You have chosen to complete this assignment with a friend or family member. So, the first step is to determine who that client will be!

Part I: Find a Buddy and a Scenario

Submit to your instructor the name and relationship of the friend or family member who will be your client.

Have your client select the scenario button below. Make sure you send the detailed scenario to your instructor. You will be role playing as the financial advisor and your friend or family member will be the client.

Scenario 1Scenario 2Scenario 3Scenario 4Scenario 5

Your client came to you because he wants to take his family on vacation and needs to save some money. The vacation for his family of four will cost $2,850.

Here is the current situation:

Annual family income after taxes: $74,450

Monthly Expenses:

Car expenses: $1543

Gas: $400

Housing: $2,425

Phones, TV, Internet: $278

Electric, Water, Trash: $350

Credit Cards: $550

Food: $550

Entertainment, Clothes: $400

Note to client: Get in character! Be creative in making up the stories behind the expenses provided. For example, when asked about your car expenses, you could explain that you have four different cars (one for each member of the family) or that you drive one expensive car. The employee working with you will be asking specific questions about each of the expenses here so have fun with the stories!

Part II: Create a Budget

Your goal is to help your client meet their goal! Have a conversation with your client by asking specific questions about their expenses. Your questions and the client's answers are vital to you being able to create a budget that will successfully meet their goal.

Submit the questions and answers from your conversation to your instructor. During the conversation, either take notes or record the dialogue. You can record the conversation(s) using email, instant messaging, voicethread, a collaborative and virtual meeting room, a word processing document with a transcript of the conversation, or other Web 2.0 tool with permission from your instructor.

Part III: Analysis

Were you successful in creating a budget? Did your client walk away happy? Respond to these questions, using complete sentences, to determine your effectiveness at creating a budget.

How successful were you at creating a budget?

Was it difficult to find areas where money could be saved? Why or why not?

Did your client have to compromise with any expenses in order to meet their goal?

What did you feel was the most significant change made from the original monthly expenses to the budget you created? Why?

Provide an example from your own life when you would need to create a budget to help you meet a goal. Explain your goal, the steps you would take to accomplish that goal, and the sacrifices you must make.