NEEDS VS. WANTS WORKSHEET One way to help you spend wisely is to separate your needs from your wants, and to spend money primarily on your needs. You probably understand that, for example, groceries are a need and dining out is a want. But some nights, after cramming for a test or working late, takeout is sure to feel like a need. Maybe food is a need in that instance, but ordering takeout is a want. List some of your needs in the spaces below. Write down some of your regular expenses and then consider whether they are truly a need or if they are a want. SAvINGS GOAL WORKSHEET List your short-, medium-, and long-term savings goals. Include a target achievement date, total cost, and the amount you'll need to save each month to reach your goal. A short-term goal generally will takes 3-6 months, a medium-term goal will take less than 3 years, and a long-term goal will take 3 or more years to achieve. Be sure to include some strategies you will employ to achieve each of your goals. You will be completing the following twelve (12) worksheets that will comprise the bulk of your Personal Financial Plan. 1. Monthly Budget 2. 10 Steps to Balancing Your Checking Account 3. Determining Your Annual Net Cost 4. Emergency Fund Worksheet 5. Needs vs. Wants Worksheet 6. Savings Goal Worksheet 7. DECIDE Worksheet 8. Home Inventory 9. Identity Fraud Crisis Checklist 10. Spending Detective Worksheet 11. SMART Goals Worksheet 12. Future Aspirations Worksheet USE ALL THAT YOU HAVE LEARNED IN THIS COURSE AND IN CASHCOURSE, AND RETURN TO CASHCOURSE, AND REVIEW MANY OF THE "TOPICS" FOUND THERE. Monthly Budget Fill in the worksheet as directed. List ALL of your income (revenue) at the start, then categorize and list ALL expenses. The goal is that your income should (must) exceed expenses. 10 Steps to Balancing Your Checking Account Fill in all blanks as notated. Refer to what you learned in CashCourse and your textbook. The goal is to derive the "TRUE" cash balance instead of the balance reported in your bank statement or cash ledger account. Determining Your Annual Net Cost Fill in the blanks. The goal is to examine the COSTS of your education vs. the "income' you receive in the form of grants, loans, scholarships, etc. Emergency Fund Worksheet Your first budget priority should be to set aside money in an emergency savings fund. The goal of this worksheet is to calculate how much you should save for three months' worth of basic expenses. This money will allow you to pay for an unexpected expense-such as a medical bill, a large car repair, or a new computer if your old one dies suddenly - without going into debt. Keep this moncy in a separate savings account from your general savings. THERE IS USEFUL INFORMATION ON THE CASHCOURSE Needs vs. Wants Worksheet If you want to be able to save money and live on a budget, it helps to clearly understand the difference between your needs and your wants. You probably understand that, for example, groceries are a need and dining out is a want. But some nights, after cramming for a test or working late, takeout is sure to feel like a need. Maybe food is a need in that instance, but ordering takeout surely is a want. And think about all the technology that you like to use. A phone is a need for personal safety and communication, but buying a new smartphone every two years could be a want. When you have a laptop, do you need a tablet, too? When creating a spending plan and trying to live on limited funds, it's helpful to carefully consider what is a need and what is a want. And your definitions can change over time. Needs vs, Wants Worksheet If you want to be able to save money and live on a budget, it helps to clearly understand the difference between your needs and your wants. You probably understand that, for example, groceries are a need and dining out is a want. But some nights, after cramming for a test or working late, takeout is sure to feel like a need. Maybe food is a need in that instance, but ordering takeout surely is a want. And think about all the technology that you like to use. A phone is a need for personal safety and communication, but buying a new smartphone every two years could be a want. When you have a laptop, do you need a tablet, too? When creating a spending plan and trying to live on limited funds, it's helpful to carefully consider what is a need and what is a want. And your definitions can change over time. Use the Needs vs. Wants Worksheet to write down some of your needs and wants, and then look carefully at what you've listed. Are the needs really needs, or can you move them to the wants category? Now, review your list and think about what's really important to you and has lasting value: - Do you really need or want everything on your list? Put stars next to the items that are particularly important to you. - Are some needs closer to being wants? Cross off the least important wants. - Decide if each item makes sense. If not, cross it off or change it to the category that is more reasonable. Being able to distinguish between needs and wants is an important step to achieving financial goals and attaining financial independence. Limit your spending to the things that matter most and use the rest of your money to power your financial future. Savings Goal Worksheet List your short-, medium-, and long-term savings goals. Include a target achievement date, total cost, and the amount you'll need to save each month to reach your goal. A short-term goal generally will takes 3-6 months, a medium-term goal will take less than 3 years, and a long-term goal will take 3 or more years to achieve. Be sure to include some strategies you will employ to achieve each of your goals. If you are ready to kick-start your savings plan, begin by investigating the many savings options available to you: a standard savings account, a money market account, a U.S. savings bond, or a certificate of deposit. Be sure to understand the pros and cons of each savings method before deciding which is best for you: 1. Savings accounts are offered by banks and credit unions. They offer low minimum balances and are considered among the safest places to put money. 1. Savings accounts are offered by banks and credit unions. They offer low minimum balances and are considered among the safest places to put money. Pro: They earn a guaranteed rate of interest, can be government insured, and usually make it casy to withdraw moncy. Con: Standard savings accounts typically offer the lowest interest rate compared with other methods of savings. 2. Money market accounts are offered by many banks and credit unions. They work like checking accounts and typically pay a higher rate of interest than savings accounts. Pro: You can take out money at any time, usually without a penalty. Con: They may require a high minimum monthly balance- $1,000 to $10,000 to avoid fees. Additionally, you may be able to write only a limited number of checks during each statement cycle. 3. U.S. savings bonds enable you to loan your money to the government and, in turn, the government agrees to pay you a specific interest rate over a period of one to 30 years. At the end of that period, you get back the full amount of your initial loan. Pro: Savings bonds interest rates are typically higher than interest rates for savings accounts. Con: If you cash in your savings bonds within five years of purchase, you are subject to a penalty of three months' interest. 4. Certificates of deposit (CDs) enable you to loan your money to a bank or credit union for a set period of time-typically three months, six months, one year, two years, or longer. Pro: The bank pays a set interest rate on your money over that time, adding it to the initial amount of the CD in increments. When the CD "matures" (reaches the end of the agreed-upon time period), the bank returns the full amount plus the accumulated interest. The rate can be higher than for savings accounts. Con: To earn a higher interest rate, you have to agree to a longer maturity date. If you take out money before the maturity date, you may have to pay a penalty. DECIDE Worksheet Think about any 'major' decision you recently made (or better, will soon be making). USE THIS "DECISION" AS THE BASIS FOR for your worksheet. Home Inventory One of the easiest and most important things you can do to protect your property is to document what you own. In addition to recording serial numbers, descriptions and projected values, it is a good idea to photograph or take video of your possessions as proof of ownership. Document the approximate value, or better, replacement cost of each item. Get a professional appraisal of valuable items such as artwork, jewelry and antiques. Tip: There is no need to list every single item you own, but at least record the items of significant value. Update your inventory on a yearly basis. Spending Detective Worksheet Do you ever feel like your money seems to leak out of your pockets and right down the drain? Perhaps you start out the week on a Sunday with $40 in your wallet, and by Wednesday afternoon you realize it's gone - and you have nothing to show for it. Where does it go? Watch Yourself Spend Keeping track of your spending activities throughout the day can help you be more mindful of where your money is going. You can use a small notebook, save notes in your cellphone, or enter receipts into an Excel spreadsheet at the end of the day. This will help you pinpoint where those small expenditures are going and how they add up. If you mark down small purchases as you make them, you will cease to feel like they are something that magically "happens" to you and you will reveal those impulse buys for what they really are: spending leaks. SMART Goals Worksheet Improving your financial life requires planning, and that starts with setting goals that are Specific, Measurable, Achievable, Realistic and Time-bound (SMART). Identify Short-Term Goals (1-3 years), Medium-Term Goals (3-5 years), and Long-Term Goals (5-10 years). REFER TO THE EXAMPLES PROVIDED IN THIS WORKSHEET. Future Aspirations Worksheet We all want something different for our future, and the concept of future is different for each of us. What will yours look like? Mark a time frame for each "future" concept below, or apply these time frames to your own list of aspirations. use a small notebook, save notes in your cellphone, or enter receipts into an Excel spreadsheet at the end of the day. This will help you pinpoint where those small expenditures are going and how they add up. If you mark down small purchases as you make them, you will cease to feel like they are something that magically "happens" to you and you will reveal those impulse buys for what they really are: spending leaks. SMART Goals Worksheet Improving your financial life requires planning, and that starts with setting goals that are Specific, Measurable, Achievable, Realistic and Time-bound (SMART). Identify Short-Term Goals (1-3 years), Medium-Term Goals (3-5 years), and Long-Term Goals (5-10 years). REFER TO THE EXAMPLES PROVIDED IN THIS WORKSHEET. NEEDS VS. WANTS WORKSHEET One way to help you spend wisely is to separate your needs from your wants, and to spend money primarily on your needs. You probably understand that, for example, groceries are a need and dining out is a want. But some nights, after cramming for a test or working late, takeout is sure to feel like a need. Maybe food is a need in that instance, but ordering takeout is a want. List some of your needs in the spaces below. Write down some of your regular expenses and then consider whether they are truly a need or if they are a want. SAvINGS GOAL WORKSHEET List your short-, medium-, and long-term savings goals. Include a target achievement date, total cost, and the amount you'll need to save each month to reach your goal. A short-term goal generally will takes 3-6 months, a medium-term goal will take less than 3 years, and a long-term goal will take 3 or more years to achieve. Be sure to include some strategies you will employ to achieve each of your goals. You will be completing the following twelve (12) worksheets that will comprise the bulk of your Personal Financial Plan. 1. Monthly Budget 2. 10 Steps to Balancing Your Checking Account 3. Determining Your Annual Net Cost 4. Emergency Fund Worksheet 5. Needs vs. Wants Worksheet 6. Savings Goal Worksheet 7. DECIDE Worksheet 8. Home Inventory 9. Identity Fraud Crisis Checklist 10. Spending Detective Worksheet 11. SMART Goals Worksheet 12. Future Aspirations Worksheet USE ALL THAT YOU HAVE LEARNED IN THIS COURSE AND IN CASHCOURSE, AND RETURN TO CASHCOURSE, AND REVIEW MANY OF THE "TOPICS" FOUND THERE. Monthly Budget Fill in the worksheet as directed. List ALL of your income (revenue) at the start, then categorize and list ALL expenses. The goal is that your income should (must) exceed expenses. 10 Steps to Balancing Your Checking Account Fill in all blanks as notated. Refer to what you learned in CashCourse and your textbook. The goal is to derive the "TRUE" cash balance instead of the balance reported in your bank statement or cash ledger account. Determining Your Annual Net Cost Fill in the blanks. The goal is to examine the COSTS of your education vs. the "income' you receive in the form of grants, loans, scholarships, etc. Emergency Fund Worksheet Your first budget priority should be to set aside money in an emergency savings fund. The goal of this worksheet is to calculate how much you should save for three months' worth of basic expenses. This money will allow you to pay for an unexpected expense-such as a medical bill, a large car repair, or a new computer if your old one dies suddenly - without going into debt. Keep this moncy in a separate savings account from your general savings. THERE IS USEFUL INFORMATION ON THE CASHCOURSE Needs vs. Wants Worksheet If you want to be able to save money and live on a budget, it helps to clearly understand the difference between your needs and your wants. You probably understand that, for example, groceries are a need and dining out is a want. But some nights, after cramming for a test or working late, takeout is sure to feel like a need. Maybe food is a need in that instance, but ordering takeout surely is a want. And think about all the technology that you like to use. A phone is a need for personal safety and communication, but buying a new smartphone every two years could be a want. When you have a laptop, do you need a tablet, too? When creating a spending plan and trying to live on limited funds, it's helpful to carefully consider what is a need and what is a want. And your definitions can change over time. Needs vs, Wants Worksheet If you want to be able to save money and live on a budget, it helps to clearly understand the difference between your needs and your wants. You probably understand that, for example, groceries are a need and dining out is a want. But some nights, after cramming for a test or working late, takeout is sure to feel like a need. Maybe food is a need in that instance, but ordering takeout surely is a want. And think about all the technology that you like to use. A phone is a need for personal safety and communication, but buying a new smartphone every two years could be a want. When you have a laptop, do you need a tablet, too? When creating a spending plan and trying to live on limited funds, it's helpful to carefully consider what is a need and what is a want. And your definitions can change over time. Use the Needs vs. Wants Worksheet to write down some of your needs and wants, and then look carefully at what you've listed. Are the needs really needs, or can you move them to the wants category? Now, review your list and think about what's really important to you and has lasting value: - Do you really need or want everything on your list? Put stars next to the items that are particularly important to you. - Are some needs closer to being wants? Cross off the least important wants. - Decide if each item makes sense. If not, cross it off or change it to the category that is more reasonable. Being able to distinguish between needs and wants is an important step to achieving financial goals and attaining financial independence. Limit your spending to the things that matter most and use the rest of your money to power your financial future. Savings Goal Worksheet List your short-, medium-, and long-term savings goals. Include a target achievement date, total cost, and the amount you'll need to save each month to reach your goal. A short-term goal generally will takes 3-6 months, a medium-term goal will take less than 3 years, and a long-term goal will take 3 or more years to achieve. Be sure to include some strategies you will employ to achieve each of your goals. If you are ready to kick-start your savings plan, begin by investigating the many savings options available to you: a standard savings account, a money market account, a U.S. savings bond, or a certificate of deposit. Be sure to understand the pros and cons of each savings method before deciding which is best for you: 1. Savings accounts are offered by banks and credit unions. They offer low minimum balances and are considered among the safest places to put money. 1. Savings accounts are offered by banks and credit unions. They offer low minimum balances and are considered among the safest places to put money. Pro: They earn a guaranteed rate of interest, can be government insured, and usually make it casy to withdraw moncy. Con: Standard savings accounts typically offer the lowest interest rate compared with other methods of savings. 2. Money market accounts are offered by many banks and credit unions. They work like checking accounts and typically pay a higher rate of interest than savings accounts. Pro: You can take out money at any time, usually without a penalty. Con: They may require a high minimum monthly balance- $1,000 to $10,000 to avoid fees. Additionally, you may be able to write only a limited number of checks during each statement cycle. 3. U.S. savings bonds enable you to loan your money to the government and, in turn, the government agrees to pay you a specific interest rate over a period of one to 30 years. At the end of that period, you get back the full amount of your initial loan. Pro: Savings bonds interest rates are typically higher than interest rates for savings accounts. Con: If you cash in your savings bonds within five years of purchase, you are subject to a penalty of three months' interest. 4. Certificates of deposit (CDs) enable you to loan your money to a bank or credit union for a set period of time-typically three months, six months, one year, two years, or longer. Pro: The bank pays a set interest rate on your money over that time, adding it to the initial amount of the CD in increments. When the CD "matures" (reaches the end of the agreed-upon time period), the bank returns the full amount plus the accumulated interest. The rate can be higher than for savings accounts. Con: To earn a higher interest rate, you have to agree to a longer maturity date. If you take out money before the maturity date, you may have to pay a penalty. DECIDE Worksheet Think about any 'major' decision you recently made (or better, will soon be making). USE THIS "DECISION" AS THE BASIS FOR for your worksheet. Home Inventory One of the easiest and most important things you can do to protect your property is to document what you own. In addition to recording serial numbers, descriptions and projected values, it is a good idea to photograph or take video of your possessions as proof of ownership. Document the approximate value, or better, replacement cost of each item. Get a professional appraisal of valuable items such as artwork, jewelry and antiques. Tip: There is no need to list every single item you own, but at least record the items of significant value. Update your inventory on a yearly basis. Spending Detective Worksheet Do you ever feel like your money seems to leak out of your pockets and right down the drain? Perhaps you start out the week on a Sunday with $40 in your wallet, and by Wednesday afternoon you realize it's gone - and you have nothing to show for it. Where does it go? Watch Yourself Spend Keeping track of your spending activities throughout the day can help you be more mindful of where your money is going. You can use a small notebook, save notes in your cellphone, or enter receipts into an Excel spreadsheet at the end of the day. This will help you pinpoint where those small expenditures are going and how they add up. If you mark down small purchases as you make them, you will cease to feel like they are something that magically "happens" to you and you will reveal those impulse buys for what they really are: spending leaks. SMART Goals Worksheet Improving your financial life requires planning, and that starts with setting goals that are Specific, Measurable, Achievable, Realistic and Time-bound (SMART). Identify Short-Term Goals (1-3 years), Medium-Term Goals (3-5 years), and Long-Term Goals (5-10 years). REFER TO THE EXAMPLES PROVIDED IN THIS WORKSHEET. Future Aspirations Worksheet We all want something different for our future, and the concept of future is different for each of us. What will yours look like? Mark a time frame for each "future" concept below, or apply these time frames to your own list of aspirations. use a small notebook, save notes in your cellphone, or enter receipts into an Excel spreadsheet at the end of the day. This will help you pinpoint where those small expenditures are going and how they add up. If you mark down small purchases as you make them, you will cease to feel like they are something that magically "happens" to you and you will reveal those impulse buys for what they really are: spending leaks. SMART Goals Worksheet Improving your financial life requires planning, and that starts with setting goals that are Specific, Measurable, Achievable, Realistic and Time-bound (SMART). Identify Short-Term Goals (1-3 years), Medium-Term Goals (3-5 years), and Long-Term Goals (5-10 years). REFER TO THE EXAMPLES PROVIDED IN THIS WORKSHEET
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