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ACTIVITY . Saving for Your Goals FDIC Money Smart for Young People and TAY Collaborative World of Work Curriculum (WOWBook) We have now covered fixed and flexible spending. budgets and expense reports, and the cost of living. We also reviewed how small purchases can become big expenses in the long run. When it comes to saving money. the same rules apply. Every little bit of money you save will add up over time. Now that you have an idea of what the cost of living would be per month, how would you start saving for big expenses like a new car, owning a home, paying rent, or paying for college or trade school classes? It all starts with having a plan. Directions: Think about a goal you have. Is it to buy a car? Take college classes while in high school? Buy gifts for family and friends? Or just to save money for a rainy day or unexpected emergency? What's you goal? Complete the chart below with a some of your big savings goals and their costs. Then, list how much money you can save each month for that item. Once you have the cost and the amount of money you save, you will be able to calculate how long it will take you to meet you goals. Bigger amounts will take longer, but don't let that discourage you! An example has been done for you. Total time before you How much does it How much can you reach your goal? What's Your Goal? cost? save each month? (Divide the cost by how much you can save each month) New iPhone $650 $100 $650/5100 = 6.5 months 1. In looking at your budget and savings goals, what will be some of the challenges you will face when spending and saving money? How can you overcome some of those challenges