Personal Finance

Course Overview

The personal finance course is designed to equip students with essential financial knowledge and skills to help them make informed financial decisions in their personal and professional lives.

The course covers fundamental concepts of financial planning, budgeting, saving, investing, credit, debt management, insurance, taxes, and retirement planning. Through real-world applications, interactive activities, and case studies, students will learn to set financial goals, manage money wisely, and make strategic choices that align with their long-term financial well-being.

You Will Be Able to:

Understand the Foundations of Personal Finance:

• • Define personal finance concepts, including income, expenses, assets, liabilities, and net worth.
  • Explain the importance of financial literacy in achieving financial independence.

Develop a Financial Plan and Budget:

• • Create a personal budget based on income and expenses.
  • Set realistic financial goals and plan strategies to achieve them.
  • Analyze spending patterns to identify areas for potential savings.

Manage Banking and Financial Accounts:

• • Compare types of bank accounts and their benefits.
  • Understand checking, savings, and credit accounts and how to use them responsibly.

Understand and Manage Credit and Debt:

• • Explain the basics of credit scores, credit reports, and factors that affect creditworthiness.
  • Evaluate different types of credit, including credit cards, loans, and mortgages.
  • Develop strategies for managing and reducing debt effectively.

Learn Saving and Investing Principles:

• • Distinguish between various saving and investment options (e.g., savings accounts, CDs, stocks, bonds, mutual funds).
  • Understand the concept of risk and return and the importance of diversification in investing.
  • Develop a basic investment plan based on financial goals, timeline, and risk tolerance.

Plan for Retirement and Long-Term Financial Security:

• • Explain the importance of retirement planning and the basics of retirement accounts (401(k), IRA, Roth IRA).
  • Understand the impact of compound interest on retirement savings.

Understand the Basics of Insurance and Risk Management:

• • Identify types of insurance (health, auto, home, life) and understand their role in risk management.
  • Evaluate insurance options and choose appropriate coverage based on individual needs.

Understand Tax Obligations and Strategies:

• • Explain the basics of taxes, including income tax, payroll tax, and sales tax.
  • Understand how to file taxes and the role of deductions and credits.

Make Ethical and Informed Consumer Decisions:

• • Analyze the impact of consumer choices on personal finances.
  • Develop skills to avoid fraud and scams and make ethical financial decisions.

Build Financial Resilience and Adaptability:

• • Develop strategies for handling financial setbacks and emergency expenses.
  • Cultivate healthy financial habits to adapt to life changes and market fluctuations.