LESSON 8 -- HOW DOES YOUR FAMILY SAVE??MONEY? LESSON DESCRIPTION AND BACKGROUND This lesson uses the Better Money Habits video Easy Ways to Save on Everyday Expenses (www.bettermoneyhabits.com) to discuss a family s regular shopping habits. It is recommended that the activity with this lesson be used as homework to allow students to talk with other family members about ways to save money on everyday expenses by using comparison shopping techniques. Depending upon the class, it might be best to assign this over a weekend or allow several days for them to complete it. This lesson requires class time to introduce it and show the video (7:26 minutes), and then review the findings. BETTER MONEY HABITS VIDEO Saving and Budgeting: Managing Your Money: Easy Ways to Save on Everyday Expenses (7:26) FINANCIAL FITNESS FOR LIFE CONNECTION, GRADES 6-8 Lesson 17: Comparison Shopping ECONOMIC AND PERSONAL FINANCE CONCEPTS Decision-making Comparison shopping Wants and needs Costs and benefits NATIONAL STANDARDS FOR FINANCIAL LITERACY Standard 2. Buying Goods and Services, Benchmark Grade 8 People cannot buy or make all the goods and services they want; as a result, people choose to buy some goods and services and not buy others. People can improve their economic wellbeing by making informed spending decisions, which entails collecting information, planning, and budgeting. BETTER MONEY HABITS: MIDDLE SCHOOL 1
OBJECTIVES BETTER MONEY HABITS MIDDLE SCHOOL LESSON: At the end of this lesson, the student will be able to: Identify the ways their family can save money on everyday goods and services. TIME REQUIRED Introducing the lesson will require 15 minutes of class time to view the video and explain the homework assignment Debriefing the lesson will require 30 minutes of class time to review and assess the homework assignment MATERIALS Handout 10.1: How Does My Family Save? Video transcript PROCEDURE 1. Ask students to list some of the items their families purchase on a regular basis, such as gasoline, food, cable, etc. Have them identify ways their family tries to reduce their spending when shopping. For example, do they compare prices at different gas stations or always buy gas at the same place? Use this discussion to introduce the video. 2. Tell students the video will help them identify some additional ways they can help their family reduce their spending on everyday goods and services. Remind students that saving on everyday expenses involves all family members; if everyone works together to reduce spending, then the family has more money for other purchases or to add to their savings account, their vacation fund, or other family goals. 3. Show the video Easy Ways to Save on Everyday Expenses in class. 4. Distribute copies of Handout 10.1 and the video transcript to each student. Tell them this is a homework project that involves their parents or other family members. Remind them you are including a copy of the video transcript, plus a link to the video itself. They can choose which option is best for them to use. Be sure to include the date the assignment is due on the worksheet. 5. When students have completed the homework assignment, spend class time discussing some of their findings. Some suggested questions to ask to debrief this assignment: What are some of the ways your family is already using to reduce their spending and save money on everyday purchases? Which of those practices were you aware of them using? What did you learn from watching this video with your family? BETTER MONEY HABITS: MIDDLE SCHOOL 2
CLOSURE BETTER MONEY HABITS MIDDLE SCHOOL LESSON: What did you learn from your friends families about saving money? What changes do you plan to make after this lesson? To conclude this activity, ask students to identify ways they can help their family reduce its spending on everyday purchases. Remind them that saving money on everyday expenses is important because it provides money that can be used for other family needs or wants. ASSESSMENT Have students write a paragraph explaining how comparison shopping can help their family reduce its overall spending. EXTENSION Put students in groups to identify ways that television commercials can encourage them to buy things they may not need. Have them discuss their results with the rest of the class. BETTER MONEY HABITS: MIDDLE SCHOOL 3
HANDOUT 10.1 HOW DOES YOUR FAMILY SAVE MONEY? EXPLANATION: This handout is a homework assignment to complete with members of your household. Be sure to sit down with the persons (or person) who do (does) most of the everyday shopping for you and other family members. It will be good to get as many family members as possible together to complete the assignment. Tell your family you are going to watch a video that shows several ways to reduce spending on the goods and services you purchase on a regular basis. By reducing spending on everyday items, you will have extra money to add to a savings account for future goals or to spend on other important items. Video:Go to www.bettermoneyhabits.com. Go to Menu, click on Saving and Budgeting, click on Managing My Personal Budget, and then finally click on the video Easy Ways to Save on Everyday Expenses. If you cannot access the video, you can use the transcript provided by your teacher. After watching the video or reading the transcript, answer the following questions. Remind your family that you will need to discuss these answers in class. Be sure to complete both sides of this handout. Part A What suggestions in the video does your family currently use? Grocery Store Cable Cell Phones Rent/Mortgage Utilities Entertainment BETTER MONEY HABITS: MIDDLE SCHOOL 4
Part B What are other ways your family currently uses to reduce spending? Part C What are three things you learned from watching this video? BETTER MONEY HABITS: MIDDLE SCHOOL 5