Class of 2012 Freshman Orientation Financial Literacy: “Me, Myself, My Money”

Class of 2012Freshman

Orientation

Financial Literacy:“Me, Myself, My Money”

Want to be more than $2,000,000 Richer?

Today I will show you how.

Financial Literacy

– Making sound decisions about money

– Your decisions – no one else's

Student Loans

National Bank of Me

Do the math!!!!

• Smartest investment you will ever make

Video Break

What happened to him??

• 33M

• 17 Exotic Cars

• 12M Mansion

• Plane

• 2 Helicopters

• 200 People

• 1996

What was his problem?

It’s all about balance…

How?

Welcome Jill!

Budgets

Budgets

• Budgets are a tool that help you determine:– Where your money goes each month

– How much you need to save for that big ticket item

– Where you want to be in the future

Budgets

• Easy• Keep you on track so that you don’t

spend more than you take in

• Otherwise

• You won’t make it through the month

• It’s all about balance

Budgets

• Determine what your income is– Wages– Loans– Savings– Allowance

Budgets

• Determine what your expenses are– Fixed– Flexible

•Needs•Wants

Budgets

• Fixed– Rent – Car Payment

• Flexible– Meals– Clothing

Budgets

• List everything– Books– School supplies– Meals and

entertainment– Rent– Car– Clothing– Telephone

– Personal care– Laundry– Tuition – Anything that you

spend your money on

– Be reasonable

• Adjust if needed

Budgets

• Success is having the money in be greater than the money out– Set aside for larger expenses

• Adjust when necessary• Be a smart consumer• Spend money wisely• Talk to someone if you get in trouble

Thanks Jill!Thanks Jill!

The Calendar

• Adjust as necessary

• Be smart consumer – spend wisely

• $ in > $ out

• Talk to someone

• Life Skills

Tracking…

Bank Accounts

• Just because the bank says……….

THE GREAT TEMPTATION

Welcome Brooke!

THE GREAT TEMPTATION

The Real Cost of Credit

• Purchase $ 1,000

• 17% card

• Minimum payments (2%) = $ 20 mo

• Total all payments $ 1,755

• Almost paid 2x

Average American Household

$10,000 in credit card debt

Average CollegeStudent

$3,000 in credit card debt

Thanks Brooke!Thanks Brooke!

My Graduation Promise to You

Part-time Job

Compounding…

$5 per day, every day

10% rate of return

45 years later…

$ 1,585,000

Would that change your life?????

http://www.myspace.com/benjaminbankes

Resources

• www.360financialliteracy.org• www.feedthepig.org• www.myspace.com/benjaminbankes• www.cscpa.org – Financial Literacy –

Money Management Advice• www.finance.yahoo.com/banking-

budgeting

Where’s the

$2,000,000?