This course is intended to give students a foundation in personal financial planning, budgeting and money management. Upon completion of the course, students should have an understanding of associated terminology and possess basic skills in personal finance and money management. OBJECTIVES Specifically, the course is intended to be foundational and help prepare students for financial independence after graduation. Key learning areas will be the following: * Personal Finance Basics * Time Value of money * Budgeting/Tracking Spending * Banking * Consumer Credit * Housing Investing * Retirement PREREQUISITES None MATERIALS Required * Personal Finance, 10th Edition, Kapoor, Dlabay, Hughes, McGraw-Hill/ Irwin, Inc. , 2012. * Course Reader- Available through University Readers. Purchase instructions found on Ted Recommended * Staying current with Personal Finance world through many of readily available media outlets such as CNBC, Personal Finance Experts, (Suze Orman), Wall Street Journal Personal Finance Section, Money magazine, Personal Finance webpage of Yahoo Finance, etc… CLASS TIME/ATTENDANCE It is important to attend class.
In general, class time will consist of lectures, discussion of articles, coverage of select personal finance topics and possible guest speakers. Participation and engagement are encouraged and will enrich the learning experience and your grade. ASSIGNMENTS Students are expected to be prepared for class by completing reading and assigned homework. Homework will be collected and will consist of a combination of terminology and problems from the text. Generally, students will be expected to read the chapter and article prior to class (preread) and submit the associated homework assignment on the due date.
See schedule on next page for details. In order to receive credit for homework, students must submit a hard copy of the homework by the beginning of class. It is suggested that students complete assignments using software. Microsoft Excel is well suited for assignments as homework will be quantitative in nature. There is a project to track personal spending for one month. This will be assigned a few weeks into the quarter and due the last week of class. Excel is mandatory for this. GRADING Grading Category| Points [or percentage]| Class Participation| 10| Homework (3 assignments @ 5 points each)| 15|
Personal Spending Tracker/Daily Spending Diary| 10| Exam 1*| 20 or 25| Exam 2 *| 20 or 25| Final Exam *| 20 or 25| Total| 100| *For Exams, one may count highest 25% and the others 20% each to comprise 65% of final grade POINT DISTRIBUTION A 93+ PointsC73-76 A- 90-92C-70-72 B+87-89D60-69 B83-86Fbelow 60 B-80-82 C+77-79 COURSE POLICIES You are expected to be present for Exams. If you are unable to be present for a legitimate, unavoidable emergency, you are required to give me notification of the reason prior to the exam. The decision to offer a make-up exam will be made on a case by case basis and make-ups are very rare. SCHEDULE
Class Date | Class Topic & Activities| Chapter | Assignments| Apr 2Apr 4| Introduction to CourseBasics of Personal FinanceTime Value of Money| 1| Read Chapter 1 Read Article 1 | Apr 9Apr 11| Time Value of MoneyMoney Management| 13| Read Chapter 3 and Article 2| Apr 16Apr 18| Money ManagementFinancial Services/Banking| 35| HW#1 due 4/18Ch 1 – Terms & Problems 1,3,4,7,8,9,10Ch 3 – Terms & Problems 2,3,4,7,8Read Chapter 5| Apr 23Apr 25| Financial Services/BankingReview for Exam 1Exam 1| 51,3| Covers Chapters 1 & 3 | Apr 30May 2| Assign Personal Spending TrackerConsumer CreditConsumer Credit| 66| Read Chapter 6 and Article 3| May 7May 9| Cost of CreditCost of Credit| 77| Read Chapter 7| May 14May 16| HousingHousingReview for Exam 2| 99| Read Chapter 9 and Article 4 HW#2 due 5/14Ch 5 – Terms & Problems 2,3,5,6,8,11,12Ch 6 – Terms & Problems 1,2,5,8,10Ch 7 –
Terms & Problems 2,3,5,7,15| May 21May 23| Exam 2Housing| 5,6,79| Covers Chapters 5, 6 & 7| May 28May 30| Investing InvestingRetirement| 131318| Read Chapter 13 and Article 5Personal Spending Tracker Due 5/30Read Chapter 18| Jun 4Jun 6| RetirementRetirementReview for Final| 1818| HW#3 due 6/4Ch 9 – Terms & Problems 2,4,5,6,7,9Ch 13 – Terms & Problems 1,2,3,4,5,10Ch 18 – Terms| Jun 13| Final Exam 7-9PM| | | LEARNING OBJECTIVES Chapter 1 – Personal Finance Basics * Analyze the process for making personal financial decisions. * Develop personal financial goals. * Assess personal and economic factors that influence personal financial planning. Calculate time value of money situations associated with personal financial decisions. * Identify strategies for achieving personal financial goals for different life situations. Chapter 3 – Money Management * Recognize relationships among financial documents and money management activities * Design a system for maintaining personal financial records * Develop a personal balance sheet and cash flow statement * Create and implement a budget * Relate money management and savings activities to achieving financial goals Chapter 5 – Financial Services * Analyze factors that affect selection and use of financial services * Compare the types of financial institutions Compare the costs and benefits of various savings plans * Identify the factors used to evaluate different savings plans * Compare the costs and benefits of different types of payment accounts Chapter 6 – Consumer Credit * Define consumer credit and analyze its advantages and disadvantages * Differentiate among various types of credit * Assessing credit capacity and building a credit rating * Describe the information creditors look for when you apply for credit * Identify the steps you can take to avoid and correct credit mistakes * Describe the laws that protect you if you have a complaint about consumer credit * Leasing vs Buying a car
Chapter 7 – Cost and Challenges of Credit * Analyze the major sources of consumer credit * Determine the cost of credit by calculating interest using various interest formulas * Develop a plan to manage your debts * Identify various private and governmental sources that assist consumers with debt problems * Assess the choices in declaring personal bankruptcy Chapter 9 – Housing * Evaluate available housing alternatives * Analyze the costs and benefits associated with renting * Implement the home-buying process * Calculate the costs associated with purchasing a home * Rent vs Buy cost comparison and analysis * Develop a strategy for selling a home Chapter 13 – Investing Describe why you should establish an investment program * Assess how safety, risk, income, growth and liquidity affect your investment decisions * Explain how asset allocation, time & different investments alternatives affect your investment plan * Recognize the importance of your role in a personal investment program * Use various sources of financial information that can reduce risks and increase investment returns Chapter 18 – Retirement * Recognize the importance of retirement planning * Analyze your current assets and liabilities for retirement * Estimate your retirement spending needs * Identify your retirement housing needs * Determine your planned retirement income * Develop a balanced budget based on your retirement income ACADEMIC INTEGRITY Integrity of scholarship is essential for an academic community. As members of the Rady School, we pledge ourselves to uphold the highest ethical standards.
The University expects that both faculty and students will honor this principle and in so doing protect the validity of University intellectual work. For students, this means that all academic work will be done by the individual to whom it is assigned, without unauthorized aid of any kind. The complete UCSD Policy on Integrity of Scholarship can be viewed at: http://senate. ucsd. edu/manual/Appendices/Appendix2. pdf How the Honor Code applies to this course: The University trusts each student to maintain high standards of honesty and ethical behavior. All assignments submitted in fulfillment of course requirements must be the student’s own work. STUDENTS WITH DISABILITIES
A student who has a disability or special need and requires an accommodation in order to have equal access to the classroom must register with the Office for Students with Disabilities (OSD). The OSD will determine what accommodations may be made and provide the necessary documentation to present to the faculty member. The student must present the OSD letter of certification and OSD accommodation recommendation to the appropriate faculty member in order to initiate the request for accommodation in classes, examinations, or other academic program activities. No accommodations can be implemented retroactively. Please visit the OSD website for further information or contact the Office for Students with Disabilities at (858) 534-4382 or osd@ucsd. edu.