FINANCIAL LITERACY

PRESENTATION TITLE

WHAT IS FINANCIAL
LITERACY?
The ability to use
knowledge and skills to
manage one’s financial
resources effectively foe
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lifetime financial security.
PRESENTATION TITLE

BENEFITS OF FINANCIAL LITERACY

•Ability to make better financial decisions.

•Effective management of money and debt.

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•Greater equipped to reach financial goals.

•Reduction of expenses through better regulation.

•Less financial stress and anxiety.

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DEVELOPING PERSONAL
FINANCIAL LITERACY
PRESENTATION TITLE

One’s Attitude About Money

is Heavily Influenced by the
Parents’ Attitude

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 SIX MAJOR
PRESENTATION TITLE

CHARACTERISTICS IN HOW
PEOPLE VIEW MONEY:
•Frugal •Indifference
•Pleasure •Powerful
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•Status •Self-worth
SPENDING PATTERNS:
•Habitual Spending
– spending out of a habit
- When one buys the same item daily,
weekly, monthly
•Impulsive Spending
- Mindless purchase of items that he/she
may not need
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FIXED VS. VARIABLE EXPENSES:

•Fixed Expenses
- Remain the same year-round
•Variable Expenses
- Occurs regularly but the
8 amount you pay varies
IDENTIFY THE FF. EXPENSES:
FIXED VARIABLE
EXPENSES EXPENSES
Food
Clothing
Gas
House Rent
Medicine
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Internet
NEEDS VS. WANTS
•NEEDS
- Essential for survival
•WANTS
- Things you like to have but
can live without
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PRACT
•NEEDS
- Essential for survival
•WANTS
- Things you like to have but
can live without
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PRACTICAL STEPS TO
ENHANCE
FINANCIAL LITERACY
SETTING FINANCIAL GOALS:
•Short-term Goals – can be
measured in weeks
•Medium-term Goals - can be
accomplished w/in one to six
months
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•Long-term Goals – can take
DEVELOPING A SPENDING PLAN
•Record – keep a record of what
you spend
•Review – analyze the information
and decide what you do
•Take Action - do something about
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what you have written down
IMPORTANCE OF SAVING:
•Emergency Bolster
•Retirement
•Future Events
•Instability of Social Security
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•A little Goes a Long Way
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PRESENTATION TITLE

TY
ACTIVI
ACTIVITY 1.
• Create your own ideal budget chart monthly and current budget
chart monthly using a pie chart. Compare the two budget chart, is
there a big difference? How would you improve your spending
habits?

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 Current Budgeting
Ideal Budgeting

Leisure Boarding House

15% Savings 20%
20%

Boarding House Food

20% 50%

Leisure
20%
Food
30%

Transportation
15%
Transportation
10%
Savings Food Transportation
Boarding House Leisure Food Transportation Leisure Boarding House

18 Monthly Income/ Allowance: 5,000 php

ACTIVITY 2.
• Identify your financial goals: short-term, medium-term, and long-
term financial goals, and list it down in the table below:
The things that you should do in
order to attain your goal:

Short-Term Goals

Medium-Term Goals

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Long-Term Goals
ACTIVITY 3.
•How would you classify
yourself base on how you view
money? Are you a frugal,
pleasure, status, indifference ,
powerful, or self-worth?
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