Section 1: Savings Options. Explore the following Savings Options:
Explain the advantages and disadvantages of each choice. Using the following criteria:
- Safety
- Risk v Reward
- Liquidity (how quickly you can convert to cash)
- Ease of opening the account (or keeping at home or buying a collectible)
You can create a chart (spreadsheet), slides, or paragraphs to present the information.
- Personal Savings (Piggy Bank or under your mattress)
- Savings Account
- Money Market Account,
- Certificate of Deposit,
- Savings Bonds
- Corporate or Municipal Bonds
- Collectibles
Explain the advantages and disadvantages of each choice, considering safety, reward, ease of getting cash, and ease of opening the account.
Section 2: Personal Reflection: What is your choice?
Grandma requests that you keep the money for six months. How will you save the money?
Create a multi-paragraph reflection on how you will save the money, the risk/reward, and benefits of your decision.
Options to consider:
- At this point in your life, do you need the $1000?
- What would you ‘like’ to use the $1000 for?
- List any needs you will have for the money in the next 2 years.
- List both the positives for your choice and the negatives of the ‘other’ options.
- Would you rather ‘invest’ the $1000 and hope to grow the money to use later in life? (Next week’s assignment)
- What do you think most people your age would do with a quick $1000 from grandma?
