English Learning Guide

Competency 1
Unit 6: Financial Education
Workshop 2
Centro de Servicios Financieros- CSF
Name: Johanna Bonillla Sanchez Cohort: 2026317 Date: 06/09/2021

Training program: Comprehensive Insurance Risk Instructor: Santiago Palacios

Management

PERSONAL/FAMILY/CORPORATE FINANCES/ IDENTIFICATION OF FINANCIAL NEEDS

This workshop attempts to help you improve your knowledge about finances at your personal, familiar
and labor context, learning basic concepts, identifying similarities and differences, and making oral
presentations. You will learn about Financial Education and how to apply it with yourself and others.

Objective: From the development of these activities, you will be able to talk about finances in your
personal, familiar and labor settings.

1. Work in groups and discuss the following questions:

- What are personal finances for you?

- How do you organize your family finances?
- What do you know about corporate finances?
- What do you think are your financial needs?
- Share your answers

SOLUTION:

- What are personal finances for you?

Personal finance refers to the management and administration of money and assets of
an individual or family. Its objective is to help individuals and families to make informed
decisions to optimize the management of their resources.

- How do you organize your family finances?

Identifying the financial responsibilities and organizing the payment of each of them
with the entry of income. Having clear priorities and thereby avoiding unnecessary expenses.

- What do you know about corporate finances?

Corporate finances are those that are related to the analysis and study of business
variables that allow us to maximize shareholder value.
 - What do you think are your financial needs?

Perhaps, the issue of financial organization and resource management.

2. Look for the meaning of the following vocabulary:

WORD/ MEANING/DEFINITION
EXPRESSIO
N
wage a particular amount of money that
is paid, usually every week, to
an employee, especially one who
does work that needs physical skills or 
strength, rather than
a job needing a college education
tip to give someone who has provided you
with
service an extra amount of money to t
hank them:
income money that is earned from
doing work or received from investme
nt
side business it means starting a business while
working another job
mortgage an agreement that allows you
to borrow money from
bank or similar organization, especially 
in order to buy a house, or
the amount of money itself:
taxes (an amount of) money paid to
the government that
is based on your income or
the cost of goods or services you
have bought:
insurance an agreement in which
you pay a company money and
they pay your costs if you have
an accident, injury, etc.:
toll a small amount of money that you
have to pay to use
a road, cross a bridge, etc.
debt something, especially money, that
is owed to someone else, or
the state of owing something:
Bottom line the final line in the accounts of
a company or organization, stating the 
total profit or loss that has been made:
English Learning Guide
Competency 1
Unit 6: Financial Education
Workshop 2
Centro de Servicios Financieros- CSF
2.1. Fill in the simple personal budget format and check if your personal finances are
organized or not and why?

GC-F -005 V. 01
English Learning Guide
Competency 1
Unit 6: Financial Education
Workshop 2
Centro de Servicios Financieros- CSF
3. Skills practice: Do the following activities to practice the learnt vocabulary and
English structures.

3.1. Listening practice: financial education and money management

Before watching the video, discuss:

- Share your experience managing your money.

With my family we have a list of expenses and income. Regarding expenses, we have
defined payment dates and priorities. once the date arrives, we make the crossing of
accounts and pay our responsibilities.

- How do you plan your finances? Weekly? Monthly? don’t plan them?

Taking into account that our income is monthly, we plan our expenses always on a
monthly basis.

- What is the importance of Financial Education for Young people?

It is very important as you learn the true value of money and resources. That is why it
is important to manage resources from children, organizing priorities and most
importantly saving, avoiding credits.

Watch the video, make notes, and answer or complete the following statements:

- What do you need to be good with money?

The first thing is to be clear about the fixed expenses and if possible, write them down.
Save at least 10% of salary or income. Avoid getting into debt. Pay debts and liabilities,
and make an investment.

- Mention the three basic steps to make the most of your money

1. Replenish savings
2. Review budget.
3. Have a plan to avoid debt.
, ,
- What do you understand for overspending?

As its name implies, it consists of overpaying. Spending more than you can or need.

GC-F -005 V. 01
English Learning Guide
Competency 1
Unit 6: Financial Education
Workshop 2
Centro de Servicios Financieros- CSF

- What is it to have an emergency fund?

It is a reserve of money accumulated in a bank account that is used for unplanned expenses or
any type of financial unforeseen. An emergency fund provides financial security and serves to
cover unforeseen expenses that cannot be paid with regular income.

- Mention 2 examples of emergency expenses

Some common examples of these expenses are car or home repairs, medical bills, or loss
of income.

Complete the following chart with the basic actions/characteristics of each step for money
management.

Step 1: CREATE A BUDGET Step 2: SET SAVINGS GOALS Step 3: TACKLE YOUR DEBTS

Total income per month : 1. Saving 10% of monthly income
5.000.000 COP (500.000 COP) in a bank account
2. Lower cost of not essential
payments (daily micro expenses)
3. Create a bucket to save cash.
4. Separate all expenses since first
day and split paids.
1. Make a clear list of all the
currently debts.
2. Set reminders and automatic
payments in a bank account.
3. Don’t get into any credit before
having paid any kind of debt.
4. Learn and read more about
finances and economies.

GC-F -005 V. 01
3.3. Reading practice

Before Reading the text, discuss the following questions:

- Do you save money? What do you save money for?

- Do you have a role in your family finances? Yes? No why?

Identify the key words from the text. Match each Word with its right definition, check
their pronunciation in English with your instructor´s help 1.

1
Taken from: https://printableworksheets.in/ finance-vocabulary used by SENA for pedagogical purpose, exclusively.
 What is Personal Finance? 2

Personal finance is everything to do with managing your money and saving and investing. It covers
budgeting, banking, insurance, mortgages, investments, retirement planning, tax planning and
estate planning. It often refers to the entire industry that provides financial services to individuals
and households, and advises them about financial and investment opportunities.

Top 10 Useful Tips For Personal Finance: In the current global financial climate, we are all looking
for ways to save money. And even if you are not struggling right now, it is a good time to take
control of your personal finance, and prevent any potential problems in the future. For some
people, financial issues can do nothing but give you a headache. But you do not have to be a
mathematician or an accountant to understand how to take charge of your own personal finance.

1. Don't Spend More Money Than You Earn

2. Take Care of the Important Things
3. Look to Save On Everyday Items
4. Don't Skimp on Quality
5. Take Care of Bills Early:
6. You Do Need Insurance, But Look For Ways to Save
7. Don't Buy Things You Don't Need
8. Start Saving Now
9. Budget
10. Don't Stress, But Be Careful

Family Finances3

All income, expenses, and financial accounts related to the maintenance and upkeep of an entire
family household. This includes all sources of income including wages, investments, savings
accounts, and trusts. Expenses include items such as mortgage or lease payments, car
payments, utility bills, grocery bills, retirement plan contributions, insurance,
education, taxes, credit card payments, clothing and other sundry purchases.

1. Make a financial plan for your family

2
Adapted from https://www.investopedia.com/terms/p/personalfinance.asp used by SENA for pedagogical
purpose, exclusively.

3
Adapted from http://www.investorwords.com/19074/family_finances.html#ixzz5fEawEHiG used by SENA for pedagogical
purpose, exclusively.
 2. Looking at your family’s current spending.
3. Identify unnecessary expenses:
4. Plan with financial goals in mind for your family:
5. Don’t just save – instead, improve your situation:
6. Involve the whole family in your financial planning

By being open about your financial successes, worries and goals you can better understand what
you are trying to achieve as a family and make sure you’re on the right path.

Corporate Finance4
The division of a company that is concerned with the financial operation of the company. In most
businesses, corporate finance focuses on raising money for various projects or ventures.
For investment banks and similar corporations, corporate finance focuses on the analysis of
corporate acquisitions and other decisions.

How important is a Company’s Capital Structure in Corporate Finance? A company’s capital

structure is crucial to maximizing the value of the business. Its structure can be a combination of
long-term and short-term debt or common and preferred equity. The ratio between a firm’s

4
Adapted from: http://www.investorwords.com/6773/corporate_finance.html#ixzz5fEcT8OI0
https://corporatefinanceinstitute.com/resources/knowledge/finance/corporate-finance-industry/ used by SENA for
pedagogical purpose, exclusively. Image: CFI’s free introduction to corporate finance course.
liability and its equity is often the basis for determining how well balanced or risky capital
financing is.

A company that is heavily funded by debts has a more aggressive capital structure and therefore,
potentially holds more risk for stakeholders; however, this risk is often the primary reason for a
company’s growth and success.

According to the text, answer the following questions:

- Mention 5 aspects include into personal finances?

 It covers budgeting
 Banking
 Insurance
 Mortgages
 Investments
 retirement planning, tax planning and estate planning.

- What is the importance of budgeting and saving money?

The budget is an aid that is used to keep the household accounts and allows you to have a
control and balance on the earnings and expenses and the way to manage them. For this reason,
it is important to generate savings because it serves to overcome financial difficulties or
materialize dreams without the need to go into debt.
 - Why is necessary balance equity and debt in capital financing?

Financial balance is one of the main objectives that a company should have because it will
mean that it is an efficient company, that it has liquidity and solvency and therefore its
importance, because it is the ability to face its debts on the term and due date set, in
addition to maintaining the normal cycle of its operations.

3.2. Speaking practice: oral presentation

Based on the previous reading and according to your instructor’s orientation, prepare
an oral presentation about the topics above and exemplify the topic assigned. Use
additional materials and complementary information. Follow the links below:

- Personal finances:
https://www.investopedia.com/terms/p/personalfinance.asp
- Family finances:
http://www.investorwords.com/19074/family_finances.html#ixzz5fEawEHiG
- Corporate finances:
https://corporatefinanceinstitute.com/resources/knowledge/finance/corporat
e-finance-industry/

3.4. Writing Practice: Needs Vs. Wants

You may have many things you want and need. Fill in the format below taking into account your
financial capability and personal needs5
I Less important More Important
need
…
Home 1 2 3 4 5
1 2 3 4 5
Own means of transport
1 2 3 4 5
Own business
1 2 3 4 5
More income
1 2 3 4 5
Pay off debts
More savings 1 2 3 4 5
I want Less important More Important
…
To travel 1 2 3 4 5

To buy a lot 1 2 3 4 5

A pet 1 2 3 4 5

More entertainment. 1 2 3 4 5
1 2 3 4 5
 1 2 3 4 5

Extension activities: the extension activities will help you improve your performance in the topics.
You need to reach at least five hours of practice on your own.

- For further information, listening practice, pronunciation, and more about this, check the
link below to a YouTube video: https://www.youtube.com/watch?v=5DXKOlr7SeI
- For more about investment fundamentals, visit:
https://www.youtube.com/watch?v=dXhceWYePsc
- To expand information about financial literacy:
https://www.youtube.com/watch?v=WVfaxLDyrTc
- To learn and practice financial terms and vocabulary:
https://www.youtube.com/watch?v=aQeeX7xyOWI
- To identify the concept of financial capability:
https://www.youtube.com/watch?v=pUbv6CpXmSI
- To deepen on financial education: https://www.young-
money.org.uk/planning-teaching/introduction-what-financial-education

5
Taken from: https://printableworksheets.in/ worksheet/needs-vs-wants used by SENA for pedagogical purpose,
exclusively.
- For more information about how to manage family budget, visit:
https://www.youtube.com/watch?v=KDx4PbXhK4w

- For more about corporate finance, visit:

https://www.youtube.com/watch?v=fmiaT7aaESo

- Based on your instructor’s orientation, explore the following websites and

practice the English structures. Do at least 2 activities from each topic studied
in class and deliver them to your instructor: http://www.esl-
lounge.com/student/grammar-guides/grammar-beginner.php and
https://agendaweb.org/