College & Career Project 2018-19
This project is designed to help you to realize what skills, education, and resources you will need to live the life you hope to live. This will include financing your education, securing your career, finding a house/apartment, buying and affording a car and developing a budget. Your expenditures must match your income. This is a dramatic realization for some! We should also have fun in this assignment as we "dream" about our futures!Students will:
- research careers in anticipation of following that path
- research the educational requirements needed to follow that career path
- calculate costs associated with their education process
Get a Job!
First thing you will need to do is decide on a career! Use the Occupational Outlook Handbook or your Maia Learning accont to identify your career (if you have not already decided). You will need to research at least three (3) different careers that interest you. You will need to research and calculate the average starting salary for your chosen profession.
Use the Career and College Loan Worksheet - Word format available here!
Don't Be a Fool - Go To School! (or you will end up like this)You must then decide on a college where you will prep for you job. Go to College Profiles.com or U.S. News and find a college that you plan to attend. (Other sites: Princeton Review, College Navigator, College View, and MAIA Learning. You will need to research three (3) different schools (a Community College, a SUNY school, and a University)
You will need to determine the TOTAL cost (Tuition & Room & Board) and the average amount of financial received. (Here is another resource to find the average financial aid offered.) If you choose to live at home and not dorm, you must calculate a cost for milage and car expenses into your costs for college (this can be no less than half of the Room & Board cost of the school).
Subtract that average financial aid from the total cost and that will be the amount you will have to borrow - your Student Loan amount.Go to the Student Loan Calculator and determine the monthly cost of your student loan (using 5% for the interest rate).This will be a monthly expense. Use the Career and College Loan Worksheet - Word format available here!
Oh the stars at night, shine big and bright, deep in the heart of TAXES!
2017-18 TAXES WORKSHEET* Taxes Worksheet - 2017-18By law, employers must pay taxes that are withheld from employee paychecks. They are withheld rather than billed annually because they realize that people would not have the resources to pay all their taxes owed at one time. The most common taxes are federal, state and sometimes municipalities levi their own income tax. Income taxes are required contributions to federal and state revenue, levied by the government on personal income and business profits.In addition, employees have to pay a FICA (Federal Insurance Contributions Act) of Social Secuity (6.2%) and Medicare (1.45%) contribution with each check. The Social Security taxes provide retirements benefits and benefits for the dependents of retired or disabled workers. the Medicare tax is used to provide medical benefits to certain individuals when they reach the age of 65. Workers, retired workers, and the spouses of workers and retired workers are eligible to receive Medicare benefits upon reaching age 65. For 2018, the maximum taxable earnings amount for Social Security (OASDI) taxes is $128,400. There is no limitation on taxable earnings for Medicare's Hospital Insurance (HI) taxes. We will use the following link to calculate our tax withholding for our Average Starting Salaries for this project.
Most covered workers make a contribution toward the cost of the premium for their coverage. On average, covered workers contribute 18% of the premium for single coverage and 31% of the premium for family coverage. Workers in small firms contribute a higher average percentage of the premium for family coverage than workers in large firms (39% vs. 28%).
With regard to dollar amounts, the average annual premium contributions by covered workers for 2017 are $1,213 for single coverage and $5,714 for family coverage. For the sake of simplicity, let us assume that the annual amount that you need to contribute to help pay for your health insurance coverage is an even $1200.00. That would mean your monthly contribution would be the annual contribution divided by 12 or $100 per month. Use the $100 in cell B25 of your Monthly Budget 2018.
OUT! Get out of this house!Okay, you have outlived your welcome at your parent's house! Time to find your own digs! Your first place will probably be a rental. Use the links below to research a place to live. You can have a roommate if you wish to help split the costs. You can reference the WNY Home Finder online to find a place to rent or use Zillow. Remember this is a budget project, keep your expectations within reason! Make sure you gather as much data as possible about your potential apartment. If it does not specifically reference that electricity, gas, and water and sewer are covered by your monthly rent, then you will need to calculate those costs based on the percentages listed on your Monthly Budget 2018 spreadsheet (Gas and Electric - 4% of your monthly gross and water and sewer - 2% of monthly gross). Complete the Housing Worksheet available on our Google Classroom site.
Vroom! Vroom! She's real fine, my 409!
Now you have to buy a car. You can search on Autotrader.com or Autoweb.com for listings. You can also check the local paper or deal at online dealerships. Of course you should obtain Automobile Insurance as well! You can determine your monthly loan amount using this auto loan calculator. Use 5% as your percentage rate for this loan. Here is a copy of our Car Payment Worksheet, also found on our Google Classroom site. Use this link to calculate your estimated annual insurance premium or you can use this link to find the average! You will probably arrive at an annual quote. The monthly premium will be calculated by dividing the annual premioum or quote by 12.Here is a helpful "Quick Worksheet" to help keep track of your budgeting work.Setting up your budget!
Now you will have to figure out your monthly mortgage/rent payment and your monthly car payment. Remember you have to put at least 10% of the cost of the house down (down payment). Some budget experts recommend that a house payment should be no more than 28% of your gross monthly income, and that a car payment should be no more than 12% of your gross monthly income. Decide if your net income will make it possible for you to afford your house and car. If not, go and find a car and house that you can afford. You should download the 2018 Personal Budget Worksheet and use that as your working budget. Here is link to some information on the cost of living in Buffalo area.Here are some guideline percentages for you to consider when creating a budget. More information on the Quicken Home Budget Reality Check link below.
- 30% Housing
- 10% Utilities and other housing expenditures (including renters insurance)
- 15% Food (at home and away)
- 10% Transportation (including car loan)
- 10% Debt repayment (student loans and credit cards)
- 10% Saving
- 5% Clothing
- 5% Entertainment
- 5% Car insurance and miscellaneous personal expenses
Researching ExpensesNow it is time for a reality check! Research the cost of the various expenses you plan to encounter. You can use information from your parents or an older brother or sister to help you in this. You may also speculate (guess) with some online research. Here is a good source for helping you "guess-timate" your expenses. Quicken Home Budget Reality Check! This link will give you an indication, based on the U.S. Census of how households spend their money.Be sure to sign up for a
presentation time slotThe final step of this project, is to create an electronic presentation to present your budget and lifestyle. Your presentation should have (at the minimum) the following:
- Slides that include your name and the basics of your career and education.
- Job - and brief description of what you will be doing / Location
- College / Major - degrees
- Tuition / Financial Aid / Loan Costs
- Slides that shows the yearly income you earn and the various taxes (Federal, State, and FICA - itemized) you pay. (Net Pay)
- Slides that shows the chosen vehicle and specific information about your automobile (color, year, make, accessories, financing, insurance, etc.)
- Slides that shows all the details about where you are living including; location, costs, utilities, etc.
- Your monthly budget, including all expenses (including your payroll taxes as expenses) balanced against your net pay. (INCOME should equal EXPENSES - any amount "left over" should go toward savings)
- A graph, would be a great idea to help explain outflows vs. inflows (Income and Expenses)
- Slides that explains what you learned in this project
Each slide need only be a brief snapshot of what you have in your report. Keep it simple yet informative. Graphical representations of your budget may be very useful!PRACTICE YOUR PRESENTATION WITH A PARTNER - WORK WITH THE PARTNER TO ADVANCE THE SLIDE SHOW FOR EACH OTHER. USE NOTE CARDS OR INDEX CARDS TO GUIDE YOUR PRESENTATION.I DO NOT WANT YOU READING YOUR PRESENTATION TO ME - I CAN READ!I WANT YOU TO SUMMARIZE AND ENHANCE WHAT IS ON THE SCREEN.