A lesson for students on the essentials of money management, from budgeting and saving to investing and debt handling, in this beginner’s guide. Discover the steps to make informed spending decisions, build good credit, and develop a strategic financial plan for long-term success.

The lesson focuses on empowering individuals with essential financial skills for a stable future. It covers the importance of budgeting, a methodical approach to plan and track income and expenses. The lesson also emphasizes the significance of saving, highlighting the need for an emergency fund and setting aside money for future goals. Investing is presented as a key to wealth growth, emphasizing the power of compound interest and the feasibility of starting with small amounts.

Additionally, the lesson delves into spending habits, advocating for informed purchasing decisions and differentiating between wants and needs. It addresses debt management, outlining strategies for handling various types of debt responsibly. Building and maintaining good credit is underscored as crucial for financial opportunities. Lastly, the lesson discusses financial planning, guiding students through setting realistic goals and strategies to achieve financial freedom and stability. These topics are designed to guide students towards effective money management, not just for wealth accumulation but for overall financial health.

CONCEPTS

Use this video lesson on the topic of money management. Learn related concepts of:

• Budgeting
• Saving
• Investing
• Spending
• Debt Management
• Credit Building
• Financial Planning
• Financial Decision Making

GRADE LEVEL

7-12th grades. High School. College. Adult Education.

TIME REQUIRED

45-60 minutes. Adjust the lesson plan and allocate time to certain topics based on the needs and interests of the students.

PROCEDURE

Hand out the worksheet below (see the GET LESSON button near the bottom of the page).

Show students the video and have them complete the worksheet.  Review the questions on the worksheet.  A more comprehensive and detailed lesson plan can be accessed below for further instruction and study.

What is Money Management? Understanding the Basics

After watching the video, have students tell what the most important things they learned from the video.

 

Lesson Plan: What is Money Management?

Objective: To provide students with a comprehensive understanding of money management, including budgeting, saving, investing, spending, debt, credit, and financial planning.

Materials Needed: “What is Money Management?” video, worksheets, quiz materials, writing utensils, internet access for research.

Duration: 90 minutes

Lesson Outline:

• • Introduction (10 minutes)
    • Introduce the topic and objectives of the lesson.
    • Play the video “What is Money Management?”
  • Group Discussion (20 minutes)
    • Discuss the key concepts covered in the video.
    • Encourage students to share their thoughts and personal experiences related to money management.
  • Interactive Activities (30 minutes)
    • Activity 1: Budgeting Workshop – Students create a sample monthly budget based on a given scenario.
    • Activity 2: Investment Research – Students research different types of investments and present their findings.
    • Activity 3: Role-play on Spending Decisions – Students engage in role-play exercises to learn about making informed spending choices.

• Discussion on Credit and Debt (15 minutes)
  • Discuss the importance of credit scores and debt management.
  • Examine real-life scenarios and discuss strategies for managing debt.
• Financial Planning Exercise (10 minutes)
  • Students set personal short-term and long-term financial goals.
  • Discuss how to develop strategies to achieve these goals.
• Quiz (5 minutes)
  • Conduct a short quiz based on the video and lesson content.

Discussion Questions:

• How can budgeting impact your financial future?
• What are the benefits and risks of investing?
• Why is it important to differentiate between wants and needs in spending?
• How can effectively managing debt contribute to financial health?
• What steps can you take to build and maintain good credit?

Conclusion: Summarize the key takeaways of the lesson and encourage students to apply these principles in their daily lives for better financial management.

Activity 1: Budgeting Workshop

• • • Objective: To teach students how to create and manage a monthly budget.
    • Materials: Worksheets, calculators, sample budget scenarios.
    • Procedure:
      • Provide students with a sample monthly income scenario.
      • Discuss various types of expenses (fixed, variable, discretionary).
      • Students create a budget, allocating funds for necessary expenses, savings, and discretionary spending.
      • Review and discuss each budget, focusing on the importance of saving and prioritizing expenses.
    • Duration: 10 minutes

Activity 2: Investment Research

• • • Objective: To explore different types of investments and their potential risks and rewards.
    • Materials: Internet access, project or presentation tools.
    • Procedure:
      • Divide the class into small groups, each assigned a different type of investment (e.g., stocks, bonds, mutual funds).
      • Students research their assigned investment type and prepare a short presentation covering key aspects such as risks, benefits, and how to get started.
      • Each group presents their findings to the class.
      • Facilitate a discussion comparing the different investment types.
    • Duration: 10 minutes

Activity 3: Role-play on Spending Decisions

• • Objective: To understand the impact of spending choices and differentiate between wants and needs.
  • Materials: Spending scenario cards, role-play guidelines.
  • Procedure:
    • Distribute different spending scenario cards to pairs of students.
    • Each pair role-plays the scenario, making decisions on spending based on wants versus needs.
    • After each role-play, the class discusses the choices made and their potential financial impact.
  • Duration: 10 minutes

Lesson Resources

• What is Money Management? Understanding the Basics