Download What is Monthly Income?

Community-Budget_ Section 1_Beg-Numeracy

Community-Budget: Beginning Numeracy Section 1: Calculating Monthly Income EL Civics 2011-13 Unit Description: This unit is divided into four sections with each section having 3 to 5 activities. This document contains teaching materials for Section 1.    

Section 1: Calculating Monthly Income Section 2: Calculating Monthly Expenses Section 3: Creating a Budget Section 4: Math in the Community

Ronald Hubbs Center EL Civics 2011-2013

1

Community-Budget_ Section 1_Beg-Numeracy

What is a Budget? (S1-A1) Discuss these questions with your classmates. 1. How do you know how much money you make each month? 2. How do you know how much money you spend each month? 3. How do you decide if you are going to buy something or not? 4. How do you pay for a big purchase when you do not make a lot of money? Read each story. Answer the questions Yes or No. What do you think? Story 1: Tania wants to buy a TV. It is on sale for $499 for one day only. Tania thinks she has enough money in the bank. She knows she has to pay for her cell phone bill and car payment this week. She can’t remember how much that will be. 1. Tania should buy the TV now. 2. Tania should check her bank account before she buys the TV. 3. Tania should see how much money her bills will cost after she buys the TV. 4. Tania should buy the TV because it is a one-day sale.

Yes

No

Yes

No

Yes

No

Yes

No

Story 2: Mesfin wants to buy a car. He finds a car that he really likes. He goes to the bank to get a loan to buy the car. His payments will be $250.00 a month. He is not sure he will have enough money every month to pay that. He doesn’t know how much he pays for all his bills each month. But he thinks the car is a good deal. 1. Mesfin should get the loan for the car now. 2. Mesfin should know he has enough money to pay $250 every month before he gets the loan. 3. Mesfin does not need to know how much he spends on his other bills. 4. Mesfin should see if he will have $250 left after he pays his bills every month.

Ronald Hubbs Center EL Civics 2011-2013

2

Yes

No

Yes

No

Yes

No

Yes

No

Community-Budget_ Section 1_Beg-Numeracy

What is Monthly Income? (S1-A2) Part 1: Vocabulary Match the vocabulary words with their meanings. 1) ______ income

a) Once a month

2) ______ sources of income

b) Pay you “take home” c) Things you spend money on d) Every two weeks e) All money you receive f) Once a year g) Money taken out of your paycheck h) The money you make before deductions i) Once a week j) Money you pay to the government k) The ways you get your money

3) ______ net pay 4) ______ gross pay 5) ______ yearly 6) ______ monthly 7) ______ weekly 8) ______ bi-weekly 9) ______ deductions 10) _____ _ taxes 11) ______ expenditures

Complete the sentences below with the correct vocabulary words. 1. I get my ___________ from my job. 2. My other ______________________ are child support and public assistance. 3. Taxes are ______________ that they take out of my check. 4. I get paid ________________ or every two weeks. 5. I get paid ________________ or once a week. 6. My _____________ is $400 every week but my ____________ is almost $600 every week. 7. My __________ income is $24,000. Ronald Hubbs Center EL Civics 2011-2013

3

Community-Budget_ Section 1_Beg-Numeracy

Calculating Monthly Income (S1-A3) Part 1: Calculate Monthly pay from bi-weekly paychecks Bi-weekly net pay Equation: Monthly pay _______ + _______ = _______ x 2 = 1. $624.00 2. $782.15 3. $437.18 4. $1028.52 5. $589.98

Part 2: Calculate monthly income from weekly paychecks Weekly net pay Equation: ___ + ___ + ___ + ___ = _______ x 4 = 1. $624.00 2. $300.15 3. $437.18 4. $292.52 5. $589.98

Ronald Hubbs Center EL Civics 2011-2013

4

Monthly pay

Community-Budget_ Section 1_Beg-Numeracy

Part 3: What other sources of income are there? Income is any money you receive. Sources of income are the ways you receive that money. Usually we receive our income from our job, but what are some other sources of income? 1. 2. 3. 4. 5. 6.

__paycheck_____________ ________________________ _______________________ _______________________ ________________________ ________________________

Circle your sources of income above. Add the other sources of income together. How much is the total income for each person? 1. Nadifo

child support:

$250.00

Public assistance:

$362.50

Food support:

+ $125.75

Total income from other sources: __________ 2. Sadiq

Social Security:

$210.80

Public assistance:

$267.69

Housing support

+ $525.00

Total income from other sources: __________

Ronald Hubbs Center EL Civics 2011-2013

5

Community-Budget_ Section 1_Beg-Numeracy

Part 4: Calculating total monthly income What is the total monthly income of each person? 1. Thuy:

Bi-weekly net pay:

$645.18

Monthly net pay:

________

Child support:

$320.60

Food support:

$163.00

Total monthly income: 2. Sofia:

Weekly net pay:

$216.98

Monthly net pay:

________

Public assistance:

$362.43

Housing assistance:

$422.65

Total monthly income: 3. Too:

__________

Bi-weekly net pay:

$459.62

Monthly net pay:

________

Social Security:

$229.35

Food support:

$130.14

Total monthly income: 4. Meseret:

_________

__________

Weekly net pay:

$257.42

Monthly net pay:

________

Public assistance:

$325.75

Food support:

$ 98.14

Total monthly income: Ronald Hubbs Center EL Civics 2011-2013

6

__________

Community-Budget_ Section 1_Beg-Numeracy

Calculating Total Monthly Income (S1) In a small group, read the paystub and checks from other sources of income. Then complete the following steps: 1. Find the net pay on the paycheck and write it on the chart. 2. Circle if the paycheck is weekly or bi-weekly on the chart. 3. Calculate the monthly salary and write it on the chart. 4. Add the other sources of income together and write them on the chart. 5. Add the other sources of income to the monthly salary and write the total monthly income on the chart Name Net Pay Weekly or Monthly Other Total bi-weekly Salary Sources of Monthly Income Income Moua Her Tigist Hailu Dinh Nguyen In a small group, read the paystub and checks from other sources of income. Then complete the following steps: 1. Find the net pay on the paycheck and write it on the chart. 2. Circle if the paycheck is weekly or bi-weekly on the chart. 3. Calculate the monthly salary and write it on the chart. 4. Add the other sources of income together and write them on the chart. 5. Add the other sources of income to the monthly salary and write the total monthly income on the chart Name Net Pay Weekly or Monthly Other Total bi-weekly Salary Sources of Monthly Income Income Moua Her Tigist Hailu Dinh Nguyen

Ronald Hubbs Center EL Civics 2011-2013

7

Community-Budget_ Section 1_Beg-Numeracy

Sample Checks and Other Income Sources Group 1: Moua Her

Packaging King Moua Her

Rate: 7.50

SSN: 475-57-4754

Gross Pay: 735.00 Net Pay: 616.49 Earnings Deductions Type Hours Amount Type Amount Reg. 80 600.00 Fed Tax 67.94 Over 12 135.00 FICA 18.65 State Tax 21.34 SDI 10.58 Other sources of income:

Pay Date: 2/17/12 Period from 02/04/12 Period thru 02/17/12 Year – To – Date Amount Gross Earnings: 2940.00 Fed Tax 271.76

State of Minnesota

Account: 412352 2/06/2012

Pay to the Order of __________Moua Her__________

$

324.69

_____________three hundred twenty-four and 69/100__________ Dollars For _Housing Assistance_

_Minnesota Department of Human Services_

Thao Her

2432

1492 Etna St. St. Paul, MN 55106

__2/8_, 20_12

Pay to the Order of _________Moua Her_____________ $ ______________two hundred sixty-nine and 85/00______________Dollars __Thao

For ___Child Support_____

Ronald Hubbs Center EL Civics 2011-2013

8

Her___

269.85

Community-Budget_ Section 1_Beg-Numeracy

Sample Checks and Other Income Sources Group 2: Tigist Hailu

Best Baked Goods Tigist Hailu

Rate: 9.50

SSN: 455-55-4554

Gross Pay: 465.50 Net Pay: 305.65 Earnings Deductions Type Hours Amount Type Amount Reg. 40 380.00 Fed Tax 69.83 Over 06 85.50 FICA 10.62 State Tax 23.28 Med Ins 56.12 Other sources of income:

Pay Date: 1/27/12 Period from 01/21/12 Period thru 01/27/12 Year – To – Date Amount Gross Earnings: 1862.00 Fed Tax 279.30

State of Minnesota

Account:

245962

1/24/2012 Pay to the Order of __________Tigist Hailu__________

$

84.72

_____________three hundred twenty-four and 69/100__________ Dollars For _Energy Assistance_

_Minnesota Department of Energy_

Mesfin Hailu

2432

1292 University Ave St. Paul, MN 55104

__1/22_, 20_12

Pay to the Order of _________Tigist Hailu__________________

$

257.42 ______________two hundred fifty-seven and 42/100______________Dollars __Mesfin

For ___Child Support_____

Ronald Hubbs Center EL Civics 2011-2013

9

Hailu___

Community-Budget_ Section 1_Beg-Numeracy

Sample Checks and Other Income Sources Group 3: Dinh Nguyen

Bicycles & Beyond Dinh Nguyen

Rate: 10.75

SSN: 422-57-2254

Gross Pay: 1021.10 Net Pay: 674.44 Earnings Deductions Type Hours Amount Type Amount Reg. 80 860.00 Fed Tax 153.17 Over 10 161.10 FICA 21.16 State Tax 51.06 Med Ins 121.27 Other sources of income:

Pay Date: 12/30/11 Period from 12/17/11 Period thru 12/30/11 Year – To – Date Amount Gross Earnings: 26,548.60 Fed Tax 3,982.42

State of Minnesota

Account:

3425692

12/06/2011 Pay to the Order of __________Dinh Nguyen________________ _____________two hundred forty two and 19/100__________ For _Training Program Tuition _

$

242.19

Dollars

_Minnesota Department of Education_

Sandra Powers

2432

1192 Simms Blvd Brooklyn Park, MN 55443

__12/8_, 20_11

Pay to the Order of _________Dinh Nguyen______________________ $ __________________________sixty and 00/100_________________ __Sandra

For ___Snow removal_____

Ronald Hubbs Center EL Civics 2011-2013

10

60.00 Dollars

Powers___