Why is Personal Finance an Important Class?

As you have probably heard me say many times, I truly believe that "Life Skills and Personal Finance" is the single most important class you will ever take in high school.  It demonstrates principles of spending, saving, and money management as well as career research and planning and preparing you for living on your own.

Some of the major components of this course include:

• Professional Portfolios: Our first portfolio check was last week.
• Personal Finance: We will be working through budgeting, spreadsheets, etc. and will begin a series of videos by Dave Ramsey, a nationally syndicated financial planning expert. We will also be working through a banking simulation unit using checks, ATM cards, etc.
• Life Skills: These will include renting an apartment, buying a car, looking for roommates, dealing with babies, handling stress, exploring college choices, etc.

Today will be watching a few short video clips by Dave Ramsey.

Before we begin, let's quickly discuss the following:

1. About what percentage of marriages end in divorce? 
2. What is the number one cause for divorce in America?
3. What is the number one cause for male suicide in America?

[Watch: GETTING STARTED > ORIENTATION]

Before the next video let's discuss the following:

1. "Griffs financial experience." or... "Why you should listen to me."
2. "I wish someone had told me..." or... "What would you tell yourself if you could go back in time?"

[Watch: GETTING STARTED > DAVE'S PERSONAL TESTIMONY]

Before watching the next video, let's discuss the following:

1. Have you ever played a game with someone who didn't tell you the rules?
2. Ever have someone change the rules while you were playing because you didn't know any better?
3. Would you like to play a game where those you were playing the game with knew the rules better than you did?
4. How likely is it that you could win a game you didn't know how to play?

This video clip from the movie "Stripes" demonstrates this point:

While watching the next video [Chapter 1: Savings - Part 1] answer the following questions in Microsoft Word -- but don't print yet.  We will continue next week.  (Let me know if we need to pause for a moment or if you have a question.)

1. The best way to become a millionaire is _____________.
2. Baby Step 1 is __________ in an emergency fund.  
3. If you make under $20,000 a year, put ____ in an emergency fund.
4. ___________ must become a priority.  Always pay ________ first.
5. What country saves the most money?
6. The United States has a _________ savings rate.  Which means we are __________ more than we ____________.
7. Saving money is about __________ and ____________.
8. Money is __________________.

Next Week:  Remember the bring in the "Ask Someone Who's Been There" (4 people) page and the "Ask Someone Who Knows: Budget Questions" by Tuesday.

List of References & Begin Organizing Portfolio

LIST OF REFERENCES:  Today we will be creating a list of professional references to put in the main section of our portfolio.  Here is a sample of a "References" page:

___________________________________________

References for

YOUR NAME

John M. Smith

Director of Management

Management Services Division

A. Datum Corporation

25 Brown Street S.E.

Olympia, WA 69847

(770) 555-0199

Lisa Boseman

Director

Consolidated Messenger

207 Oak Street

Buffalo, WA 30047

someone@example.com

(770) 555-0183

Bonnie McJohnson

Management Lead

Graphic Design Institute

One South Plaza

700 W. Elm Street

Central, WA 46204

(770) 555-0155

___________________________________________

PORTFOLIO CHECK:  When I do a portfolio check I will be looking for format, organization, and a variety of documents.  These are the sorts of documents I will be looking for when I do portfolio checks:

Format:

• Nice / Professional Looking Binder
• Sheet Protectors for Important Documents (Section One)
• Corrected / Reprinted Documents

Section One (Your Portfolio):

• Résumé 
• List of References
• Typing Certificate
• Letter(s) of Recommendation
• Awards or Certificates [Optional]
• Transcripts [Optional]

Section Two (Interview / Application Prep):

• Brag Sheet
• Cover Letter: Ad Response
• Cover Letter: Referral
• Cover Letter: Cold Contact
• Follow-Up Letter (To Job Application)
• Thank You Letter (For Interview)
• Sample Job Application (Completed As Reference)
• Handshake Etiquette Handout
• 25 Most Common Interview Mistakes
• 25 Most Common Interview Questions
• Questions to Ask During an Interview
• Extra's (i.e. Notepad, Pen, Breath Mints, Deodorant, etc.)

__________________________________________________________

Requesting a Letter of Recommendation:
During the course of this class we are building our portfolio's to prepare for the future.  An important component to a good portfolio is a "Letter of Recommendation" (or several of them, if possible).  The big question is, "How do I ask for a letter of recommendation?"

• First of all, make your request early:  Give the letter writer two weeks if possible.  The more time the writer has to think about your background and review the information you give him/her, the better job they will do in writing your.
• Assemble the necessary materials:  Include a brag sheet or at least a list of your accomplishments and activities, the abilities or qualities you would like them to focus on, who the letter should be addressed to [if applicable], and a SASE (Self Addressed Stamped Envelope) if the letter is to be mailed back to you.
• Choose good references:  You want to choose someone that has a good reputation, who writes well, who speaks highly of you, and who knows you fairly well.  Think before you ask -- don't ask a teacher for a letter of recommendation if you have a 'D' or 'F' in their class or if they have had to send you to the office for being disruptive.  Think of someone you have impressed or really "been there" for.