Bell Ringer You ordered a meal at Taco

Bell Ringer You ordered a meal at Taco Bell for you and your date. The total of the meal was $21. 07. You gave the cashier $30. 00. How much change will you receive?

Bell Ringer Answer $30. 00 – $21. 07 = $8. 93

Agenda • Announcements / Attendance – (4 mins) • Introduction to Savings – (2 mins) • Dave Ramsey Video – (11 mins) • Follow along and take notes in your workbook • Clay’s Candy Bar Madness – (10 mins) • Dave Ramsey Video – (13 mins) • Follow along and take notes in your workbook Impact of Daily Decisions Activity

Clay’s Candy Bar Madness • As the bag of candy is being passed around, please only take 1 piece. There is only enough candy for 1 person. DO NOT EAT UNTIL I GIVE YOU PERMISSION!

Candy Percents Candy Butterfingers Smarties Dums Jolly Ranchers Milky Ways Percentage of Students 2% 10% 70% 16% 2%

Reality Tastes Kind of Sour Candy Butterfingers Smarties Dums Jolly Ranchers Milky Ways People Group Millionaire's Club Debt Free and Living Large Normal, Broke, Busted, and Disgusted Bankrupt: Zero, Zilch, Nada (“The American Dream) Death by Visa: Mounting Pressure and Debt

Butterfinger: Millionaire’s Club • Statistically speaking, you represent a portion of society that adheres to a financial game plan, avoids debt, invests early, and is wise with their resources. 2% of Americans

Smarties: Debt Free and Living Large • You’ve paid for your college education, your car, and your house-and you have a fully funded emergency fund. • You live within your means, save, and pay for things with cash. • You started saving for retirement a little late, but other than that you’re looking good. 10% of Americans

• • Dums: Normal, Broke, Busted, and Disgusted 23 year old college graduate Total debt is $45, 000 (car $21, 000; school loan $20, 000; credit card $4, 000) Annual Income: $40, 000 Monthly Take-Home Pay: $2, 500 Total Monthly Expenses: $2, 125 You’ll have to save for three months to get over $1, 000 in the emergency fund. It will take you 10 years to pay off your student loan and five years to pay off your car and credit card by making only the minimum payments. 70% of Americans

Jaw Breakers: Bankrupt! Zero, Zilch, Nada (The American Dream) • • • Married, 28 years old, 2 kids, and a dog. You are your spouse bring debt to the marriage total $85, 400. (Car loans- $42, 000; School Loan- $35, 000; Credit Card - $8, 400) Annual Income = $80, 000 Monthly Take Home Pay = $4, 700 Total Monthly Expenses = $4, 555 You’ll have to save ore than seven months to get over $1, 000 in the emergency fund. It will take you a minimum of 10 years to pay off your credit card, 15 years to pay off your student loan, and you will always have a car payment because you can’t save up for one given your current expenses. 12 years from now, you have no money in the bank and the kids need to go to college. You can’t make it, file bankruptcy, and most likely divorce. 16% of Americans

Milky. Way: Death by Credit Card Debt • Same as the “American Dream” but add another $100, 000 in debt (credit cards, mortgage, cars, boats, furniture) • Under all the pressure you may lose hope and commit suicide. 2% of Americans

The Impact of Daily Decisions Fill in the missing blanks by computing the daily and monthly cost of each item listed. (Use 30 days in a month) • Make your own chart by evaluating your frequent expenses and computing the daily and monthly cost. • Go to daveramsey. com/investingcalculator and use the advanced version to figure out the future value of your expenses if you invested that money for 30 years. • Answer the additional questions on the worksheet. • Turn in to the tray upon completion. •

• Example of Investing Calculator