Savings and investing
1 / 50

Savings and Investing - PowerPoint PPT Presentation

Financial Education and Training Institute Savings and Investing Linda Jekel Dir. Credit Unions Jeremy Lushene Education & Outreach Department of Financial Institutions ( ) Discussion Savings and Investing Overview Why Teach Saving and Investing? Key Concepts to Introduce

I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.

Download Presentation

Savings and Investing

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.

- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -

Presentation Transcript

Financial Education and Training Institute

Savings and Investing

Linda JekelDir. Credit Unions

Jeremy LusheneEducation & Outreach

Department of Financial Institutions (


  • Savings and Investing Overview

  • Why Teach Saving and Investing?

  • Key Concepts to Introduce

  • Resources and Activity Ideas

Key Savings Concepts

  • Pay Yourself First

  • Set Goals

  • Put Time to Work for You

Wants And Needs

  • In order to decide how to spend and save – identify wants vs needs

  • Every age can decide what is really important, has lasting value, and how to save.

Plug The Leak…What Want Could You CutBack On?

Emergency Savings

  • 3-6 Months Worth of Living Expenses

  • Recession? 6 Months

  • Accounts Should Be Liquid


Things to think about:

  • How Easy Is It To Get To Money?

  • Are There Penalty's?

Compound Interest

  • Interest On Your Interest

  • Daily, Weekly, Monthly,Quarterly, Yearly

Types of Savings

  • Savings Accounts

  • Money Market Accounts

  • Certificate of Deposits

Traditional Savings Accounts

  • Account That Earns Interest (1.22% Avg)

  • Typically Liquid

  • Shop Around For Rates

Money Market Accounts

  • Usually Pay Higher Interest

  • Usually Higher Minimum Balance

  • Limited # Of Withdrawals (3-6 Month)

Certificate Of Deposits

  • Deposit A Specific Amount Of Money For A Specific Amount Of Time

  • Higher Interest Than Traditional Savings

  • Usually Penalty If You Withdraw Early

Where Would You Store Your Money

  • For Emergency Savings?

  • Down Payment For A Car You Plan To Buy In 6 Months?

  • For A Vacation You Are Saving For?

Keys To Savings Success

  • Pay Yourself First

  • Choose Accounts That Meet Your Goals

  • Keep Emergency Savings

  • Review Goals and Adjust As Necessary

Why Teach Savings?

  • May Not Be Taught At Home

  • Students Have Ambitious Goals

  • Time Is On Their Side

  • Disposable Income

  • Help Develop Lifelong Habit

5 Savings Concepts Students Should Understand

The 5 Concepts…

  • Wants vs Needs

  • Emergencies Happen

  • Goals Can Be Achieved (Budget)

  • Time Is On Their Side (Compound)

  • Pay Self First

How To Grab Students Attention About Saving

Show Them That Time Is Ticking

Time Value of Money

How To Grab Their Attention…

How To Grab Their Attention…

Spending Leaks

Spending Leaks

Jeremy’s Daily Leaks At Age 17

Non-fat Vanilla Latte ($4)

3 Otis-Spunkmeyer Cookies ($1)

Dr. Pepper ($1)

Gas for multiple trips to friends($3)


That’s $1,620 For TheSchool Year!

Mac Book

Roth IRA



What’s It Take To BeA Millionaire?

Resources for the Classroom


  • Money Savvy Kids (K-12)

  • Moonjar (K-5)

  • FEPPP (

  • Right on the Money


  • Local Bank or Credit Union

  • Jump$tart

  • Junior Achievement



What Would You CutIf You Made Only $18,000 A Year?

$18,000 A Year

  • $1,200 (month social security)

  • Plus 4% of a $100,000 401K

  • Retirement isn’t cheap!

Secrets To Investing Success

  • Know What You Are Investing For

  • Stay The Course (Real Loss)

  • Review Your Portfolio – Adjust To Goals

  • Know Your Risk Tolerance

Types of Investments

  • Stocks

  • Mutual Funds

  • Bonds


  • Partial Ownership In A Company

  • Sold On Stock Market

  • Dividends

  • Stocks Carry Risk

  • Never Put All Eggs In One Basket

    • Diversification


  • Loaning Money To Company Or Govt. (IOU)

  • Money Is Repaid + Interest

  • Many Types Of Bonds Exist

    • Short Term, Long Term, Govt.

  • If Held Through Maturity, Investor Receives Face Value Of Bond.

  • Generally, Less Risky Than Stocks

Mutual Funds

  • Professionally Managed Pools Of Money

  • Many Investors

  • Contain Various Types Of Investments

  • Instant Diversification

  • Ask For Prospectus

    • Contains Fund Objectives

  • Most Require Minimum Investment

    • Some As Low As $250

What Would You Do?

You’re 25. You have an extra $5,000 to invest.

Would you choose a stock with high risk, medium risk, low risk?


Risk vs Return

  • What You Need To Know:

    • All Investments Have Some Degree Of Risk

      • Interest Rate Risk

      • Inflation

      • Business Failure


  • Never a good idea to keep all eggs in one basket.

  • Work with a financial planner to keep your investments diversified.

Pyramid Group Activity

Investment Risk

  • See quiz handout

  • Choose a partner & answer questions 1 & 3

  • Decide what level of risk (low, moderate, or high)

  • Decide what level of time (short, moderate, or long)

Raise Your Hand If…

Protect Yourself

  • Read Prospectus Carefully

  • Make Sure Investments Are Registered

    • or

  • Make Sure Professional Is Licensed

  • Stay Up To Speed On Common Scams

Concepts Students Should Understand

  • Again… Time Is On Their Side

  • Goals Are Achievable With A Plan

  • Diversification

  • Risk Tolerance

How To Grab Their Attention

How To Grab Their Attention


  • Investor Education 2020

  • Investor Edu. In Your Community

  • Kiplinger Booklets


Resources Continued


  • Stock Market Game

  • Money Track Videos

  • Fraud Scene Investigator

Jeremy Lushene

Education and Outreach

Phone: (360) 902-0506


Linda Jekel

Director of Credit Unions

Phone: (360) 902-8778


Contact Us!


  • Login