Finance is something that everybody should know and practice on a day-to-day basis, yet most people have no clue where to even start or how finance applies to them. I was in this group just a few years ago when I decided to sit down and figure it all out. Now I want to share my knowledge of financial organization in a simple, straightforward Micro Massive Online Open Course (mMOOC) so others in my shoes can get their financial lives on track.
In my ‘Finance for Fools’ course my peers will master basic personal finance and financial organization by creating their own foundational framework for financial stability and participate in a collaborative Google Doc based Q&A forum.
Course Topic: Personal Financial Organization
I expect this course will attract young adults going through financial shifts in life. College graduates, newlyweds, first-time parents, new homeowners, anybody starting a new job. These lifecycle events encompass a lot of financial instability and change. Having financial organizational skills in place and comfort with basic personal finance will allow for increased confidence in financial decisions early and a more enjoyable experience as they make these life transitions. The desire to participate in this course will stem from the necessity to maintain financial stability during times of increased responsibility. Unlike simply researching financial concepts online, students will want to take this course in order to receive an interactive opportunity to work through their own personal finances. Throughout the course they will be able to individualize their learning experience by reflecting on their personal financial situation.
Upon completion of this course learners will have solid electronic and paper financial organizational systems in place to continue to build upon for the rest of their lives. They will also have a fundamental understanding of responsible financial decision making, saving, and investing. To accomplish these goals they will have to employ meta-cognition, self-reflecting on current financial stability, spending habits, lifestyle, and financial means. Each step of the way, they will have dedicated reflection time to understand their own personal finances as it relates to what they are learning and what new skills and knowledge they will be employing. As they come across new questions while they think about their current financial thinking, they will be able to participate in a collaborative Q&A forum to bounce these questions off others in similar situations.
Based on my research into a deeper understanding of how the learning domain of metacognition aids in learning and educational growth, I identified the features of self-reflection that allow a person to improve their approach and goal seeking actions. Focusing on one’s metacognition can be especially helpful in dealing with financially planning. “Indicators of metacognitive skillfulness during task performance are systematically following a plan or deliberately changing that plan, monitoring and checking, note-taking, and time and resource management” (M.V.J. Veenman, 2012), all of which are critical parts in being responsible and aware of one’s financial decisions. A period of self-reflection on spending, and living within your means is hard to do, yet essential to financial stability. Starting early in life and constantly reflecting and thinking about your financial thinking, will “guide and control the execution of the task at hand.”(M.V.J. Veenman, 2012) Being secure in finances and taking time to reflect on what worked and what didn’t work with your personal spending and saving will help to “evaluate and interpret the outcome, and to learn from one’s course of action for future occasions” and will allow for more freedom and security in life. (M.V.J. Veenman, 2012)
Throughout the different modules, peers will make a home financial document filing system, an electronic document filing equivalent, and an account on an online financial aggregator/organizer.
Technological, pedagogical, and content knowledge (TPACK) are essential to making this course successful. This course brings together the use of innovative financial technology and organization, traditional pedagogical knowledge (filing), and basic financial concepts (budgeting, saving, and basic investing) in order to give peers a complete foundational experience in financial organization.
This course will include an open forum for questions, answers, and discussions on different financial topics they are interested (via Google docs). Peers will also collaborate and share their progress and ideas along they way so that they can benefit from each other’s experiences.
Course Outline:
For each Module the course audience will use various web-based sources to research the very basics of what the identified terminology and concepts are. Directly after they complete basic research, they will be asked to post questions about their findings, or personal questions in regards to the new terms they are processes to an open Google Doc. Each week, as the course facilitator I will go and answer the posted questions. In addition each week a Google Form will be made that have the students rank the importance or relevance of the discussed topics.
Module 1: Basics of Personal Finance [2 weeks]
Research: Learn basic financial concepts and terms: assets, liabilities, equity, and budget.
Make: Use Popplet to create a budget cloud, organizing financial responsibilities and goals. Contribute to weekly discussion Q & A, and complete Google ranking survey.
Module 2: Paper Filing [1 week]
Research: Paper filing storage options, what financial entities send you mail or bills. Purchase easy-access filing bins and storage tabs.
Make: Take your storage tabs and separate into categories and subcategories. For example, under banking you might have a tab for your savings accounts, your checking accounts, and investment accounts. Store files from each entity in the appropriate folder. Under vehicles you might have a tab for each vehicle in the family with the purchase/lease documents, maintenance documents, registration/proof of insurance copies, etc. Contribute to weekly discussion Q & A, and complete Google ranking survey.
Module 3: Electronic Filing I: Electronic Documents [1 week]
Research: What entities send you electronic documents? How to set up a secure/encrypted file on your computer?
Make: Create an electronic file system similar to that you made with the storage bins. Download any online financial files such as banking statements, paystubs, credit card statements, etc. You should look into what account you have that have electronic documentation available (likely nearly all of them). Contribute to weekly discussion Q & A, and complete Google ranking survey.
Module 4: Electronic Filing II: Online Aggregator [1 week]
Research: Learn about Mint.com, a popular easy to use online financial management and organization system. Create a list of all financial institutions you interact with monetarily (banks, loan servicers, investment accounts, HSAs, credit card companies, etc.
Make: Establish a Mint account, and explore its features. Download the Mint app. For any of these accounts that have available electronic tracking, set-up an account and add it to Mint. Make a weekly plan in your schedule to review mint transactions. Contribute to weekly discussion Q & A, and complete Google ranking survey.
Module 5: Short Term Planning [1 week]
Research: Find out what an emergency fund is. Do you have one? Learn about easy ways to save money, and how much one normally should be saving. Research credit card options, online banking options.
Make: Think about your current financial situation and make savings goals. Set up an automatic withdrawal from your paycheck to deposit into a savings account you don’t use. Contribute to weekly discussion Q & A, and complete Google ranking survey.
Module 6: Long Term Planning [1 week]
Research: What are stocks, bonds, mutual funds, brokers, 401(k), and IRAs? Learn about the advantages of index funds and retirement goal funds. Does your state have a way to save for children’s education? When do you want to be able to retire? How much do you need to save?
Make: Make a retirement goals popplet. Make a plan for contributing to a retirement account once you have established an emergency fund. Contribute to weekly discussion Q & A, and complete Google ranking survey.
REFERENCE
Personal Finance [Online Image]. (Allen Cleaver). Retrieved June 5, 2014 from https://www.flickr.com
Veenman, Marcel V.J. (2012). Metacognition in Science Education: Definitions, Constituents, and Their Intricate Relation with Cognition. In A. Zohar & Y.J. Dori (Eds.), Metacognition in Science Education: Trends in Current Research (21-36). New York: Springer Publishing Company.