5th Grade Lesson #13
What are different ways you can save or invest your money?
SS.8.FL.5.1Describe the differences among the different types of financial assets, including a variety of financial instruments such as bank deposits, stocks, bonds, and mutual funds. Explain that real estate and commodities are also often viewed as financial assets.
SS.8.FL.5.1 Describe the differences among the different types of financial assets, including a variety of financial instruments such as bank deposits, stocks, bonds, and mutual funds. Explain that real estate and commodities are also often viewed as financial assets.
“Do I Save or Invest?”
Lesson Number:13
Correlated Florida Standards (See Full Text on Cover Page)
- LAFS.5.SL.1.1
- LAFS.5.W.3.9
- LAFS.5.SL.2.4
Essential Question
What are different ways you can save or invest your money?
Learning Goals/Objectives
- Students will be able to distinguish between “saving” and “investing”.
- Students will understand that there is more than one way to save or invest money.
- Students will comprehend the advantages and disadvantages of the various methods of saving and investing.
Overview
In this lesson students will explore saving and investing. They will be able to distinguish between saving and investing and describe the different ways you can do each. Students will come to understand the advantages and disadvantages of the various methods of saving and investing.
Materials
- Computer with Internet access
- “Do I save or invest?” PowerPoint (Included in Lesson 13 File)
- Dry erase board or chart paper
- Copies of “My Investment Portfolio” worksheet (Included in lesson)
Time
30 minutes
Activity Sequence
INTRODUCTION/HOOK (8 minutes)
- Ask students what they think the word “save” means or relates to. Make a concept web for the word “save” with the class on the board. (3 minutes)
- Then ask the students what they think the word “invest” means and relates to. Create a concept web for the word “invest” on the board with the students’ responses. (3 minutes)
- Explain to the students that when you save your money, you keep some money for the future instead of buying goods and services right now. When you invest your money, you use it to make more money. Today they will be learning about different ways they can save and invest money. (2 minutes)
ACTIVITY
- Draw a table on the board or on chart paper like the one below.
Advantages / Disadvantages
Savings Account
Money Market Account
Certificate of Deposit (CD)
Bonds
Stocks
Mutual Funds
- Show the PowerPoint “Do I save or invest?” and discuss each form of saving or investing money. After discussing each form, have the students help you write advantages and disadvantages for each in the chart. (12 minutes)
CLOSURE
Break the class into groups of 4 or 5 students and read students the following directions:
“Pretend your group was just given $500. Would you save or invest your money and how would you do so? Prepare to explain why you are choosing that method.” (Each group will decide if they will invest or save the $500.00. Then they will decide which form of savings orinvesting they will use and why.)
Have the groups share their thoughts and choices. (10 minutes)
OPTIONAL EXTENSION SUGGESTION/HOME LEARNING
Have students complete the “My Investments Portfolio” worksheet (Included)
Sources/Bibliographic Information that contributed to this lesson:
My Own Investments Portfolio
Name:______
Directions: Imagine that you had $1,000.00 to invest. How would you invest it?
In the space provided, write down how much money you would put in a savings account, how much you would put in a money market account, how much you would put in a certificate of deposit, how much you would invest in bonds, how much you would invest in stocks, and how much you would invest in mutual funds. Then write a paragraph that explains why you made these choices.
Savings:
Savings Account: $______
Money Market Account: $______
Certificate of Deposit: $______
Investments:
Bonds: $______
Stocks: $______
Mutual Funds: $______
______
1