Enter Family Tree Information

Open Ancestra Quest 14 and click on "Use Ancestral Quest Basics" -- this is a free program which you can download from the Ancestral Quest web site.

To begin a new family tree file...

• Click the "New" button 
• Locate your folder on Thawspace
• Enter a File Name (i.e. Obama) and click "Create"
• Close the little advertisement windows.
• Begin entering your family tree information (starting with yourself if you are doing your own tree)

 Some of the questions you may have:

• Surname:  This is your last name (i.e. mine is Griffith)
• Given Names:  This is your first and middle names (i.e. mine is Robert James)
• Gender:  If you know the gender, enter Male or Female.  Occasionally you will find a person in a tree that you aren't sure of.  In that case, do "Unknown".
• Nickname:  This could be something like "Tiny" or "Bubba" or "Griff".  It helps later to keep track of these because that could be a name they gave to a census taker, a survey, or on a form they filled out.
• Title (Prefix):  This would be something like Dr., Sir, etc.
• Title (Suffix):  This would be things like Jr., Sr., III, Esquire.
• Death/Burial:  These are both here because sometimes someone will pass away and their wish is to be buried somewhere else.  My grandmother, for example, passed away in Ukiah and wished to be buried in a family plot in the Central Valley.
• Add Other:  If you choose, you can add other events like Baptism, Bar Mitzvah, Degree, Graduations, Naturalization, Tribe, Occupation, etc.

For now, just enter the main data (names, birth, death, marriage) and fill up as much as you can.

Next, click "Save" and it will take you do a Family window with yourself highlighted and waiting for you to enter your parents information.  You can easily enter your parents information here.

Notice on the top of the page you can view different tabs, including Pedigree, Family (currently selected), Name List, Individual, and Timeline.  Note: Individual and Timeline don't work in the free version.

Begin Online Research

Today we're going to begin a graciously donated 3-month trial to Ancestry.com. Go to:  http://www.ancestryinstitution.com/ and begin entering some of your ancestral information.  I will guide you through the process, but it's fairly self-explanatory.

Begin Outlining Family Trees

Begin outlining your family trees.  Use this period to call or text family that might have the answers to your missing pieces.

Dave Ramsey: Wealth Building and College Savings

Watch Dave Ramsey: Chapter 3, Part 4 (Social Security) and answer the following with Microsoft Word:

1. Why should you plan for retirement and NOT rely on Social Security? (1 paragraph)
2. Baby Step 1 is _______________ in the bank. 
3. Baby Step 2 is ___________  ____________.
4. Baby Step 3 is ________________ months of expenses in an emergency fund.
5. Baby Step 4 is investing ____% of your household income in both ____ ____'s and pre-tax __________ plans.

Watch Dave Ramsey: Chapter 3, Part 5 (Save for College) and answer the following with Microsoft Word:

1. Baby Step 5 is: ________________________________________________.
2. Never save for college using ______________________________________.
3. Never save for college using _____________________ bonds.  (Only earns 5-6%)
4. Never save for college using _________________ tuition.
5. Save for college by first using Education Savings Accounts (ESA), nicknamed "Education _________."
6. You may save $________ (after tax) per year, per child, that grows tax free.  So if you start when your child is born and save $2,000 a year for 18 years, you would only invest a total of $________, but at 12% growth your child would have $___________ for college.  TAX FREE!

Advance video to 8:00.

1. Never save for college using _________________.
2. Never save for college using ______________ bonds.  (Only earns 5-6%)
3. Never save for college using _____________ tuition.

Bonus Video:

1. _____________ tuition is cheaper than going to a school _______________.
2. What are some ways someone could go to college if they don't have a savings account to pay for school?  (1 paragraph)

Homework: Family Tree Research

Each year I have students do some family tree research before we do the marriage and family unit.  Since we're working toward finishing the finance portion of the class and working into the independent living / family curriculum, I wanted to get a head start on the family tree project.

Before I explain the project, let me reiterate what I said today [and last week] about the family tree project.  I completely understand why different people refuse to work on the family tree project.  Some of us are [or were] estranged from family members, some are adopted, some recently lost family members so talking about them is too difficult, and some don't want anything to do with one parent [or either of them].  I do understand.  If you would like to do an alternative project (researching the family tree of a movie star, scientist, or athlete -- or just helping a friend with their research) you can talk to me and we'll set something up.

I do the project for different reasons:

• We learn communication skills
• We learn history
• We learn research methodology
• We learn geography
• We are connected with our past
• We get a better understanding of who we are, where we come from, and where we might be going.

We begin with two forms -- I gave you one Ancestry Chart and 7 Family Group Sheets.  The Ancestry Chart is a quick reference guide for you and every direct ancestor through your great-grandparents.  Begin by placing your name on the left (single) person and then continue by adding your parents in the next level (father on top and mother on the bottom).

Click either of these to print another copy:

My suggestions [and they vary for each situation] are to do the following:

1. Enter as much information as possible yourself -- in pencil is best.  
2. When you have entered as much as you [think you] know, ask each parent to look over your work.
3. When each parent is finished with the page, ask all grandparents.
4. If you are blessed to have great grandparents, definitely ask them for as much information as possible.  
5. Ask everybody that you interview:
1. the names of their parents
2. the name of their grandparents
3. if they remember their great-grandparents names -- or where they came from.  
4. middle names of family
5. where they got their name (it may be a grandmothers name, an uncles name, etc.)
6. names of their aunts and uncles
7. when they came to Kelseyville... or California... or the United States... or wherever.
8. if they have pictures of their parents, grandparents or great grandparents
1. (If so, I recommend taking a picture of the picture)

We will be doing some online computer research in a couple weeks using services such as Ancestry.com to find missing pieces of your family tree.  Again, some of you may have fully filled-in family trees and some of you may not have anything.  I'm not grading you on how much you find -- just on how much you TRY.  

Some people have professional artists draw up their family trees.

Home Price Trends

We have talked a little bit about real estate as an investment.  Today we are going to explore that briefly, and tomorrow we will continue discussing differences in investments and diversification.

Sacramento Housing Prices

Looking at Home Prices: Follow these steps to research a homes value

1. Let's take a look at the web site Zillow -- a site built to let people see what use to be secret information shown only to real estate sales people.  Here's a link to my house on Zillow: (CLICK HERE).  
2. First, look at how the page is set up and see what information is available for my neighborhood.  
3. Next, look at the graph showing the homes value.  Click on "10 years" to view the 10-year history (if not already selected).
4. You can see the housing market "crash" in Kelseyville by looking at this graph.  You can see where the previous owners bought [and lost] the house and where my family bought the house.  This is why having a basic understanding of how the housing market works can help you.
5. Check your address [or a friend/family members] and see what their house value has done.
6. Write a paragraph giving me your expectation of what the housing market will do in the future.  Will it go up or down?  Why do you believe that?
7. Write a paragraph discussing how real estate investments are similar and different from other types of investments (like precious metals, the stock market, etc.)

Types of Investments

Today and tomorrow we will be watching a section of Dave Ramsey's video on Types of Investments and discussing what different types of investments mean.

First, check your Market Watch game here: http://www.marketwatch.com/game/khs2014 


Using Microsoft Word, answer the following questions:

Money Markets

• A C.D. is a __________ __ ___________, typically at a bank.
• Money market mutual funds are ____________ risk money market accounts with check writing privileges. 
• These are great for __________ _________.

Single Stocks

• Single stock investing carries an extremely _______ degree of risk.
• When you buy stock, you are buying a small piece of __________ in the company.
• Your return comes as the company increases in _________ or pays you, its owner, some of the profits (_______________).

Bonds

• A bond is a _________ instrument by which the company owes _______ money.
• Your return is the fluctuation in price and the _________ rate paid.  
• Few individuals do well with _______ _________ purchases.

Mutual Funds

• Investors pool their ___________ to invest.
• Portfolio managers manage the pool or ___________.
• Your __________ comes as the ____________ of the fund is increased.
• Mutual funds are good ____________ term investments.

Real Estate

• Least ________ consumer investment.
• You should have lots of ________ before using real estate as an ______________.

Annuities

• Annuities are _______ accounts with an _________ company.
• _______ annuities are at a low interest rate of around 5%, aren't really fixed, and are a ________ investment.
• _______ annuities are mutual funds sheltered by the annuity covering, thereby allowing the mutual fund to grow tax-deferred.

Horrible Investments

• Gold
• _______ & Futures
• Day __________
• Viaticals

Diversification and Dollar Cost Averaging

You probably remember our discussions of the importance of diversification when investing.  It follows the idea of "Don't put all your eggs in one basket" -- meaning if you put all of your eggs [investments] into one basket, and that basket gets destroyed, you lose everything.  By putting a some of your eggs in one basket [savings], some of your eggs in another basket [individual stocks], some of your eggs in another basket [mutual funds] and some of your eggs in another basket [real estate] -- you are more stable in the long run.

Today we are going to begin discussing Dollar Cost Averaging -- a process by which you buy a regular dollar amount worth of something [i.e. a mutual fund] at regular intervals [i.e. monthly] regardless of the price at that time.

For example: Imagine that you are going to invest $100 per month in a certain stock.  This month the stock is at $10 per share so you will be able to buy 10 shares.  Next month the stock is at $11 per share so you will only be able to buy 9.09 shares.  The following month the stock drops to $9 per share so you are able to get 11.11 shares.  In month 4 the stock is up to $16 so you can only afford 6.25 shares.  You now own 36.25 shares of stock worth an estimated  $580 -- and you have invested only $400.  Obviously if stocks suddenly dropped back to the $10 per share where you started, your stocks would only be worth $362.50, but the stock market has a pretty strong track record of upward movement over time.  Even so, don't forget the concept of diversification... and don't invest money you can't afford to lose.

Now I always suggest consulting multiple sources of information prior to investing.  Here's an example of reasons NOT to use Dollar Cost Averaging.  I disagree with his reason, but it's good to listen to varied opinions.

Stock Market Questions

Before we begin today, go ahead and check your stock portfolio at: http://www.marketwatch.com/game/khs2014

Don't forget to turn in your stock pick paper from Monday.

Define the following in your own words:
(Don't print yet -- we have more questions at the end)

• Stock
• Stock Market
• Stock Symbol
• Dividend
• Investing
• Diversifying

Now let's look at some of the basics of the Stock Market:

What is stock?  A stock represents a share in the ownership of a company.  If you own a company's stock, then you are an owner [or shareholder] of that company.  A stock represents a claim on the company's assets and profits.  A stock is also known as equity.

The ownership percent of a company that you own is calculated by dividing the number of shares a person owns by the number of shares of stock outstanding.  For example:

• 1,000 shares owned
• 10,000 shares outstanding (total number of shares available)
• 10% ownership of the company

Remember, investing in individual stocks is not necessarily the best investment choice for most people.  I think you will find by watching our classroom stock challenge that investing is a difficult way to make a profit.  For most individuals who want to invest in the stock market, low priced index funds provide a low cost and more simple way to invest in a diversified portfolio of stocks.

Ownership of stock use to be represented by a stock certificate.  These days, when you buy a stock of a company, you usually do not get the actual stock certificates any more.  Instead, your ownership is tracked electronically, making it easier to buy and sell shares.

So when you have stock and ownership of a company, what can you do with it?  Not really very much.  You will benefit when the price of the stock goes up, or lose if the price goes down.  As a part-owner of the company, you are given the right to vote for the company's board of directors.

Another way you may benefit is if the company pays dividends.  Dividends represent a percent of the company's profits, and is paid to the shareholders.

Buying stock can be risky.  Although stock prices can go up, they can also go down.  And if the company goes bankrupt, you could potentially lose all of the money you invested in the stock.

If you are interested in learning more, The Wall Street Journal has a free booklet available to explain some of the basics of using the Stock Market: http://www.wsjclassroomedition.com/pdfs/stock_guide.pdf

While watching the Dave Ramsey video on Savings and Investing, answer the following questions:

• Never invest purely for _____________  _____________.
• Never invest using ______________ money.
• _______________ means to spread it around.
• Diversification ______________ risk.

Researching Individual Stocks

Today we will complete our Individual Stock Research project.  You are finding 9 stocks that are interesting to you which you will be using when we begin our Virtual Stock Exchange project.

We will also be discussing what the "range" means (52-week low/high) and what the news has to do with stock value.

Before you join our Stock Market Simulation, make sure you understand the rules.  You will receive $10,000 in virtual money (no, you don't get to keep it) to invest in stocks as low as $.50 in value.

You can join via Market Watch here: http://www.marketwatch.com/game/khs2014 (password: knights)

If you are required to join Market Watch, know that you don't have to provide much detail.  I gave them my real email address (which you will need to verify the account) and I set both my occupation and industry as "Education."  I gave them a birth year, but that's really not their business either.  Finally, note that I un-checked all of the "Newsletters and Alerts" and "Communications preferences" boxes.

There are a variety of strategies for "playing the market" -- and millions of dollars are made every year on books telling you how to do it.  The strategies are endless.  Some suggest investing in "penny stocks" -- others in "blue chip stocks".  Some tell you to buy when a stock has taken a total nosedive and some will tell you to buy when it's on its' way up.  Some tell you to invest in one risky stock and others advise you to diversify your investment.  There's no "right way" to invest in the stock market.  It's all at risk.

For my challenge (since it's not real money) I went to look for cheap stock [you can buy more stocks that way] but I wanted a large company.  I found an article for "Billion Dollar Companies With Stocks Under $10" here: http://www.cnbc.com/id/44962045/Billion_Dollar_Companies_With_Stocks_Under_10

The problems with having large numbers of low dollar stocks is that the value of your portfolio is more volatile.  I went from being in first place in our Stock Market Challenge to almost last place... and back to first within an hours time.

Griff is Out Sick Today

Hi Guys -- sorry to be out again.

Today I would like you to continue looking up your stocks and decide which stocks you would buy if you had the money.  Imagine you had $10,000 in cash to buy stocks.  How would you divide it up?  A few really great stocks?  A lot of really cheap stocks?  Would you "diversify"?

What other sorts of investments are there besides the stock market?  Do a little research and we will discuss it tomorrow.

The Basics of Investing

Today we will begin discussing investment strategies and the Stock market:

• Today we will watch a brief cartoon about how the New York Stock Exchange works.  It's a bit choppy in parts, but I think it's a great explanation of how the Stock Exchange works -- and has worked since the cartoon was made... about 60 years ago!

• Finally we will begin researching individual stocks that you have an interest in.  For example, if you wear a certain clothing brand, drink a certain beverage, or play a particular video game, those might give you some places to start.  
• Go to http://finance.google.com
• Find 9 different stocks that you have an interest in
• Complete the following information about your stocks (you will receive a worksheet -- or you can download a copy here)

Individual Stocks:

• Company Name:
• Stock Symbol:
• Current Stock Value: $
• 52-Week Low: $
• 52-Week High: $
• News about this company: 

Make a note on your page about which stocks seem like they have the most earning potential -- and explain why.