The Personal Budget Project: A Practical Introduction to Financial Literacy

• In Event: Teaching, Learning, and Curriculum 3

Abstract

The Personal Budget Project (PBP) is a three-part assignment that educates students in financial literacy as they prepare to enter their formative financial years following graduation. Part I introduces income and payroll taxes and their impact on earnings. Part II exposes students to budgeting for discretionary and non-discretionary expenses, with an emphasis on analyzing credit card and student loan debt. Part III concludes with exercises designed to inform students regarding the time value of money and retirement savings. The PBP is suitable for all students, regardless of accounting or financial background and delivers a significant learning experience with minimal allocation of class time. We have tested it for several semesters in classes that include business and non-business majors and first years through seniors. Feedback indicates that students at all levels and majors find the project extremely informative and rewarding, and shows improved understanding across the financial literacy topics.

Authors

• Cynthia P Guthrie, Bucknell University

• Curtis M Nicholls, Bucknell University