Finance Cluster Personal Finance

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Finance Cluster Course Title: Course Number: 8178 Pre-requisites: Career Pathway/Major: Locations: Instructor: Locations: Length: None Management/Entrepreneur Banking & Related Services/ Financial Services Officer Goodwell High School Nicole Mayhew nmayhew@goodwell.k12.ok.us Goodwell Public Schools 1 Carnegie Unit 175 forty-five (45) minute class periods per school year Possible Career Outcome: Financial & Investment Advisor, Financial Assistant, Financial Customer Service, Bill and Account Collector, Bank Teller, Customer Service Representative Course Description: This course is designed to provide the knowledge and skills necessary to make wise decisions for financial planning. Students will analyze choices and develop tools to assist them in wise money management. The standards set forth in the Passport to Financial Literacy Act of 2007 (70 O.S. 11 103.6h) will be taught in conjunction with the competencies listed. Learning Competencies Competencies include: Analyzing pay benefits, work arrangements and organizations, preparing and filing tax returns, preparing a budget, studying legal documents and personal filing systems, banking services and other services for financial security, credit management, risk management and consumer rights and responsibilities. Pay, Benefits, Working Investments Conditions Federal Income Tax Retirement and Estate Planning Budgeting Credit Management Legal Contracts Resource Management Checking Accounts Risk Management Savings Consumer Rights and Responsibilities 1

Pay, Benefits, Working Conditions with Fundamental Math Review Figure hourly wages Determine gross pay with overtime Figure net pay with deductions Determine self-employment tax for self-employment Solve problems analyzing benefits such as profit sharing, paid time off,employee services, insurance plans, bonuses, stock options and retirement plans Read and write whole numbers Add and subtract whole numbers Multiply and divide whole numbers Calculating Federal Income Tax Use a tax table to determine tax credits Find the federal taxes paid to subtract to find total taxes required to pay Figure the amount of refund if federal taxes withheld are greater than required Prepare a Form 1040EZ and a Form 1040A Preparing a monthly budget using Math Calculations Based on sample information, prepare a monthly and yearly budget Based on sample information, prepare a net worth statement Based on sample information prepare a personal property inventory Read and write decimal numbers Round decimal numbers Add and subtract decimals Multiply and divide decimals Convert decimals to fractions and fractions to decimals Discussing Legal Documents Discuss your responsibilities in contracts and agreements Fill out a credit application Fill out a sample promissory note Figure interest on promissory notes Calculate simple interest for loans Calculate the maturity value of a loan Calculate the number of days of a loan and the maturity date Examine an example filing system for personal records 2

Using Checking Accounts Discuss the purpose of a checking account and the different types Fill out an authorization form Fill out sample blank checks Fill out a sample deposit slip Using sample data, reconcile a bank statement Calculate interest earned on the average daily balance of a checking account Calculating Savings and Investments for Financial Security Discuss savings institutions and options Figure compound interest Discuss investment strategies and risk involved Discuss stock features, options and values Compute stock s return on investment Practice reading the stock listings and progress charts Choose stocks to follow, keeping a table of dates and closing prices for a specified time Make a graph of analysis of gains and losses for a specific time period Discuss types of corporate bonds Calculate earnings and percentage yield on corporate bonds Discuss government and municipal bonds Practice reading bond listings Discuss mutual funds Practice reading mutual fund listings Discuss real estate and other investment options Solve problems with a variety of savings and investment scenarios Analyzing Retirement Strategies and Estate Planning Discuss retirement needs and estate planning tools Use a retirement calculator to track needed savings for retirement Calculate average rate of return Use a worksheet to compute the value of sample annuities at the given rate Using a worksheet, calculate future values of savings amounts Using a worksheet, calculate gains on investments and rank Using a worksheet list investments and expectations of potential return on time kept Using a worksheet, figure projected income and projected costs needed for a retirement plan Assessing Credit and Debt Discuss the advantages and disadvantages of using credit 3

Analyze a sample monthly credit card statement Discuss other sources of consumer credit Discuss the laws and responsibilities of establishing credit Discuss how one safeguards from identity theft Discuss factors that affect the interest rate on credit Compute finance charges using formulas and tables Solve problems with real life situations involving credit Discuss bankruptcy and the consequences Managing Resources Solve problems in real life situations that involve consumer decisions in housing, transportation and family planning including charitable giving Discuss types of charitable giving and how it benefits society Calculate monthly payments on mortgages Prepare an amortization schedule Calculate principal, interest, taxes, and insurance for an escrow account Calculate closing costs for a mortgage loan Calculate credit available to a borrower Managing Personal Risks Discuss the concept of insurance and the risk-management process Prepare a risk-management plan Discuss the law of probability and the effects of gambling on society Discuss the types of property insurance and coverage needed Calculate insurance reimbursement for a loss Examine types of automobile insurance coverage and costs Discuss common types of health insurance coverage and plans Discuss different types of disability insurance and life insurance Apply risk and insurance concepts to create a personal insurance plan Compute future values of a whole life policy Fill out an insurance claim form Discuss ways to reduce health care costs Consumer Rights and Responsibilities Discuss consumer rights and responsibilities Examine the Consumer Bill of Rights and its protection from fraud Solve consumer problems involving products and services Compute unit prices Discuss consumer protection laws and agencies Discuss the legal system Discuss court proceedings Discuss dispute resolution resources Solve problems involving legal matters 4

Instruction: 95-class periods theory/80class periods lab Methods of Instruction include: lectures, class discussions, hands-on training, demonstrations, projects, and performance evaluation. Required Certifications: Passing Grade (70%) or above on student transcript for Financial Literacy (ODCTE ) Recommended Additional Competency Testing: Business Math Consumer Finance Investment Concepts htttp://www.brainbench.com http://www.okcareertech.org/certify/ 5