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LHS Seniors Learn Healthy Financial Habits
Wednesday, May 3, 2017
Do I need it or do I just want it?
It’s a question people face every day and that’s why Edge Federal Credit Union recently teamed up with Liverpool High School to teach seniors basic financial literacy skills.
LHS seniors taking economics this semester participated in a real world simulation called Mad City Money. Each participant was presented with a scenario - including occupation, children, salary, spouse, student loan debt, credit card debt, and medical insurance payments – and asked to navigate the real world of juggling regular bills and financial surprises.
Each senior was asked to build a monthly budget based on their incomes and visit nine Mad City merchants to purchase housing, transportation, food, day care and other needs. Participants used debit cards for their purchases and had to balance both their debit card registers and their budgets. They also experienced the Fickle Fingers of Fate when they were presented with either an unexpected expense or windfall.
At the end of the simulation, the LHS seniors were expected to have no more than $100 in their checking account. If they did, they had to use it to pay off debt or deposit it in their savings.
The Credit Union National Association developed the Mad City Money financial simulation to help students understand the importance of building healthy financial habits.