SWBAT:
â¢ Define budget and income
â¢ Calculate monthly income
â¢ Create a budget for spending

What is a budget? How do we use it and why is it important? Students work on these questions in the context of the College Project.

5 minutes

See my **Do Now** in my Strategy folder that explains my beginning of class routines.

Often, I create do nows that have problems that connect to the task that students will be working on that day. Here I want students to apply their percent skills. Some students may use division. Some students may calculate an easier percent to start with and work from there. I ask students to share out their thinking.

5 minutes

I explain that needs are things that you feel you *must *have. Wants are things that you feel are *nice *to have. I have students participate in a **Think Write Pair Share. **I ask students to quickly share out their ideas. It is interesting to hear what students want to do with their money. After yesterday’s lesson **(Loans and Savings)** some students may even say they are going to save it! Win! :)

7 minutes

5 minutes

I explain that needs are things that you feel you *must *have. Wants are things that you feel are *nice *to have. I have students participate in a **Think Write Pair Share. **I ask students to quickly share out their ideas. Some students will list a cell phone as a need, while others will argue it is a want. Students may also debate other issues like clothes. I have had students share that clothes would be both, since you need a basic amount of clothes and then there are clothes that you don’t really need, but you want them.

I have students brainstorm reasons why they might have a short, medium, and long-term savings goal.

15 minutes

I have a volunteer read about Nathan. I ask students to identify 100% and 0% of his monthly income. From there, how could we figure out 50%? 10%? It is important that students are always checking their amounts to see if they are reasonable. Should 9% be more or less money than 10% of his monthly income?

What are other expenses that will be easier to find? Students will respond that since we know 10% of his income, 5% and 30% are easy. I have students work in partners to figure out 9%, 14%, and 7%. I walk around and monitor student progress.

Students may struggle at first, and that is okay. Students are engaging with **MP1: Make sense of problems and persevere in solving them**. A common mistake is that students may divide the monthly income incorrectly. For example, they may divide the income by 7 to find 7%. If I see this, I ask what 7% means? What is 10% of his monthly income? Should 7% of his monthly income be more or less money than $250? Why? What is 5% of his monthly income? How do you know? What % would we have to add to 5% to get 7%? Is there a way you can figure out what 1% of his monthly income is?

We come back together to share out strategies on finding budget amounts. I have a few students come to the front to show and explain their work.

I ask how we can check that we didn’t miss anything? I want students to realize that if we add up all of our budget amounts it should add up to $2500. If it doesn’t, we have made a mistake.

15 minutes

Students move on to problems 2 and 3. Students work independently. I **Post A Key** so students can check their work. I walk around and monitor student progress. I am looking to see what strategies students are using. What % are they most comfortable working with? Which % are causing problems? I use these observations to inform my questions in the lesson closure.

If students are struggling, I may intervene in the following ways:

- Have the student set up the percent ruler with what they know. Work to find 50%, 10%, and 5% first.
- Give students a calculator to check their work.
- Pull a small group to work together.

If students successfully complete their work they can work on the budget section of the College Project.

8 minutes

For **Closure **I ask my students to explain in their own words what is a budget. Why is creating a budget important? I remind them that it isn’t enough to actually make a plan, they have to actually do it. I ask students to share ideas about what they could do to make sure that they actually follow a budget. If I have time I show them websites like mint.com, where you can create a budget, make goals, and track your spending and saving.

There will probably be students who have unanswered questions (either during the Closure or at an earlier point in this lesson). I give these students post-its to post their question on the **Project Parking Lot.**

Instead of giving a ticket to go, I collect their work on problems 2 and 3 to analyze.** **For homework**, **I tell students that they need to work on the Budget pages in their College Project. They should complete page 7 and start page 8. They will have to pick which job they want to have from the options on the “Working During College” pages. Option A is easier to create a budget, where as Option B and C will involve rounding to the nearest penny.