Session 2: Financial Planning for Janella (Part One

AFTER SESSION 1: Important Activities Before Session 2

Before dismissing the class, each week make sure to ask students to spend time on the following activities over the coming week, before Session 2. (This list appears in the Student Workbook)

1. Create a stock portfolio on Yahoo! Finance - • www.finance.yahoo.com/portfolios/ • You will need to create your own username and password. (But if you already have an existing account for other Yahoo! services, such as Yahoo! Mail, you can log in with that account.) Then, click on “My Portfolio” on the upper left side and set up the RTSWS portfolio and RTSWS watch lists.

• This is what we are following this year - Amazon (AMZN), Clorox (CLX), Netflix (NFLX) stock and the iShares Nasdaq Biotechnology ETF

2. Thoroughly review and get to know the key terms below. We want you to remember these long after RTSWS is over and all students will be taking a post-assessment in Session 5 to see how much you’ve learned. So make sure to study these!

3. Follow Rock The Street, Wall Street on our social media accounts, which you will find after the Review of Key Terms.

Please remember to take a few photos of the students and / or volunteers during the sessions and send to:

pictures@rockthestreetwallstreet.com

OBJECTIVE

Students will be able to understand how to read a paycheck and explain the purpose of budgeting. • Fixed Expense

SESSION PLAN

Take weekly attendance

Take weekly attendance via Survey Monkey as students enter the classroom. Welcome the students and make sure any new volunteers introduce themselves. (2 minutes)

Review learning objectives and key terms

Briefly go over the learning objectives and key terms in

the student workbook. Have the students read these out loud. For the key terms that are difficult to understand, explain these in more detail to students and provide examples if possible. (5 minutes)

4.

Pull up Yahoo! Finance

If accessible, use classroom technology to pull up Yahoo! Finance and display on a screen. If not, print this out ahead of time showing AMZN, NFLX, CLX, and IBB or have students pull up their Yahoo! Finance portfolios on their phones. Review the portfolio performance (AMZN, CLX, NFLX, and IBB) over the past week. (5 minutes)

Introduce the girls to the task of budgeting

Introduce the girls to the task of budgeting. Ask students to think about the purpose of budgeting. Why is it important to budget? Where have they heard the term before? In what

KEY TERMS FOR SESSION 2

contexts? (3 minutes) • Variable Expense • Occasional (or Periodic) Expense • Budget

• Retirement Accounts

Before you begin, please be sure you have the following:

Have the classroom’s wifi

network name and password

on the board before class begins

Survey Monkey attendance link can be found at: surveymonkey.com/

Split up the students for the Financial Planning activity

Split the students into small groups of four or more for the Financial Planning Activity. Once situated, have students turn to their student workbooks and go over the Financial Planning napkin.

Then inform the students they have been hired by Janella Sims, a 28 year old professional, to create a budget for her and provide financial planning assistance. Janella just got a new job with an annual salary of $68,000. Ask the students what they think Janella does for a living to earn this salary. Be aware of stereotyping in career fields that may arise in discussion. Please remember to Assume there is no statewide tax in her state. Have one take a few photos of volunteer go around and write down student names for the students and / or the groups to help them remember for next session (5 minutes) volunteers during the sessions and send to: pictures@rockthestreetwallstreet.com

Janella’s Pay Stub activity

Direct students to go to Janella’s Pay Stub Activity in the student workbook and read the directions. Go through the article together as a class making sure to pull out the key points. Then continue on to analyze Janella’s pay stub. Ask students to pull out the important information from Janella’s pay stub and what they mean. Ex. What is Janella’s gross pay and net pay? Which one goes into her bank account every two weeks? Then briefly go over the bullet points we’ve provided at the bottom. (15 minutes)

Continue on to the Financial Planning activity

Continue on with the Financial Planning Activity. Volunteers, please explain this activity to the students before they start working on it in groups and allow students to ask questions and take notes.

Then direct students to Janella’s Budget Worksheet. Students will work in their groups to research expenses online and complete the budget for Janella — including the type of expense and the amount they want to put aside for that item.The Instructor can change the prescribed expenses on the worksheet based on where they live.

Students should be aware of the difference between Janella’s wants and her needs. Students should use the remaining time to get started. There will be time at the start of Session 3 to finish the budget. (15-20 minutes)

Seven Retirement Planning Mistakes Millennials Are Making

Ask the students to think about Janella’s expenses between now and their next session. If time allows, read the Forbes article, “Seven Retirement Planning Mistakes Millennials Are Making (And How They Can Get Back On Track)” as the challenges pertain to Janella’s scenario. In Session 3, the students will spend time in their small groups further collaborating over Janella’s budget. (3 minutes)