The activities included in this lesson are designed to be incorporated into Lesson 20 by adding the concept of establishing an emergency savings account as part of a savings plan. This lesson encourages students to have a plan in place for creating a safety net to protect against unexpected debt in case of a financial emergency. It also discusses ways to build a savings account and maintain liquidity for easy access.
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Identify an actual emergency spending scenario in their life.
Prepare a plan for dealing with potential emergencies.
Understand the risks of not having an emergency fund.
Ask students if they have heard about having an emergency fund and if they know what its purpose is. Explain they are going to watch a brief video that illustrates the importance of creating an emergency fund and how it can serve as a financial safety net when faced with unexpected expenses.
Tell students the answers to the remaining questions on Handout 10.1 will be given during the video; have them fill in the blanks as a guide to watching the video.
After watching the video, put students in small groups to discuss the video and review their answers on the worksheet. Have each group prepare a 30 second commercial to share with the class using the information presented in the video. Allow each group time to present their video to the class.
Debrief the activity by asking students what they learned from watching the video and the class commercials. Ask students if they would change any of their answers to Question 7 on the handout.