Welcome to Week 3 of Money Study Group! This course is built on the Big Idea that every college graduate can become a millionaire by age 50 by obeying the 3 Laws of Personal Finance. With engaging assignments, discussions, and hands-on tools like RightCapital, you’ll gain the knowledge and skills needed to take control of your financial future.
Here’s my list of Intended Outcomes for this semeser and beyond:
The 3 Laws of Personal Finance
1. Master the 1st Law of Personal Finance: The Law of Spending and Saving
• You’ll learn how to live below your means, build an emergency fund, and consistently save a portion of your income to create a solid financial foundation.
2. Apply the 2nd Law of Personal Finance: The Law of Tax-Advantaged Investing
• You’ll gain confidence in using tools like 401(k)s, Roth IRAs, and HSAs to maximize your savings while minimizing taxes. This is the key to growing wealth over time.
3. Commit to the 3rd Law of Personal Finance: The Law of Purpose and Commitment
• You’ll align your financial decisions with your vision, values, and purpose, ensuring your financial goals reflect what matters most in your life.
Course Outcomes
4. Build Confidence in Financial Planning
• You’ll create a personalized financial plan in RightCapital, projecting yourself 10 years into the future and making decisions as if you are living your dream life.
5. Develop Realistic Budgeting Skills
• You’ll learn how to create and manage a budget that balances income, expenses, and savings, setting the foundation for long-term financial success.
6. Understand and Manage Debt
• By simulating mortgages, car loans, and credit card debt, you’ll understand the cost of borrowing and explore strategies for paying off debt effectively.
7. Master The Perfect Investment: The 401(k)
• Learn how to set up your 401(k) on day one of your dream job and implement 4 proven strategies:
• Diversification
• Asset Allocation
• Dollar-Cost Averaging
• Portfolio Rebalancing
8. Analyze Investment Options
• You’ll evaluate mutual funds, ETFs, index funds, stocks, and bonds, and learn how to build a diversified portfolio tailored to your goals.
9. Leverage Tax-Advantaged Accounts
• You’ll explore how tax-advantaged accounts can help you build wealth faster by reducing tax liabilities and maximizing compound growth.
10. Visualize Financial Growth Over Time
• Through practical use of RightCapital, you’ll see how saving and investing consistently over time leads to financial independence.
11. Connect Financial Decisions to Your Vision
• Reflect on how your personal values and experiences shape your financial behaviors, and align your decisions with your long-term goals.
12. Plan for Financial Independence
• Design a comprehensive financial plan that empowers you to achieve milestones like homeownership, debt freedom, and early retirement.
13. Build Lifelong Financial Confidence
• Leave the course with a practical understanding of personal finance principles and tools that you can continue using to refine your financial plan.
Why This Matters
This course is about more than just numbers—it’s about giving you the skills, tools, and mindset to take control of your future. By the end of this semester, you’ll have the knowledge and confidence to grow your wealth, achieve your dreams, and set a strong foundation for financial independence.
