Created By: Texas GEAR UP
Grade Level: 7th/8th
Introduction for Educators: We all are well aware that when we receive our paychecks, a portion of it automatically goes to taxes. The government is just one institution that has an affect on how we spend our money.
Financial literacy is key for your students’ preparation for paying for college. By helping them comprehend the institutions that affect their finances, you’re helping them pay for college.
Introduction for Students: When you earn money, it’s all yours, and you can do whatever you want with it, right? Not really. Our society has many institutions that affect how we use money. Understanding them is key to finding the means to pay for college.
The Activity: If you’re going to pay for college, you'll need to understand how money works. Our country has institutions that affect where your money goes, and how much of it you get to see.
Work with your parents, teachers, and friends to understand how the following institutions impact your financial bottom line. Once you have a good understanding of what a word means, write a short description of what the institution is and how it affects your college savings.
You can do an Internet search or use one of the following websites to help you:
Bonus Features: Reflection Question: Why is it so easy for people to overspend when they have a credit card?