AAUW Financial Literacy: Manage Finances for Lifetime Security

1. WELCOME AAUW - American Association of University Women Financial Literacy is Personal

2. FINANCIAL LITERACY Knowledge and Skills Manage Finances Effectively Lifetime Financial Security

3. THE SIMPLE TRUTH ABOUT THE GENDER PAY GAP

4. What is the Pay Gap? Gap • The pay gap is a comparison between men’s and women’s typical earnings. • Weekly earnings or annual earnings

5. Women, Money & Consequences Typically… • Women earn less than men. • Women are caretakers. • Women are conservative investors. • Women outlive men.

6. What about Choices? • Men and women tend to choose different majors in college and to work in different occupations after college. • Women tend to work fewer hours, even when they work full time. • Women are more likely to leave the workforce or to work part time when they have young children. • Choices can account for some of the differences in salaries, but they aren’t the whole story.

7. Financial Institutions • Do you have a Bank Account?

8. What Do Banks Do? • Banks: • Are businesses that offer a safe place to keep money • Are also called financial institutions • Offer many financial services

9. Why keep your money in a bank? • Safety • Convenience • Cost • Security • Financial Future

10. Savings Accounts • You generally: • Are paid Interest • Cannot write checks • Can open an account with a few dollars • Review your bank statement

11. Checking Accounts • Allow you to pay bills and buy goods by using checks or an ATM or debit card • You will receive a monthly bank statement • Compare the rules of the different checking accounts

13. Goal Setting Goals • Be realistic • Be specific • Have a timeframe • State the action to be taken • Have milestones

14. VALUES What is the difference between a “need” and a “want”? Do you know where you money goes each month? To control your money: Understand where your money goes Keep a personal spending diary *Activity

15. Financial Planning • Practice budgeting for your values • Learn to track your spending • Find out about ways to save money • Explore different ways to give • Create a budget that focuses on your values

16. Money Management • BUDGET • a plan for spending • andsavingmoney

17. Why Create a Spending Plan?

18. What Is a Spending Plan • A spending plan is: • A step-by-step guide for meeting expenses in a given period of time

19. Objectives • Track daily spending habits • Prepare a personal spending plan or budget to estimate monthly income and expenses • Identify ways to decrease spending and increase income • Identify budgeting tools that will help you manage your money

20. Determine Income and Expenses • Income–money that comes to you from: • Jobs • Allowances • Other sources • Expenses–items you spend money on: • Bills • Transportation expenses • Entertainment

21. Preparing a Spending Plan • Keep track of your daily spending • Determine what your monthly income and expenses are the month before they are due • Find ways to decrease spending • Find ways to increase income

22. Weekly Spending Tracker

23. Monthly Budget

24. Worksheet Susie’s Problem? She needs a Spending Plan

25. Save Ways to make $ Allowance Chores & Jobs Gifts

26. GIVE “It's not how much we give but how much love we put into giving.” ― Mother Teresa “When we give cheerfully and accept gratefully, everyone is blessed.” ― Maya Angelou

27. Know & Track Your Income • Know the sources and amounts of your income, and when to expect it. • Know how you’ll receive your income and how to protect and use each form of income.

28. Party Budget • Shop for items for your party • $50.00 Budget • Party shopping list