Day 25

This is one of the most important, or potentially important discussions of the semester. This lesson should really seal the deal on the importance of budgeting, saving at least 20% for short-term consumption and a growing emergency/opportunity fund plus the additional 10% for investment/retirement.

It isn’t so much how much money you make but how you spend that money. However, if the students continue to spend well above 10% of their income on lunch and entertainment and they establish a habit of eating out for every lunch, it will take them a decade to unlearn the habit and begin saving. This loss of more than seven years can ultimately cost them $300,000 or more towards their 10% investment/retirement (rule of 72) and countless sleepless nights regarding short-term spending issues.

Today’s the day that we will change the future of our students lives.

Quiz 4.2

05 Importance of Time video

1. (Read) Graphic-for-the-60201010-Rule

2. Video: Up - Life

3. 06 Saving PRESENTATION

   1. Saving/Investing

   2. Level of Living/Standard of Living

   3. Assets – Liabilities = Wealth

   4. Time-Value of Money

   5. Simple/Compound Interest

   6. Opportunity Costs

4. Simple Interest Quiz

5. (Journal Questions 1-3) How the 60/20/10/10 Rule Saved my Family Vacation