The classroom economy is designed to help students learn about financial literacy from an early age. This page is intended to support you in connecting common financial literacy standards with the experience of the classroom economy.
Our program addresses many of the standards included in the Jump$tart Coalition for Personal Financial Literacy's National Standards in K-12 Personal Finance Education.
My Classroom Economy
- Financial responsibility and decision-making:
Take responsibility for personal financial decisions.
Students must make their rent payments in order to participate in the monthly auction. When a student misses a payment, teachers have the opportunity to discuss decision-making with the student and help him or her to get back on track.
- Make financial decisions by systematically considering alternatives and consequences.
- Students are constantly presented with decision points in the classroom economy program. From career choice, to actions that result in fines and bonuses, to whether or not to purchase items at the auction, students must consider their actions and the alternatives to be successful in the program.
- Income and careers:
Explore career options.
Students must apply for a job in the classroom economy. The jobs range in difficulty and responsibility. By holding a job themselves and observing their peers, students are exposed to a wide variety of job types.
- Identify sources of personal income.
- Students must understand that their salary alone will not cover their rent so they must identify additional income sources. In most cases the additional money will come from bonus opportunities, but some teachers may encourage entrepreneurial behavior as well.
- Planning and money management:
Develop a plan for spending and saving.
Students continually update their bank logs based on their inflows and outflows. Because the program offers incentives for saving, such as the purchasing of one's desk or purchasing an item at the auction, students must develop a plan for saving and spending.
- Develop a system for keeping and using financial records.
- Students must keep a bank log for all transactions. Additionally, students who hold the role of the Banker must keep a log for themselves as well as several clients.
- Develop a personal financial plan.
- Students must develop their own financial plan to meet their individual goals. Some students may have the simple goal of making rent each month, while others might have lofty goals such as paying off their desk or purchasing several items at the auction. Regardless of the goal, each student must develop a plan to meet it.
- Saving and investing:
Discuss how saving contributes to financial well-being.
Students experience what it is like to make or miss rent payments. They also observe their classmates and their financial situations. Throughout the program it is natural for students to discuss their situations and elaborate on their decisions that put them there.