Unit 4
What can I do with my money?
This unit will encourage the learner to be more aware of their spending habits and highlight the difference between needs and wants.
Aim
The learner will identify where they spend their money, know the difference between things they need and things they want and can prioritise spending according to their needs.
Objectives
- 4.1 The learner will explore how they spend their money
- 4.2 The learner will be able to distinguish between things they need and things they want and will learn about prioritizing
- 4.3 The learner will learn how to track their spending using a spending diary
Facilitator Resources
- Flipchart
- 4 different coloured markers
- Sellotape
- Various printed images from Bank of Images
- Spending Diaries for distribution at end of session
Facilitator should note that the learners need ONE WEEK between being given the Spending Diary and commencing Unit 5 – this week allows the learner the necessary time to track his / her own spending
Inform each of the learners support persons that assistance may be needed with filling in their Spending Diary throughout the week.
IT Resources
- Interactive Activities
- Bank of Images
At the offset ask the group to navigate their way to Activity 2.2.1 to play the coin / note recognition game.
The learner will explore how they spend their money
Discuss with group the importance of recognising their spending habits and making provisions for such spending. Invite the group to name things they spend their money on, looking at the item rather than at amounts. As always, it is important that no judgements are made on people’s spending habits.
As a next step, invite the group to look at items that they purchase, identifying whether they purchase them daily, weekly, monthly or yearly. Use the images that you have printed to assist the group in identifying such items. Record each item on the flipchart, using a different colour to represent whether the purchase is daily, weekly, monthly or yearly. Smaller items that are bought regularly are possibly easily paid for; larger items, which are purchased less often, may often need to be saved for.
The learner can distinguish between things they need and things they want and can prioritise
Invite the learners to navigate their way to Activity 4.2 to the Needs and Wants activity. Ask the learner to select from various pictures / word bubbles and ask them to put each one into the appropriate box (Need or Want) – is the item or service a necessity or a desired item.
The group may encounter some difficulties, as there are no hard and fast rules on needs and wants – they are personal and change over time. Go through some examples with the group including things we MUST pay for – our rent, our bills, our food, our debts, our way, and so on.
The learner knows how to track their spending using a spending diary
DOWNLOAD AND PRINT THE FOLLOWING
Invite the learners to look at the Spending Diary. Explain to the group that the purpose of a Spending Diary is to record spending each day for one week.
Explain that they need to record all the money they spend throughout the week e.g. bills, kitty, coffee, sweets, phone credit, etc. Invite the group to use the Bank of Images to assist them in recording their spending habits.
They will then add up all of their expenditure – some participants may need assistance with this when they return to the session the following week.
Ask them to complete his / her own Spending Diary (hand out printed copies) for one week, bringing it back for the next session.
Remind the learner that this is personal – it is for their own use and they do not have to show it to anyone.