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Finding Financial Freedom
Lesson 1: The Power of Investing Versus the Peril of Debt
(Money Management for KMHS Seniors)

(Teachers' Guide). See also the student handout. We also offer a text and a  section of our site on personal money management.

Facilitator: Let's be open with students about our own financial successes and blunders. Students turn us off when we come across arrogant, like we've got all the answers. We don't. So let's come across like we're all in the same boat, learning together. Today's students respond to that approach.

In this series, we will learn how to: 

Introduction: Don't Follow The Crowd!

What I’m telling you may seem both weird and wonderful – weird in that I’ll challenge you to think very differently about money and material things than most people think. But wonderful in that you’ll see clearly how an average person can accumulate a fortune.

I’ll challenge you to go a different direction than most of our adult culture. When it comes to financial management, there’s no safety in numbers, because the multitudes are way off course. If you want to make it financially, you’ll have to walk with your face in the wind, you'll have to swim upstream, and you'll have to be willing to appear ridiculous to those who are going with the crowd. 

As we look at this subject, I want you to know that I'm in the middle of this struggle with you. I don't always live like this. But the curriculum I'm teaching isn't just one person's ideas. It's the same counsel that's been given hundreds of times in hundreds of books and articles by top financial counselors for hundreds, even thousands of years. The reason it sounds weird and new is that our culture doesn’t live by sound financial advice. When most if us handle our finances like idiots, we dare not follow the norm. I challenge you; I challenge all of us, during this series, to adopt the mottos of two very successful companies: IBM and Apple Computers. Do you know their mottos?

IBM Motto: “Think”

Apple Computer Motto: “Think Different”

Your Questions: I want to be practical in meeting your needs. Feel free to interrupt me at any point to clarify or challenge me. Feel free to write down any specific questions you have about handling money, to hand in at the end of class.. You don’t have to sign your name. The only stupid questions are the ones that go unasked. Write down your financial worries, things you’re confused about or curious about: the stuff you've always wanted to know about money, but were afraid to ask.  

Let's begin with a tale of two very typical American families. See which one you relate to the most.

A Tale of Two Typical Families (Hint: Put these names on the board, so that you can refer back to each family during this lesson.)

Family #1: Jenny is 30 years old.  She lives in a $150,000 house in a nice neighborhood in Kennesaw (facilitator: name your town) with her husband Jim. They drive nice, reliable cars. Jenny works as a school teacher and her husband Jim is a mechanic. They enjoy eating out together and going on vacations with their kids. Their main concerns are helping kids with homework, goofing off with friends, having dates with each other on weekends, and helping others who are less fortunate.

Family #2: Tom is also 30 years old. He also lives in a $150,000 house next door to Jenny and Jim.  Tom’s a mechanic and his wife Theresa teaches school. Their salaries are identical to Jenny and Jim’s salaries. So far, you probably think these two families are almost identical. But the fly on their wall sees a totally different picture. Whereas Jenny and Jim are stable and happy, Tom and Theresa can’t seem to make ends meet. They buy for Christmas, but have to make payments on it for months. They worry and fight all the time about their money. There never seems to be enough money to pay off their credit cards, their car payments and their house payments. Since they have no savings, they fear that if one of them loses a job and can’t get a new one for a few months, they’ll lose their house, cars and everything.

I know these seem like two extremes. But how many of you would say that your home is more like Jenny and Jim – financially stable and free, with few financial worries? Now, how many are more like Tom and Theresa, with frequent bickering about the money that never seems to be quite enough?

Sadly, in America today, this great land of opportunity, more people are experiencing financial frustration than financial freedom. Some can’t help it. A family member got cancer and all their resources dwindled. But in tons of cases, their financial failures are due to their ignorance of how money works, or their failure to live by what they know.

What "The Crowd" is doing: Americans and Their Money

Hint: Make this into a guessing game. Throw wrapped candy to the one who guesses closest. The student sheets have blanks instead of percentages. As you read each point, express why you're passionate about this study. For example: "We can't afford to be average, because average isn't working out!" When you say 50%, make it more visual by saying, “this entire half of the class.” If 90%, say “All but these three on the front row.”) 

In these classes, I hope to help you set a course for financial freedom – to become more like Jenny and Jim than Tom and Theresa. But a word of warning. I'll be honest with you; this culture is going the opposite direction than I'm recommending. People will think you’re crazy AT FIRST. I'm going to challenge you to buck "the crowd," because "the crowd" isn't having very much fun with their money. Unless you decide to march to the beat of a different drummer, you're more likely to live like family #2, the ones who are broke.

In this lesson, we'll cover the first two Steps to Financial Freedom:

Step #1: Learn the Awesome Power of Multiplication

Most of us have learned the difference between addition and multiplication. But few people apply this knowledge to how learning to multiply their money can radically impact their financial future. Let's first of all get out our calculators and catch a vision for the awesome power of multiplication. 

Multiplication Illustration #1: Need Some Grain? 

(Hint: show the group a checker board and point to each block as you mention it. Or, draw one on the board, with 8 squares across and 8 squares down.) 

Lets start off with addition. If you take a grain of wheat and put it in the first block and then add one for each new block, you will have two on the second block, three on the third block. This is addition. You add a grain to each block. How many grains will you have in the 64th block? (64 grains in the 64th block.) 

Again, another example of addition. Let's do the same with 1,000 grains of wheat in each block. How many grains would you have in the 64th block? (64,000 grains)

Now, let's move to multiplication.  If you start again with one grain of wheat on the first block and double it for the second block, you have two grains on the second block. Now you tell me: how many on the third block? (4), how many on the fourth block? (8) (have students keep multiplying (x 2) on his/her calculator, till the calculator can't hold the numbers any more.)  Do see how fast multiplication begins taking off? So do you know how many grains you would have by the 64th square? Enough to cover the entire country of India 50 feet in grain! That’s the incredible power of multiplication! (From Allen Hadidian, Successful Discipling, Moody Press, 1979, p. 43.)

Multiplication Illustration #2: So You Like to Tear Paper? Take a sheet of paper and let’s imagine that it’s 1/1000 of an inch thick. Now tear it in half and stack it together. (Hint: Actually do this in front of them or have them tear individual sheets of paper.) Now it’s 2/1000 of an inch thick. Do it again and it’s 4/1000 of an inch. You see, we’re doubling the height every time. (Let them do it until they can’t tear it any more.) How thick do you think it would be once it was torn 50 times? Approximately 17,000,000 miles high, about the distance of 34 trips to the moon! That’s the power of multiplication! (Hadidian, opt. cite)

Discussion: How should understanding the difference between adding money and multiplying our money make a practical difference in how we manage our money? (We realize the astounding power of multiplying our money through investments and compounding interest.) 

Step #2: Invest Wisely! ( Let Multiplication Work For You.)

Most people aren't investing enough for the future. In other words, if we want to save up enough for the future, we can't afford to be like everybody else. To review, here's how badly most people are blowing it with their savings: 

Compounding interest is kind of hard to visualize, so investors give us a helpful tool to help us figure how our investment money can multiply:

Are these rates of return really feasible? Yes! Examples:

These are just examples to show that these rates are very feasible. Forget about the e-mails you receive saying someone's giving you a $100% return. Don't fall for the e-mail from the Nigerian saying you can split his fortune. You don't have to invest in some wacko offshore oil company scheme to get a decent rate of return! 

So, what does this mean to you and your money? How can multiplying your money through investments pay off over time, not just for the doctors and lawyers, but for the good ole boys and good ole girls. How can Bubba become a millionaire?

For the Median Income Family

The median (average) family income in Cobb County is $58,000 per year. Lets say you live off 9/10 and invest 1/10. That's $5800 per year, invested at 10% = over $1,000,000 in 30 years. You say, "Whooo! That's a lot to invest!" But $5800 per year is only about $16.01 per day. Let's say that you're 25 years old, married, with both of you working. Instead of each of you eating out once a day at McDonalds, you save that  $8.00 per meal. Instead of spending $16.00 per day, you invest it. Again, at 10% interest, you're millionaires in 30 years!

For the Low Income Family

Story: Oseola Enjoys Life and Saves a Fortune: 

Some of us might fear that we'll never make an average income. What if your job doesn't pay much and you can't seem to get ahead? I want to introduce you to Oseola, who has a lot to teach all of us. She didn't have the advantages of most of us, yet saved a ton. 

Oseola grew up in a simple house with her grandmother, mother, and an aunt.  As an eight-year-old she would wash clothes after school to help make ends meet.  Her school education ended at age 12, when she dropped out to care for her sick aunt and work full time at washing. So far, she's not your most likely to succeed. 

Her work was hard, but she enjoyed work. She washed the old-fashioned way, building a fire under her wash pot, then soaking, washing, and boiling a bundle of clothes.  Rub.  Wrench. Rub again. Starch.  Hang out to dry.  She worked Monday through Saturday, from 7:00 AM to 11:00 PM, for 75 years, until arthritis forced her into retirement at age 86.  She never married, never got to finish school, never had a car, and owned few possessions.  Her TV received only one station.  But that didn't bother her, because she never watched it very much anyway. 

I can almost hear some of you thinking, ''Get a life, woman!''  But, you see, Oseola did have a life, a great life.  She didn't desire travel or possessions.  She loved her God, her family and her work. Singing and storytelling filled her days with joy and laughter.  And since she didn't need money for a lot of possessions or travel, she invested it, a little each month, so that by July 1995 she had saved, get this, $280,000, and gave away over half of it, $150,000, to establish a college scholarship for needy students, to offer others the education she never had.

Until recently, she referred to herself as a ''poor little old colored woman who walked everywhere.''  No one paid her much attention when she was out.  But when the word leaked out about her donation, the world took notice.  She has since received numerous awards, been interviewed on ABC, CNN, NBC, BET and MTV.  She's been featured in Newsweek, The New York Times, People, Life, Ebony, Essence, and Jet.  But all the recognition never changed her simple life.  For you see, she didn't need all the recognition.  In her own words, ''I think my secret was contentment.  I was happy with what I had.''  (Simple Wisdom for Rich Living, Oseola McCarty, Longstreet Press, Atlanta, GA, 1996.  Also from Southern Living, ''The Amazing Grace of Miss McCarty,'' by Nancy Dorman-Hickson, Feb., 1998, pp. 33, 34.)

My point? Many people with huge salaries in America today haven't managed to save a thing. Many are worth less than nothing. But Oseola shows me that if she can save over a quarter of a million dollars by washing people's clothes in boiling water over a fire, I can save money as a writer and teacher. Here are some secret of her success:

a. Work hard. 
b. Enjoy life within your means. (We’ll talk about this next week.)
c. Invest regularly. This is our point here. In her own words, ''The secret of building a fortune is compounding interest.  It's not the ones who make big money, but the ones who know how to save who get ahead.  You've got to leave your investment alone long enough for it to increase.'' (Simple Wisdom, p. 18)  
d. Don't allow yourself to pay interest to others. Also, she doesn't allow herself to pay interest. Oseola says, ''I save my money till I can buy something outright.'' Which brings us to our next point. (p. 25)

Action Points

In full lesson, deal with Rich Dad; Poor Dad - Assets and Liabilities.

Activity: 

Introduce with Harvard Study. 

I'd like to retire and be financially independent by my __ birthday. 
That means I'll need to average saving __ per week.
Now, I'll begin saving __ per week, and start investing it ____ (where?).

(How much do you need as a student to start investing in a total stock market fund?)

Play with online calculators to see what your money will do if you start investing earlier rather than later, if you invest more or less, etc. 

Testing Your Comprehension

What Are the Laws of 10's and 7's?
What is a Mutual Fund?
What is a stock?

End Notes

1) Wall Street Journal, as quoted by Dave Ramsey in The Total Money Makeover, p. 11.
2) National Survey Reveals Boomers Have Unrealistic Expectations When it Comes to Retirement: They Regret How They've Saved Yet Expect a Comfortable Retirement Lifestyle. Call to Advisors: Think About Boomers' Individual Financial Needs. Oppenheimer Funds' Research Identifies Four "Retirement Savings Profiles" Among Baby Boomers NEW YORK, March 10 /PRNewswire/, survey of 401 retirees, released 3/10/05. Of 600 workers over 45 years of age, 97% said they regretted how they spent their money, seeing how much they could have saved.
3) (Get source)
4) Atlanta Journal, Section F-1, Shop Till You Drop.
5) (Get source)
6) (Get source)
7) "The Facts on Saving and Investing: Excerpts from recent polls and studies highlighting the need for financial education" - Office of Investor Education and Assistance, Securities and Exchange Commission)
8) Ibid. Americans are spending $100.20 for every $100.00 they bring home. "The Facts on Saving and Investing: Excerpts from recent polls and studies highlighting the need for financial education" 
9) In 2002, the average new graduate carried an estimated debt of $22,000, up from $8,200 in 1991. An average couple that contemplated marriage on graduation would calculate a joint debt of $44,000 The Anti-Dowry, by Allan Carlson, The Weekly Standard; Volume: 8, Number: 14, ISSN: 10833013, 12-16-2002, p. 13.
10) From a Gallup pole of 500 men and women, cited in Personal Finances: Tight Times for 20 Somethings. Today's 20- to 29-year-olds have had some bum luck. But that's still no excuse for their ignorance of money basics. It's time to grow up. Here's how.; by Beth Kobliner,  Money  08-01-1991.
11) 2001 stat. found in: Moderation Key to Student Borrowing; courted by credit card companies, many collegians find themselves immersed in debt by graduation, by Erin Allday, The Press Democrat. Edition: City; Section: Business; Press Democrat (Santa Rosa)  02-06-2005
12) Ibid.
13) ibid. Read elsewhere: "the average family has a credit card balance of $7,000, and pays out $1,000 a year on interest alone."
14) ibid. 
15) Chicago, Dec., 2004; Consumer Spending Drives Two-Thirds Of U.S. Economy; Tim Boyle; Getty Images   12-06-2004.

Sources of Financial Wisdom   

On the Web

Money Management Guru's:

http://www.daveramsey.com - Dave Ramsey is a popular talk show host who helps people move from paying debts to building wealth. 
http://clarkhoward.com - Consumer advocate who has advice on buying cars, finances, etc. 
http://www.vanguard.com - Great mutual fund company website with great articles to learn about investing in stocks and bonds. 

Interest Rate Calculator (Lots of these on various sites.)

http://www.bankrate.com/gookeyword/rate/calc_home.asp - Offers many helpful online calculators for car payments, mortgages, investing, etc. http://www.tcalc.com/tvwww.dll?Save - Play around with interest calculators like this to find out how fast your money will grow as you invest various amounts of money at various interest rates.  
http://www.cardratings.com/creditcardtrapcalc.html - Calculator to find out how much you pay over time if you carry a balance on your credit card. 

Sites recommended by the Atlanta Journal for Compulsive Shoppers 

www.stoppingovershopping.com - Gives treatment options.
www.4therapy.com/consumer/assessment/taketest.php - Take a self-assessment to see if you need help for a shopping addiction.
www.debtorsanonymous.org A 12-step recovery problem, including self-assessment questions.
www.addictionrecov.org/spendaddict.htm From the Illinois Institute for Addiction Recovery.

Helpful Radio Personalities: Clark Howard and Dave Ramsey.

Some Good Financial Books to Read (with a critical mind!) Read reviews on Amazon.com to learn the strengths and weaknesses of each book.  

 

 

 

Step #3: Avoid Debt! (Don't Let Multiplication Work Against You.)

In step #1, we saw the incredible power of multiplication and in step #2, how we can get multiplication working for us through wise investing. Yet, most people have the power of multiplication working against them, rather than for them. The money that could have made them millionaires was paid out in interest to others. 

Perhaps the greatest financial decision you will ever make is this: Will you harness the awesome power of multiplication to work for you< or allow others to drain your money by having multiplication work against you in the form of "easy payments?"

The New X-Box Dilemma

Scenario for Discussion: Imagine that you love video games. No, imagine that you live for video games. Imagine next that a new version of the X-Box just came out, on sale this week at Walmart for $199.00, plus a couple of $49.99 games that go with it, bringing the total to $300.00. You have friends coming over this weekend, and you’d love to have the system at home for everyone to play. 

The only, little bitty problem: You don’t have the money. 

The simple, oh so easy solution: Your new credit card. The salesperson tells you, "You don't have to wait till you earn the money. You could be enjoying your X-Box tonight, while you're paying it off with "easy payments." 

Discussion Questions

1. If the average person had a credit card and really wanted this X-Box, what do you think he would do? 

2. What would you do? What might be the consequences of waiting until you earned the money to purchase it with cash? (You might not have as much fun for a few weeks.) 

3. What might be the consequences if you go ahead and purchase it with the credit card? (If you can't pay it off by the end of the month, you start paying interest. You pay much more for it in the long run. You begin to charge other things. You don't have the money to invest.)

Buying it on credit and making monthly payments puts multiplication working against you. Saving the money to buy it outright and investing the money you would have spent in interest puts multiplication working for you.

Beating the System: Credit Cards and "Easy" Payments 

Let’s look more closely at that X-Box and the accompanying games, which sold for $400.00.  Let's imagine that you have the average Credit Card Interest rate (in 2005) of 13%. (You'll find the rate in the small, almost unreadable type, at the bottom of your application.)

Average Minimum payment is 3%. (Ask: "3% of what?" Answer: "3% of the amount of your purchase.) Therefore your minimum payment is $12.00 per month. If you just make the minimum payment, you'll still be paying for it over four years from now, while at least one newer X-Box will have been made. During the 51 months that you're making payments, you'll pay will pay $120.09 in interest. That's money over and above the $400. It's the multiplication of that 13% working against you. Over time, you paid $520.00 for that X-Box and the two games.

You say, “Okay, so I got ripped off on the X-Box. Big deal.” But it IS a big deal. Because if you'll make payments for your X-Box, you'll make payments for most anything. Many people have gotten used to paying for almost everything that way. Eventually, many people stop thinking about how much they're paying over time. They just ask, "can I afford the monthly payments?" 

The answer is "No!" 

Don't get started! You may have saved nothing at this point, but at least most of you aren't in debt up to your ears. You're ahead of tons of adults because while you may have nothing, they've got less than nothing!

My preparation in reading and listening to Dave Ramsey radio shows. Hearing person after person telling their tales of woe of being $20,000 in debt, $100,000 in credit card debt, taking calls from creditors, fearing the loss of their houses, etc. 

Tell story of person on p. 45 of Ramsey to show how easily it happens. Another got card “just for emergencies,” but there seemed to be an “emergency” every week. Was soon $15,000.00 in debt.

Where "Easy Payments" are Taking People

“The average family carries credit-card debt of about $9,000. (Check this statistic.) ”  If you maintain that average for life, you’ll pay $1170 per year just in interest. 

Question: Now, what's the positive of carrying that debt? (You get some of what you want now.) But what's the downside? (You don't have as much to spend later. You don't have an emergency fund. Money doesn't multiply for you.) 

Remember, this isn't money that's paying for something bit by bit, it's the interest on the money you've borrowed. If you go against the grain, swim upstream, walk with your face in the wind and pay for things as you go, then you've got $1170 per year extra to do with as you please:

1. Take a cool vacation.  
2. Use $100 per month for something cool.
3. Invest that $1170 per year, so that it starts working for you rather than for the credit card company. 

Put that 1170 per year in a total stock market mutual fund for 32 years at 10% interest and you've now got over 1/4 million dollars to play with. In 46 years, you've got over $1,000,000, and that's by investing nothing more than the interest that the average family is paying out on credit cards! (Shout this out! Get emotional. This is absolutely crazy! Nobody gets it! It's what Dave Ramsey calls "Stupid Tax")

“Debt is a disease and credit cards are one of the easiest ways to get sick. Nobody ever got wealthy borrowing money for gifts, clothes, restaurants, entertainment, or travel.” (Consumer advocate Clark Howard)

Now please understand. I'm not saying you don't necessarily have the same stuff, where the credit card person gets to have his cake and the person who pays with cash always sacrifices. You can probably have the same stuff. It’s just a matter of timing. Pay it off ahead of time rather than making payments on a credit card. Remember the two families - in the same neighborhood with the same jobs. Typically, the difference is that one family bought all of its stuff up front, while the other made "easy payments" till they became enslaved.

Beating the System #2: Car Payments

Benji's Story

Benji's almost 17. His dad said he would pay $2100 toward his first car. Put this together with his savings, and he could purchase a  nice sports car. Instead, he acquired a wrecked 1993 Honda Accord free of charge and fixed it up with the help of a friend for $1,000, parts and labor. This very reliable car should last 200,000 thousand more miles. His dad will still give him the $2100.00, which he plans to invest. Now, he doesn't have to work for car payments, but only expenses. He's also free to invest his savings, which would have gone toward the sports car. He has $8,000.00 invested in a foreclosure house, the profit of which he reinvests in each new house he acquires.  At this rate, he should be able to double his money every two years. Even with the impact of taxes, if he keeps living within his means and his investments keep paying off, he could conceivably retire with a fully paid off house and $1,000,000 by the age of 30.   

According to a American Institute for Economic Research (AIER) study cited by Mototrend, the average American spends between $240,704 to $349,968 on automobiles during their lifetime. (Includes upkeep, repairs?)

Contrast: “USA Today notes that the average car payment is $378 over 55 months. Most people get a car payment and keep it throughout their lives. As soon as a car is paid off, they get another payment because they “need” a new car.” (Ramsey, p. 32). 

Just save that money for 8 months and you’d have $3,000.00, enough to pay for a 1992 Honda Accord with a little over 100,000 miles. This world-class vehicle, one of the most reliable ever made, will probably take you 200,000 more miles. So then you put the $378 per month in a total stock market mutual fund. If it averages 12% interest, and you pay in the money each month from when you’re aged 25 to 65, you’d have $4,447,084.01 at age 65.

Unless you have tons of money, get a good used car. 

1. They cost less.
2. Cars last longer these days, so that many are reliable for 200,000 or more miles.
3. A new car depreciates greatly in value the day you drive it off the lot.

Discussion: Even if people understand this, why will they generally ignore this advice? (Ignorance of how much they’re wasting. They want the new Corvette.)

 

 

Feb. 23, ’05. Average interest rate for used car loan =  8.34%. If you pay

 

Beating the System #3: House Payments (Mortgage)

Most people put house payments in a different category than credit card payments or payments on a car. Why the difference? A car (except for a classic) goes DOWN in value over time. A house is generally an asset that goes UP in value over time. 

Few people can purchase a house outright with cash. Rather, they'll have to pay over time. The problems people run into are:

The REAL cost of a house:

$100,000: The cash price
$151,894: Paid over 15 years at 6% interest 
$215,000: Paid over 30 years at 6% interest

Think about it this way: Three people live side by side in a neighborhood, with houses of equal worth. Yet, one paid $100,000, another paid $151,894, and the third paid $215,000. The last paid the worth of the house two times over 30 years! 

The bottom line: Pay the maximum you can pay comfortably each month on your house payment.

Back to Our Two Families

Now that you better understand the power of multiplication working for you in investing and working against you in debt, it's easy to understand how two families with the same income could live with such different qualities of life. 

Family #2, the ones with all the financial woes, started his life of debt by purchasing the X-Box on credit. His net worth? Because he can't get much for these items used, his net worth is now a Minus $200. In other words, he owes $300 for something he could only get $100.00 for. 

Next, he bought a new car with monthly payments. It was a $30,000, which immediately went down in value $5,000 when he drove it off the lot. Now his net worth is Minus $5,200. A few years later he needed another car, but he was still making payments on his old one. He also attended a more expensive college than he could afford and graduated with $18,000.00 worth of student loan debt (the national average). Now he's worth minus $23,200. He bought a house in a little nicer neighborhood than he could afford and just had to have matching furniture throughout, so he’s making payments on new furniture for $10,000, which devalued by $5,000 when it magically became used furniture when he walked out of the door, dragging his net worth down to minus $28,000 when he took it out of the store his furniture. Their money is totally maxed out paying for items that are worth less than they paid for them. The car dealer owns his car, the bank owns his house, the furniture company owns his furniture, the credit card company still owns his X-Box.

Family #1, the one that's financially free, waited to pay for the X-Box, went to a reasonably priced local college, bought reliable, used cars with cash, etc. They got a bargain on their house and are paying it off in 10 more years. They can afford to make big house payments because the house is all they owe on. 

Think Net Worth More Than Monthly Income

Mention Rich Dad; Poor Dad

His net worth is basically $0.00. The bank owns his house. The car dealer owns his car. The furniture store owns his furniture. His financial life is a series of payments that he’ll never work himself out of. He can afford a vacation and fears that he’ll never be able to retire. He’s looking for a second job to work weekends. Listen, there are millions of people just like him. He happens to be a mechanic, but many are doctors and lawyers.

 

Jenny’s Net Worth is $100,000.00. She makes one payment, and it’s on her house, which she hopes to have paid off in 10 years, by the time she’s 40.

 

NOW REMEMBER,   TOM’S HOUSEHOLD INCOME AND JENNY’S HOUSEHOLD INCOME ARE EXACTLY THE SAME. THEY JUST MANAGE THEIR INCOME RADICALLY DIFFERENTLY.

 

 

 

Outcomes, Action Points: 

Homework

Talk to your parents about if they had their financial lives to do over again. What would they do the same? What would they do differently? Think about their answers. Do you agree or disagree? Bring back their responses.