    • How the 401(k) structure encourages savings: “A 401(k) plan is a pre-commitment device. “Imagine a world in which you didn’t have 401(k)s and every month you decided how much to save,” Ariely said. “It would be a terrible world, from a savings perspective.” Even better are automated programs that bump up contributions into 401(k)s. Fidelity Investments did some math on that. They used the example of a 25-year-old employee making $40,000 and getting annual raises of 1.5 percent after inflation. If she bumped up the percent of salary going into a 401(k) plan by 1 percent every year for 12 years, she’d have $1,930 more (PDF) in monthly retirement income.
By |March 8th, 2017|Article, Behavioral Finance, Savings, Video Resource|