Bills, Budgets and Bank Accounts



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Bills, Budgets and Bank Accounts Teacher s Guide Introduction to the Unit... 2 What are the activities? What is the assessment? What are the activity descriptions? How does this unit align with the Common Core State Standards? Alignment with the Common Core State Standards for Reading... 3 Alignment with the Common Core State Standards for Writing... 4 Alignment with the Common Core State Standards for Mathematics... 5 Activity Descriptions... 6-9 Activities 1-7... 6 Activities 8-14... 7 Activities 15-21... 8 Activity 22... 9

Introduction To the Unit 2 What are the activities? Bills, Budgets and Bank Accounts contains 22 current activities that let your students do so much more than just read and answer questions. They ll use their math skills, thinking skills, writing skills and creative skills while they help Cary Cash with his personal finances as he begins living on his own. In this unit, we suggest using the activities in order. Each activity includes: One or more reproducible student pages A teacher s key with answers Step-by-step math solutions where appropriate What is the assessment? An Assessment is also included that can be used as a pre-test as well as a post-test to evaluate what your students have learned and to identify those areas that might require additional instruction. The assessment includes: 35 True or False questions 9 multi-step math problems What are the activity descriptions? This guide includes a detailed description of each activity in the unit. How does this unit align with the Common Core State Standards? The anchor standards for Reading, Writing and Mathematics are listed on pages 3-5 and each anchor standard that aligns with the activities in Bills, Budgets and Bank Accounts is indicated with a red arrow. Each activity description on pages 6-9 also includes one or more of the following statements indicating if the activity aligns with the Common Core State Standards for Reading, Writing and/or Mathematics.

CCSS Reading Alignment 3 Common Core State Standards for Literacy in History/Social Studies, Science and Technical Subjects Each of the following anchor standards for reading which is aligned with activities in Bills, Budgets and Bank Accounts has been marked with a red arrow. Where a specific term or statement is particularly applicable it has been highlighted. College and Career Readiness Anchor Standards for Reading Key Ideas and Details 1. Read closely to determine what the text says explicitly and to make logical inferences from it; cite specific textual evidence when writing or speaking to support conclusions drawn from the text. 2. Determine central ideas or themes of a text and analyze their development; summarize the key supporting details and ideas. 3. Analyze how and why individuals, events, or ideas develop and interact over the course of a text. Craft and Structure 4. Interpret words and phrases as they are used in a text, including determining technical, connotative, and figurative meanings, and analyze how specific word choices shape meaning or tone. 5. Analyze the structure of texts, including how specific sentences, paragraphs, and larger portions of the text (e.g., a section, chapter, scene, or stanza) relate to each other and the whole. 6. Assess how point of view or purpose shapes the content and style of a text. Integration of Knowledge and Ideas 7. Integrate and evaluate content presented in diverse formats and media, including visually and quantitatively, as well as in words. 8. Delineate and evaluate the argument and specific claims in a text, including the validity of the reasoning as well as the relevance and sufficiency of the evidence. 9. Analyze how two or more texts address similar themes or topics in order to build knowledge or to compare the approaches the authors take. Range of Reading and Level of Text Complexity 10. Read and comprehend complex literary and informational texts independently and proficiently.

CCSS Writing Alignment 4 Common Core State Standards for Literacy in History/Social Studies, Science and Technical Subjects Each of the following anchor standards for writing which is aligned with activities in Bills, Budgets and Bank Accounts has been marked with a red arrow. Where a specific term or statement is particularly applicable it has been highlighted. College and Career Readiness Anchor Standards for Writing Text Types and Purposes 1. Write arguments to support claims in an analysis of substantive topics or texts using valid reasoning and relevant and sufficient evidence. 2. Write informative/explanatory texts to examine and convey complex ideas and information clearly and accurately through the effective selection, organization, and analysis of content. 3. Write narratives to develop real or imagined experiences or events using effective technique, well-chosen details and wellstructured event sequences. Production and Distribution of Writing 4. Produce clear and coherent writing in which the development, organization, and style are appropriate to task, purpose, and audience. 5. Develop and strengthen writing as needed by planning, revising, editing, rewriting, or trying a new approach. 6. Use technology, including the Internet, to produce and publish writing and to interact and collaborate with others. Research to Build and Present Knowledge 7. Conduct short as well as more sustained research projects based on focused questions, demonstrating understanding of the subject under investigation. 8. Gather relevant information from multiple print and digital sources, assess the credibility and accuracy of each source, and integrate the information while avoiding plagiarism. 9. Draw evidence from literary or informational texts to support analysis, reflection, and research. Range of Writing 10. Write routinely over extended time frames (time for research, reflection, and revision) and shorter time frames (a single sitting or a day or two) for a range of tasks, purposes, and audiences.

CCSS Mathematics Alignment 5 Common Core State Standards For Mathematics Each of the following anchor standards for mathematics which is aligned with activities in Bills, Budgets and Bank Accounts has been marked with a red arrow. Standards for Mathematical Practice 1. Make sense of problems and persevere in solving them. 2. Reason abstractly and quantitatively. 3. Construct viable arguments and critique the reasoning of others. 4. Model with mathematics. 5. Use appropriate tools strategically. 6. Attend to precision. 7. Look for and make use of structure. 8. Look for and express regularity in repeated reasoning.

Activity Descriptions for Bills, Budgets and Bank Accounts 6 Activity Descriptions Activity 1: Five Job Offers Students will explain which of five job offers they believe Cary Cash should accept. Descriptions of the five job offers and information on the communities where he could be living are provided. Activity 2: Things To Do Students will make a list of things Cary needs to do to move to Raleigh, North Carolina and be ready to start his new job. Activity 3: Where To Live Students will decide which of nine apartment complexes they believe Cary should choose to live in. Information is provided about each of the apartment complexes including apartment sizes and rents. A map is also provided showing the location of the apartments in relation to his job. Activity 4: Moving Day Students will decide how Cary should pay for his various moving expenses. They will calculate the cost of several of these expenses including a UHaul trailer, gasoline, food and overnight lodging. Activity 5: Check It Out Students will make a list of the things they believe Cary should check out about each of the apartments he looks at before making a choice and signing a lease. Activity 6: Cary s Apartment Using an apartment lease and apartment diagram which are provided, students will answer a series of questions and compute various costs concerning the apartment that Cary has decided to rent. Activity 7: Moving In Using an inventory of the items Cary brought with him in his car and UHaul trailer, students will decide what other furnishings he needs for the apartment. They will also arrange his furnishing in the apartment and decide what utilities he needs to start.

Activity Descriptions for Bills, Budgets and Bank Accounts 7 Activity Descriptions Activity 8: Shopping At The Mall Students will calculate the cost of various items Cary purchased during a shopping trip to the mall. They will calculate discounts, sales tax and cash price. They will also decide the best way for Cary to purchase an entertainment center he would like for his apartment. Activity 9: Shopping List Students will create a shopping list of food and household products that Cary should buy on his first trip to the grocery store. Activity 10: Choosing Bank Accounts Using descriptions of checking accounts and savings plans that are provided, students will answer a series of questions about which accounts they believe Cary should open. Activity 11: First Day At Work Students will make a list of 5 things Cary should do to be sure his first day at work starts off well. They will complete a compensation summary by calculating how much Cary will receive in each paycheck. They will also read a list of Cary s fringe benefits and decide how he should invest in his 401(k) contribution. Activity 12: Group Health Insurance Using an outline of Cary s group health insurance policy, students will calculate the portion of a hypothetical hospital bill that would be paid by the policy and the portion of the bill Cary would have to pay himself. Activity 13: Proving His Worth Students will read a list of suggestions of ways Cary can prove his worth at his new job. For each suggestion, students will explain why they think it would be a good or bad thing for Cary to do. Activity 14: Cary s Credit Card Statement Students will complete Cary s June credit card statement by calculating his total new purchases, the finance charge, total payments and credits and his new balance.

Activity Descriptions for Bills, Budgets and Bank Accounts 8 Activity Descriptions Activity 15: Cary s New Car Students will calculate Cary s total costs of leasing or buying a new car by completing two itemized worksheets. Activity 16: Cary s Auto Insurance Using an outline of Cary s auto insurance policy, students will answer a series of questions concerning the cost of the policy and his various coverages. Activity 17: Cary s Renter s Insurance Using an outline of Cary s renter s insurance policy, students will answer a series of questions concerning the cost of the policy and his various coverages.. Activity 18: Payday Students will calculate Cary s net pay for the pay period. They will also evaluate his contributions to his 401(k) and decide if they agree with the choices he made. Activity 19: Cary s Checking Account Students will complete Cary s check register for the month of June. They will also complete his June bank statement and then reconcile his register to the statement. They must also discover the errors Cary made in his register and make correcting entries. Activity 20: Good Advice Students will write a series of personal finance suggestions appropriate to each month of the year that will be included in a calendar. Activity 21: Cary s Renter s Insurance Students will divide Cary s expenses into four categories (fixed, variable, periodic and unexpected). They will answer a series of questions evaluating how Cary has spent his income.

Activity Descriptions for Bills, Budgets and Bank Accounts 9 Activity Descriptions Activity 22: Cary s Budget Students will list sources of income Cary could receive during the year other than his paychecks. They will use his income to construct a budget for Cary.

C. W. Publications Bills, Budgets, and Bank Accounts Activity 18: Payday Cary received his first paycheck on Friday, June 17th and the compensation report shown below. Cary has decided to contribute $100 from each paycheck to the company s 401(k) plan since the company will match his contributions and taxes on the contributions will be deferred until he withdraws the money. Cary decided to divide his contribution with $50 used to buy Athron stock and $50 used to invest in a growth stock mutual fund. Corporate Stock: An investment that represents part ownership in a corporation and entitles you to part of that corporation s earnings and assets. Mutual Fund: A professionally managed investment that pools the capital of thousands of investors to trade in stocks or other assets such as bonds, currencies, money market securities, futures, and options. 1. Do you think Cary made good 401(k) investment choices? Why or why not? What would you have done? 2. Use the directions below to complete Cary s compensation summary on the right. 1. Biweekly Gross Pay:... Divide his salary ($39,000) by the number of biweekly pay periods in a 52 week year (26). 2. Taxable Amount... Subtract his 401(k) contribution from his gross pay. 3. Withholding Taxes:... Multiply his taxable amount by each of the withholding percentages. 4. Total Withholding:... Add the total of the withholding amounts. 5. Biweekly Net Pay:... Subtract his total withholding from his biweekly gross pay. Biweekly Gross Pay $ 401(k) Contribution $ 100.00 Taxable Amount $ Withholding: Fed Income Tax (11.4%) $ State Income Tax (7.0%) $ Social Security (6.20%) $ Medicare (1.45%) $ Health Insurance $ 73.54 Total $ Biweekly Gross Pay $ Minus Total Withholding - $ Biweekly Net Pay $ Name: Period: C. W. Publications PAGE 1

C. W. Publications Activity 18: Payday Answer Key: Page 1 1. No specific answers are required. 2. Compensation Summary 1. $39,000 / 26 = $1,500.00 2. $1,500-$100 = $1,400 3. $1,400 x.114 = $159.60 $1,400 x.07 = $98.00 $1,400 x.062 = $86.80 $1,400 x.0145 = $20.30 4. $159.60 + $98.00 + $86.80 + $20.30 + $73.54 = $438.24 5. $1,400-$438.24 = $961.76 C. W. Publications KEY