# CONSUMER WISE

## by Michelle Profeit

CELs
1993
S105.9

INTRODUCTION

To meet a need for resources for the new MATH 10 curriculum, the Saskatchewan Teachers' Federation, in cooperation with Saskatchewan Education, Training and Employment, initiated the development of teacher-prepared unit plans.

A group of teachers who had piloted the course in 1992-93 were invited to a two and a half day workshop in August, 1993 at the STF. The teachers worked alone or in pairs to develop a plan for a section of the course.

Jim Beamer, University of Saskatchewan, and Lyle Markowski, Saskatchewan Education, Training and Employment, acted as resource persons for the workshop.

### TEACHER NOTE

Throughout the sample units, the following symbols are used to refer to the Common Essential Learnings:
```C 	Communication
CCT 	Critical and Creative Thinking
IL 	Independent Learning
N 	Numeracy
PSVS 	Personal and Social Values and Skills
TL 	Technological Literacy
```

# Activities

## Activity One

CONCEPT: Income

### Foundational Objective:

To apply simple mathematics to assist in the calculation and estimation of income and expenses and to develop a budget to guide current and future planning.

### Objective:

To determine advantages and disadvantages of jobs with regard to styles of payment, e.g. salary, hourly wage, commission, piecework.
To calculate weekly gross wages of the above types of payments.

• Newspapers
• Worksheet

2 periods

### Instructional Methods/Activities

1. Class discussion to generate a list of different types of payments. Do examples of calculating gross weekly wages of each type. (CCT, N, C)
2. Divide into groups. With the help of newspapers generate list of possible jobs under each type of payment. (PSVS, CCT, C)
4. In groups complete a worksheet on calculating gross weekly earnings. (Each student completes one but only one per group is handed in.) (N, C, CT)

### Evaluation:

• Observation checklist as students work in groups
• Mark assigned to group hand-in
• Group Evaluation - page 75 - Student Evaluation: A Teacher Handbook. Saskatchewan Education, 1991.

### Instructions Methods/Activities

1. Under each heading generate a list of jobs that would be paid that way.
3. At the bottom, state which you would prefer and why.
#3 is to be completed individually.

```				Advantages 		Disadvantages
________________________________________________________________________

A. Salary
B. Hourly Wage
C. Straight Commission
D. Salary plus Commission
E. Hourly Wage
plus Commission
F. Piece Work

```

### Group Members:__________________________________

A. Salary
1. Sally's job pays her \$1500 a month. What is her gross weekly wage?
2. Jim grosses \$27000 a year. What is his gross weekly wage?

B. Hourly:
A regular work week is 40 hours. Overtime pay is time and one-half.

1. Sue drives truck for \$8.75 an hour. If she worked 40 hours, what would her gross earnings be for one week?
2. Mark is a wordprocessor operator. He makes \$11.50 an hour. Determine his gross earnings for a week if he worked 52 hours.

C. Straight Commission
1. A real estate agent earns 2.4% on the sale of a house priced at \$89 950. What is her take home pay that day?
2. A salesperson receives step commission on sales calculated as follows:
• 8% on first \$1000
• 12% next \$2000
• 20% on sales above \$3000

Calculate the salesperson's earning in one week if their sales were as follows:

```
Monday 		\$1500
Tuesday		\$3000
Wednesday	\$970
Thursday 	\$4563.81
Friday  	\$2760.42
```

D. Salary Plus Commission

1. Dave earns \$150 per week plus 38% commission. He sells \$1043.92 in one week, what is his gross weekly earning.
2. Mary earns \$28 000 a year. One week she grossed \$658.00. She had sold \$1673.19 worth of merchandise. What is the rate of her commission?

E. Hourly Wage Plus Commission
1. Julie is a sales clerk at a bicycle shop. She is paid \$6.25 per hour for 30 hours work week plus a commission of 8% of sales. In one week, her sales were \$2319.75, what is her gross weekly earning?
2. Sam is paid \$6.45 per hour for a 37.5 hour week plus 6% of sales for a week. What would Sam's sales have to be for him to earn \$400 in a week?

F. Piece Work
1. Jolene gets paid 17 cents a tree for tree planting up north. In one week she planted 2437 trees. What is her wage?
2. A seamstress is paid \$9.55 for every pair of pants made. How many pants would have to be made to receive \$525 a week?

## Activity Two

### Objectives:

To research a course the student is interested in pursuing after graduation.
Complete a budget form to determine approximate amount of expenses for the duration of the schooling

### Resources

• Guidance office - books on technical schools and universities
• Use of telephone
• Worksheet
• Flyers for groceries or go to store
• Newspapers

2 - 3 classes

### Instructional Methods/Activities

1. Have students individually research their job training preference determining cost of tuition, books, and the number of years required to complete the training. Also find out about wages, hours, location, promotion, responsibility, job security, and unemployment of potential job. (IL, PSVS, C)

2. Have the students individually search newspapers to select suitable practical living accommodations to be attached to expense form. (PSVS, IL)

3. Select student(s) to research and report to class the average cost of cable, phone, bus, electricity, and water expenses for a month. (IL, C)

4. Have students individually generate a weekly meal plan using Canadian Food Guide as reference. Also include necessities, ie, salt, flour. (CCT, PSVS, IL)

5. Either take students to a store or use flyers to calculate an approximate monthly expenditure on food. (Unit Pricing). (N, PSVS, IL)

6. Realistically complete the rest of the monthly expenses on the given form to obtain a monthly total. (CCT, PSVS, N, IL)

7. Calculate total expenses for duration of their schooling. (N, IL)

### Evaluation:

• Observation Checklist
• Hand in Completed Worksheet and Meal Plan at the end of unit.

NOTE: Student could invite a former student who is now taking such training to share their actual budget with the class.

WORKSHEET
```Course: __________________________________________________________
Institute Number of years of Study
Tuition_______________________________________________
Books________________________________________________
Months of study for one year___________________________________

EXPENSES				PERSONAL EXPENSES

Home costs 					Life insurance 		\$__________
Rent 			\$__________ 		Clothing		 __________
Mortgage payments	__________	 	Medical & dental costs	__________
Electricity		__________ 		Petty cash		__________
Heating	 		_________		Personal services 	__________
Maintenance and repairs	__________ 		(e.g. hair styling)
Telephone		__________		Alcohol & tobacco	__________

Insurance		__________
Taxes 			__________				LEISURE TIME
Furniture 		__________		Holidays 		\$__________

Sports			__________

TRANSPORTATION
Movies, theatre, etc.	 	__________
Car payments 		\$__________		Books, periodicals, recordings	__________
Gas			__________
Maintenance & repairs	__________
Tires 			__________				OTHER
Insurance 		__________		School costs		\$ __________
Registration		__________ 		Babysitting costs 	__________
Licence 		__________		Miscellaneous		__________
Public transportation
SAVINGS
FOOD						Emergency reserve	__________
(per installment) \$

Groceries 	\$__________ 			Substantial savings	__________
Restaurants 	__________			(investments)

Monthly Expenses X # of months for one year = __________ + __________
Yearly ExpensesX# of years of study = __________.

Activity Three
CONCEPT: Credit/savings/loan

Objective:
To get a guest lecturer in to explain student loans, cars, credit,
credit cards, and different forms of savings.

Resources:

Guest Lectures (Bank) (PSVS, C, TL)
Savings (Videotape), Credit Union

Time:
1 period

Activity Four
CONCEPT: Income

Objectives:
To complete a budget expense form based on the student's chosen profession.
Determine the net monthly/yearly incomes as well as net monthly and yearly
savings.

Resources:

Worksheet
Guidance Texts
Telephone Usage
Supply the percent deductions

Time:
1 - 2 days

Instructional Methods/Activities

Have students search the gross yearly or monthly wage of their chosen
profession. (IL)
Calculate the net income for one month. (N)
Readjust budget sheet for a month. Must attach new additions (ie. new
apartment, vehicle if purchasing). (CCT, PSVS, N)
Calculate monthly and yearly savings. (N)

Evaluation:

Observation Checklist

Worksheet to be handed in at end of the unit

WORKSHEET

Job Title: _________________________________
Gross Income for 1 month_________________________________
CPP______________________________________
Income Tax	________________________________
Holiday Pay	________________________________
Net Income for one month________________________________

EXPENSES				PERSONAL EXPENSES

Home costs 					Life insurance 		\$__________
Rent 			\$__________ 		Clothing		 __________
Mortgage payments	__________	 	Medical & dental costs	__________
Electricity		__________ 		Petty cash		__________
Heating	 		_________		Personal services 	__________
Maintenance and repairs	__________ 		(e.g. hair styling)
Telephone		__________		Alcohol & tobacco	__________

Insurance		__________
Taxes 			__________				LEISURE TIME
Furniture 		__________		Holidays 		\$__________

Sports			__________

TRANSPORTATION
Movies, theatre, etc.	 	__________
Car payments 		\$__________		Books, periodicals, recordings	__________
Gas			__________
Maintenance & repairs	__________
Tires 			__________				OTHER
Insurance 		__________		School costs		\$ __________
Registration		__________ 		Babysitting costs 	__________
Licence 		__________		Miscellaneous		__________
Public transportation
SAVINGS
FOOD						Emergency reserve	__________
(per installment) \$

Groceries 	\$__________ 			Substantial savings	__________
Restaurants 	__________			(investments)

Monthly Net Total Income______ minus Monthly Total Expenses ______Equals
Net Savings_________

Yearly Net Income:____________	Yearly Savings____________

Activity Five
CONCEPT: Budgets

Objective:
To calculate percentage of take home pay of the various categories
on student's worksheet and compare with those of the average Canadian Family.

Resources:

Job Worksheet
Paper
Compass set

Time:
1 period

Instructional Methods/Activities

Have the students calculate the monthly percentage of each main expense.
(N, IL)
Compare percentages obtained with those of an average Canadian Family.
(CCT)
Plot the percentage on a pie graph and label. (N)

Evaluation:
-  Observation Checklist
- Hand in two Budget Worksheets and Questions
-  Self and Teacher Evaluation to be filled out on the project

The Budget Book from the Credit Union states the percentage of take
home pay that might be allocated for various categories for the average
Savings 			5-10%
Food 				18-30%
Clothing 			8-15%
Transportation		 	10-15%
Housing 			18-30%
Utilities 			5-9%
Health and Miscellaneous 	14-30%

Questions:

What is a budget?
What is a budget used for?
Who should use a budget?
Write down your percentages from previous assignment (job form).
Compare the percentages above with your own. How close are you to the
standing percentages?
Do you need to change your spending? Why/why not?
How can you change your budget so you can pay for an additional expense,
ie, car or holiday?
Which percentages might change as you grow older?
Draw a pie graph of your percentages.

Evaluation
Self and Teacher - Each fill out

Consumerism

MARKS

1. Completed Package 			1	 2 	3 	4 	5
(2 budgets, questions, pie graphs)

2. Correct Calculations		 	1	 2 	3 	4 	5
(budget sheets)

3. Neatness 				1 	2	 3 	4 	5
(worksheets, pie graph)

4. Realistic Budgeting
Worksheet A				1 	2 	3 	4 	5
Worksheet B				1 	2 	3 	4 	5

5. Worked on task in Class		1 	2 	3	 4 	5
(1-10 depending on days)

6. Questions answered thoughtfully	1 	2	 3 	4 	5

Bibliography
Budget Book, Teachers' Credit Union
Savings Book, Teachers' Credit Union
Savings Video, Credit Union
Consumer Education Collection (Bibliography) - Stewart Resources
Centre, October, 1992

This unit comes from the The Stewart Resources Centre which provides
library resources and teacher-prepared materials for teachers in Saskatchewan.
To borrow materials or obtain a free catalogue listing unit and lesson
plans contact :

Stewart Resources Centre,
2317 Arlington Avenue,