Financial Planning

Objective: 

Participants will be able to understand why and how they should do financial planning

Total Time: 90Minutes

Materials Required: NA

Instructor Note: 

Having financial skills help the person plan his/her life in such a way that they are able to make the best use of opportunities and have money saved with them in times of difficulty. 

It is proper financial planning which helps the person to have a happy life. Trainers are requested to read about current interest rates and other details of all the basic saving schemes that banks, insurance companies and post offices offer. Make the session focused on building a habit of saving money and using the best options to have the better returns.

Opening Protocol: 

• Greet the participants

• Take attendance

• In pairs, ask participants to share with each other how they are feeling

• Recap the previous session by asking 1-2 participants to share with the class, what they learnt and did in the previous session

5 minutes

Opening Activity:

• Ask students how they save money? Take a few answers from students. Discuss various ways of savings done by students and their family. 

• Introduce them to the topic of Financial Planning and explain the concepts mentioned in the student’s handout. 

• Ask students what Insurance is and do they have any insurance. Ask if their parents working in government and private firms have insurance. Keep a discussion and then explain to students about Insurance (refer handout). Make sure to explain all the information given in the students handout.  

10 Minutes

Activity 1: BoardRoom Presentation 

• Divide the class in 5 groups

• Group 1 to be the family of customers. Other 4 groups will be the sales teams of various financial institutions:-

• Group 2- Bank

• Group 3- Insurance

• Group 4- Mutual Funds

• Group 5- Post office

• Each group will have to come in front and present their saving schemes to convince the customer group to invest in their plans

• Each group will get 5 minutes to present. Customer group will take another 10 minutes at the end of all 4 presentations to ask questions to be able to make a decision

• Customer group will then decide which schemes they will go for and why

• Trainer will guide the customer group to ask relevant questions and make a good decision

• Customer group will come in front at the end to justify their decision. 

35 Minutes

Activity 2: Financial Forecast 

• Divide the class in groups of 3-4

• Tell everyone that they have a hypothetical amount of Rs. 10,000 in their account and they have to find the best way to increase this amount to the maximum 

• The time period for the investment will be 5 years

• Let groups do the research, if they want. Give them 15 minutes to do the calculations

• After 15 minutes, ask each group to just tell the amount they can have after 5 years using 10,000 as the base amount today

• Pick 3 groups who are mentioning the highest amounts and ask them to present their financial planning

• Appreciate/ Reward the group that is showing the highest feasible returns.  

30 Minutes

Closing/Debrief:

Use these 5 minutes to motivate participants to use financial planning in their life irrespective of what they are doing. Encourage them to save money. Also, take their questions, if any. 

5 Minutes

Closing Protocol: 

• Thank the participants for their time

• Announce the next time you will be visiting them

• Share the topic of the next session

• Collect 1-2 most interesting activity sheets/artefacts from students and show to Nodal officer and institution head after session

• Click pictures of the artefacts for documentation

5 Minutes