Money basics: lesson plans
See where your money goes and give every dollar a job. 18 lessons, about 45 minutes each, in the order students should take them.
- 1
How to read your paycheck
Gross pay minus taxes and deductions equals net pay. Budget from net pay and check each stub line once a year.
Students will be able to
- Budget from net pay, not gross pay.
- FICA is 7.65% of your wages.
- Your W-4 sets your federal withholding.
45-minute plan
- Warm-up (5 min): is this true? "My salary is what I actually get to spend."
- Read the lesson together (10 min)
- Work the example on the worksheet (10 min)
- Practice questions (10 min)
- Exit task (10 min): Open your latest pay stub and find five numbers: gross pay, federal withholding, Social Security, Medicare and net pay. Check that net pay matches your deposit, then run the IRS Tax Withholding Estimator.
Worksheet and answer keyOpen the lesson50/30/20 budget calculator
- 2
What is the difference between checking and savings?
Checking is for money you spend this month. Savings is for money you keep. Most people need one of each.
Students will be able to
- Checking is for spending this month.
- Savings is for money you keep.
- Insured accounts are protected if the bank fails.
45-minute plan
- Warm-up (5 min): is this true? "I don't need a savings account. I'll just leave extra money in checking."
- Read the lesson together (10 min)
- Work the example on the worksheet (10 min)
- Practice questions (10 min)
- Exit task (10 min): Log in to your bank app and find your routing and account numbers. If you only have checking, open a free savings account and ask your employer to send a set amount, even $25, from each paycheck.
- 3
How do you read a bank statement?
Start balance plus deposits minus withdrawals and fees should equal the ending balance. Question anything you don't recognize within 60 days.
Students will be able to
- Start + deposits − withdrawals − fees = end.
- Report errors within 60 days.
- Fees and interest appear on the statement.
45-minute plan
- Warm-up (5 min): is this true? "My banking app shows my balance, so I never need to read the statement."
- Read the lesson together (10 min)
- Work the example on the worksheet (10 min)
- Practice questions (10 min)
- Exit task (10 min): Open your latest checking statement. Check that start + deposits − withdrawals − fees equals the ending balance, then read every line and flag anything you don't recognize or any fee you could avoid.
- 4
How do you track your spending and find where your money goes?
List 30 to 90 days of charges, total each category, and cancel the subscriptions you forgot about.
Students will be able to
- Ninety days beats one month.
- 8 to 12 categories is enough.
- A $12 subscription costs $144 a year.
45-minute plan
- Warm-up (5 min): is this true? "I know where my money goes. I don't need to track it."
- Read the lesson together (10 min)
- Work the example on the worksheet (10 min)
- Practice questions (10 min)
- Exit task (10 min): Open your main credit card and checking statements for last month. Write down every charge that repeats on a schedule, add up the monthly total and cancel one you haven't used in 30 days.
Worksheet and answer keyOpen the lessonSavings goal calculator
- 5
What is net worth and how do you calculate it?
Net worth is what you own minus what you owe, and it is often negative in your 20s and 30s.
Students will be able to
- Net worth equals assets minus debts.
- Negative net worth is common early on.
- Cars count at resale value, not price.
45-minute plan
- Warm-up (5 min): is this true? "My net worth is negative, so I must be doing something wrong."
- Read the lesson together (10 min)
- Work the example on the worksheet (10 min)
- Practice questions (10 min)
- Exit task (10 min): Open a blank sheet and list every account you have, with today's balance. Total the assets, total the debts and subtract. Save the sheet and set a reminder for the same date next month.
- 6
How do you make a budget that actually works?
A budget is a plan for your take-home pay, made before the month starts, using 50/30/20 or zero-based budgeting.
Students will be able to
- Budget from take-home pay, not salary.
- 50/30/20 splits pay into needs, wants, savings.
- Zero-based means income minus assignments equals zero.
45-minute plan
- Warm-up (5 min): is this true? "I don't make enough money to need a budget."
- Read the lesson together (10 min)
- Work the example on the worksheet (10 min)
- Practice questions (10 min)
- Exit task (10 min): Open your bank app and find last month's total deposits from your job. Multiply it by 50%, 30% and 20%, and write those three numbers next to what you think you spend on needs, wants and savings now.
Worksheet and answer keyOpen the lesson50/30/20 budget calculator
- 7
How does a zero-based budget work?
List your take-home pay, then assign every dollar to bills, spending, savings or debt until $0 is left unassigned.
Students will be able to
- Income minus every planned dollar equals $0.
- Savings and debt payments count as jobs.
- When one line runs over, move money.
45-minute plan
- Warm-up (5 min): is this true? "A zero-based budget means spending every last dollar until my account hits zero."
- Read the lesson together (10 min)
- Work the example on the worksheet (10 min)
- Practice questions (10 min)
- Exit task (10 min): Write your expected take-home pay for next month at the top of a page. List rent, bills and debt minimums under it, then add savings and fun money, and keep adjusting until income minus every line equals $0.
Worksheet and answer keyOpen the lesson50/30/20 budget calculator
- 8
What does pay yourself first mean?
Move a set amount to savings on payday, before bills and spending, then live on what is left.
Students will be able to
- Savings moves first, on the day you're paid.
- Start with a percent you can keep.
- Automate it so you never decide again.
45-minute plan
- Warm-up (5 min): is this true? "I'll save whatever is left at the end of the month."
- Read the lesson together (10 min)
- Work the example on the worksheet (10 min)
- Practice questions (10 min)
- Exit task (10 min): Log in to your payroll portal and look for direct deposit settings. Add your savings account with a fixed amount from each paycheck, even $25. If there is no split option, schedule a recurring transfer for the day after your next payday.
Worksheet and answer keyOpen the lessonCompound growth calculator
- 9
How do you budget with irregular income?
Budget on your lowest month, park extra income in a buffer, and pay yourself a steady amount from it.
Students will be able to
- Budget on your lowest month, not your average.
- Extra income goes to a buffer first.
- Set aside taxes from every 1099 payment.
45-minute plan
- Warm-up (5 min): is this true? "You can't really budget when you never know what you'll make."
- Read the lesson together (10 min)
- Work the example on the worksheet (10 min)
- Practice questions (10 min)
- Exit task (10 min): Write down your take-home pay for each of the last 6 months and circle the lowest. Total your essential bills and compare. Then open a second savings account to use as your buffer.
Worksheet and answer keyOpen the lessonEmergency fund calculator
- 10
How do you set financial goals you can actually reach?
Give each goal an amount and a date, divide to get a monthly number, then automate that transfer.
Students will be able to
- A goal has an amount and a date.
- Divide to get your monthly number.
- Work on one or two goals at once.
45-minute plan
- Warm-up (5 min): is this true? "I'll start setting goals once I earn more money."
- Read the lesson together (10 min)
- Work the example on the worksheet (10 min)
- Practice questions (10 min)
- Exit task (10 min): Write one goal as a sentence with an amount and a date. Subtract what you have, divide by the months left, and schedule that monthly transfer to a savings account named after the goal.
Worksheet and answer keyOpen the lessonSavings goal calculator
- 11
How to automate your money
Schedule savings to leave the day after payday, put fixed bills on autopay, and keep a small buffer in checking.
Students will be able to
- Pay yourself first, the day after payday.
- Time every transfer to your pay schedule.
- Keep a buffer in checking.
45-minute plan
- Warm-up (5 min): is this true? "I'll save whatever is left at the end of the month."
- Read the lesson together (10 min)
- Work the example on the worksheet (10 min)
- Practice questions (10 min)
- Exit task (10 min): Look up your next payday. Schedule a recurring transfer to savings for the business day after it, even if it is $25, and write down your buffer amount.
Worksheet and answer keyOpen the lessonSavings goal calculator
- 12
How to lower your monthly bills
List every recurring bill, then shop, call or cancel the biggest ones. Savings from one afternoon repeat every month.
Students will be able to
- A bill cut once saves money every month.
- Start with the biggest bills you can shop.
- Move the savings before you spend it.
45-minute plan
- Warm-up (5 min): is this true? "My bills are fixed. There's nothing I can do about them."
- Read the lesson together (10 min)
- Work the example on the worksheet (10 min)
- Practice questions (10 min)
- Exit task (10 min): Open your last bank and card statements and list every charge that repeats. Cancel one subscription you haven't used this month, and get one new car or renters insurance quote with the same coverage you have now.
Worksheet and answer keyOpen the lessonSavings goal calculator
- 13
How to save money on groceries
Plan meals, shop from a list, buy store brands and compare unit prices. Waste less of what you already bought.
Students will be able to
- Plan meals before you write the list.
- Compare the unit price, not the sticker.
- Food you throw away costs the most.
45-minute plan
- Warm-up (5 min): is this true? "Saving on groceries means clipping coupons for hours every week."
- Read the lesson together (10 min)
- Work the example on the worksheet (10 min)
- Practice questions (10 min)
- Exit task (10 min): Look in your fridge and pantry, then plan five dinners for the next week using what you already have. Write a list for only the missing items and set a weekly grocery number: your monthly budget divided by 4.
- 14
How to stop impulse spending
Wait 48 hours before nonessential buys, remove one-click triggers and give yourself a fixed fun money budget.
Students will be able to
- Wait 48 hours before any unplanned buy.
- Friction beats willpower.
- Fun money makes the rest stick.
45-minute plan
- Warm-up (5 min): is this true? "I just need more willpower to stop buying stuff."
- Read the lesson together (10 min)
- Work the example on the worksheet (10 min)
- Practice questions (10 min)
- Exit task (10 min): Delete your saved card from the one shopping site or app you use most, and unsubscribe from three store emails. Then start a 48-hour list in your phone's notes and add the next thing you want but didn't plan to buy.
Worksheet and answer keyOpen the lessonSavings goal calculator
- 15
How to avoid bank fees
Decline debit card overdraft coverage, keep a buffer, and move to a no-fee account if your bank charges monthly fees.
Students will be able to
- Debit card overdraft fees need your opt-in.
- Small overdrafts can cost more than the purchase.
- Monthly fees are optional.
45-minute plan
- Warm-up (5 min): is this true? "Overdraft fees are just part of having a bank account."
- Read the lesson together (10 min)
- Work the example on the worksheet (10 min)
- Practice questions (10 min)
- Exit task (10 min): Log in to your bank and find two things: your overdraft opt-in status and the monthly fee on your checking account. Opt out of debit card and ATM overdraft coverage, and set a low-balance alert.
- 16
Is a credit union better than a bank?
Both are insured and offer the same basics. Credit unions often charge less on loans, while banks are easier to join.
Students will be able to
- Credit unions are owned by their members.
- Both are insured up to the same limit.
- Credit unions require membership.
45-minute plan
- Warm-up (5 min): is this true? "My money isn't as safe at a credit union as it is at a bank."
- Read the lesson together (10 min)
- Work the example on the worksheet (10 min)
- Practice questions (10 min)
- Exit task (10 min): Search the NCUA's credit union locator for credit unions near your home or work, and read the membership rules for two of them. Note their checking fees and current car loan APR.
Worksheet and answer keyOpen the lessonLoan payment calculator
- 17
How does interest work?
Interest is the yearly price of money. You earn it on savings, you pay it on debt, and it compounds both ways.
Students will be able to
- Interest is a yearly price, shown as a percent.
- APR is the rate, APY includes compounding.
- The same math helps savings and hurts debt.
45-minute plan
- Warm-up (5 min): is this true? "Interest is just a few cents. It doesn't really matter."
- Read the lesson together (10 min)
- Work the example on the worksheet (10 min)
- Practice questions (10 min)
- Exit task (10 min): Find the APY on your savings account and the APR on each card or loan you have. Write them side by side. The highest APR is the debt costing you the most each month.
Worksheet and answer keyOpen the lessonCompound growth calculator
- 18
What is the difference between APY and APR?
APY is what you earn on savings, compounding included. APR is what you pay to borrow, usually without compounding.
Students will be able to
- APY is for savings and includes compounding.
- APR is for borrowing and excludes compounding.
- Compare like with like.
45-minute plan
- Warm-up (5 min): is this true? "APR and APY are the same number with different names."
- Read the lesson together (10 min)
- Work the example on the worksheet (10 min)
- Practice questions (10 min)
- Exit task (10 min): Log in to your savings account and write down its APY, then find the purchase APR on your credit card statement. If you carry a card balance, divide the APR by 12 to see the monthly rate you are paying.
Worksheet and answer keyOpen the lessonCompound growth calculator
Unit vocabulary
Free to print, copy and share for non-commercial classroom use. General education, not personalized financial, tax or legal advice. Figures are examples. Check current rates and limits before you act.