A Day With Moneythink

Northwestern University – Schurz High School, Chicago, IL

Mike Perugini (left), a Moneythink mentor from Northwestern University, kicks off the session by discussing how to break down a paycheck so that they have enough money to spend and save for later. Jovanni Pagan (center) says he would keep $100 to spend and save the rest of his paycheck. Mike suggests using the Moneythink SMART goals strategy for saving money. Daniel Rivera (right) listens.

Jovanni recalls a time when he made an impulse buy, falling under pressure by a group he used to consider “friends” to blow his paycheck on a video game that they all wanted to play. This isn't uncommon, as for most of our students, money is social.

“When do we spend that money? When does ‘later’ start?” Jovanni asks after the conversation about saving. Among the examples Mike points out: college, emergencies, future investments like a car or house, and retirement.

Mike explains why it’s easier to save money in a bank account instead of at home. Rather than charging you to store your money, he clarifies, the bank pays you interest for your money, just like borrowers pay interest on loans. “Money costs money,” he explains.

Mentors cooperate with students to fill out a worksheet about savings and compound interest over time.

Kathy Bustamante calculates the total compound interest accrued in a hypothetical savings account after various amounts of time.

Kathy Bustamante calculates the total compound interest accrued in a hypothetical savings account after various amounts of time.

Mike and Jovanni clear up confusion and crunch numbers on the worksheet determining total savings, including compound interest, accrued in a hypothetical account over time. Jovanni smiles at the resulting interest earned.

Mike takes some time out to discuss business professional attire, demonstrating his own attire as an example. He points out his own tie, white shirt, suit and pants, and shoes, distinguishing business professional and casual for both men and women. The week before, the mentors demonstrated business casual.

Professionalism goes beyond just attire and includes good posture to show attentiveness and respect, teacher Sarah Varland tells the students as she exhibits examples of good and bad posture. An avid supporter of the SMART goal strategy, Sarah wants her students to understand that when they see a successful person, they shouldn’t think they are any different and that it is possible for the students to get there, too.

Sarah surprised students by announcing she and the mentors had been observing students’ postures and professional behaviors as a contest for a prize. Jovanni takes home the cake---or, the candy. And a growing understanding of financial literacy.