Savings

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What Are People Reading on the NGPF Blog?

Getting close to the end of June, so I thought it was worth checking our website analytics to see what new blog posts are garnering attention as the school year wound down in many parts of the country.

Here are the top 5:

NGPF’s Top 15 Activities, Courtesy of Jessica Endlich

Given the comprehensive nature of our website (full disclosure: Sometimes I forget that we have certain projects/activities/data crunches/blog posts….), teachers often ask us “OK, but what are the best resources that you can recommend?” At that point, we typically turn to Jessica and she always has a few ideas to recommend. So, this month, we asked Jessica to provide us with her “Best of NGPF” specifically for the last days of school.

The responses we got from teachers was nothing short of ecstatic with lots of exclamation points too! Note the various ways that teachers plan to utilize this list of end-of-year activities:

  • “I LOVE your TOP 15 List!!!   It came at just the right time as my new job has me looking for 4 weeks of FUN, ENGAGING lessons for our new freshmen Business exploratory!! I can’t wait to try ALL of these out!  They seem PERFECT, sparking early interest in our Business courses that are often overlooked!!
  • OMG!  Thank you so much… I must be out of my classroom just one day before the end of the term.  I was having a hard time developing meaningful sub plans so late in the course (and so close to the end of school).  I’m going to watch the “All Time Favorite Video” tonight and create some reflection questions.
 Here are Jessica‘s favorites to fill these last few days before summer break:

Question: What Is Your Most Valuable Asset Today?

Answer: You!

To a student with little in the way of financial assets, this is a critical question for them to answer. Why? Because it provides them with the right mindset as they are coming to conclusions about their post-high school life.

From “Of Dollars and Data,” one of my new favorite blogs:

Nearly all articles written about investment and personal finance (mine included) focus heavily on financial assets despite the fact that most of your value (like mine) is likely not contained within financial assets. Most of your financial value is already contained within yourself, waiting to be unlocked over time. What I am talking about is a concept called human capital, or the value of all of your skills and knowledge. Your human capital can be thought of as an asset that you use to earn money. Understanding this concept should provide the motivation behind why you should save and invest.

He goes on to introduce the concept of present value to come up with a dollar value for human capital based on a future income stream discounted to the present using a discount factor. The example he gives is pay of $50,000 over 40 years discounted at a 3% rate yields a present value of $1.1 million. The point he makes is that human capital is an asset that eventually declines over time which explains why saving is so important.

He provides this nifty graph to display this concept:

Interactive: How Can I Retire Early?

As an educator, I often get this question from students. Yes, I know they have attention spans that are minute to minute (or text to text) but when the subject of retirement comes up, they usually fixate on “How can I get there as soon as possible?”

What I love about this post from Mr. Money Moustache (last seen on this blog in 2014), is the simplicity of his answer and how it all comes down to ONE factor: 

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

From WSJ:

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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: