Introduction to Personal Finance: Beginning Your Financial Journey, 1st Edition Introduction to Personal Finance: Beginning Your Financial Journey, 1st Edition By John Grable and Lance Palmer Every financial decision we make impacts our lives. Introduction to Personal Finance: Beginning Your Financial Journey is designed to help students avoid early financial mistakes and provide the tools needed to secure a strong foundation for the future. Using engaging visuals and a modular approach, instructors can easily customize their course to topics that matter most to their students. This course empowers students to define their personal values and make smart financial decisions that help them achieve their goals. The next generation of WileyPLUS for Introduction to Personal Finance gives instructors the freedom and flexibility to tailor content and easily manage their course to keep students engaged and on track. Schedule a Demo Sign Up for a Test Drive Adopt WileyPLUS Want to learn more about WileyPLUS? Click Here Hear from our Authors What’s Inside About the Authors Table of Contents Peer-to-Peer videos make financial literacy relevant. Integrated videos with discussion questions featuring students, peers, and professionals reinforce key concepts from each learning objective and illustrate how financial decisions affect our lives. Engaging Animations convey complex concepts. Select learning objectives feature a narrated, detailed animation reviewing all concepts included in reading materials, allowing students to read, watch, or both. Infographics and interactive figures reinforce critical thinking. Approachable infographics increase student understanding of complicated topics while magazine style self-assessments engage students with content and provide opportunities for critical thinking. Your course, your way. Topical assessment available with each learning objective gives instructors the freedom and flexibility to cover only the content that matters most to their students. Features Include NEW Student Loan and Updated Tax Coverage: Up-to-date information empowers students to make good decisions and avoid early financial mistakes. Flexible, Modular Approach: Instructors can select from more than sixty learning objectives and focus on only the content that matters most to their students. Engaging Visual Content: This course invites students to relate to concepts in a personal way using infographics, videos, illustrations, and animations. YNAB Budgeting Project: Using the award-winning You Need a Budget app, students set up a personal budget with video guidance from experts. Integrated, Topical Assessment: Comprehensive end of chapter questions verify knowledge and build upon Learning Objectives to help students apply financial concepts to their own lives. Each chapter includes: Continuing Case: Students follow “Tarek’s” progress from college graduate through marriage and apply their learning by helping him make wise financial decisions along the way. Calculating the Cost of Life’s Financial Journey: This exercise provides students with fun, hands-on calculation questions that build confidence in analyzing data, doing time value of money, and other basic math calculations. Planning for the Future: Mini-case scenarios help students solve true-to-life problems and give them experience dealing with potential situations they may face in the future. Continuing Project—Your Financial Journey: Students develop, implement, and monitor a personal spending plan and walk away with a way to manage day-to-day financial questions and concerns. Practice Questions: Hundreds of multiple-choice, short-answer, and essay questions for each learning objective are integrated throughout the course. Adaptive Practice: Every student has a different starting point, and adaptive practice provides endless opportunities for practice to effectively prepare for class or quizzes and exams. Students begin with a quick, section-level diagnostic to determine their initial level of understanding, and they can use the dashboard and quick reports to see what topics they know and don’t know. John Grable teaches and conducts research in the Certified Financial Planner™ Board of Standards Inc. undergraduate and graduate programs at the University of Georgia where he holds an Athletic Association Endowed Professorship. Prior to entering the academic profession, he worked as a pension/benefits administrator and later as a registered investment adviser in an asset management firm. Dr. Grable has served the financial planning profession as the founding editor of the Journal of Personal Finance and co-founding editor of the Journal of Financial Therapy and the Financial Planning Review. He is best known for his work in the areas of financial literacy and education, financial risk-tolerance assessment, behavioral financial planning, and evidence-based financial planning. He has been the recipient of numerous research and publication awards and grants and is active in promoting the link between research and financial planning practices where he has published over 150 refereed papers, co-authored several textbooks, co-authored a financial planning communication book, and co-edited a financial planning and counseling scales book. Since earning his Ph.D., Dr. Grable has served on the Board of Directors of the International Association of Registered Financial Consultants (IARFC), as treasurer and president for the American Council on Consumer Interests (ACCI), and as treasurer and board member for the Financial Therapy Association. He has received numerous awards, including the prestigious Cato Award for Distinguished Journalism in the Field of Financial Services, the IARFC Founders Award, the Dawley-Scholer Award for Faculty Excellence in Student Development, and the ACCI Mid-Career Award. He currently writes an economics and investing column for the Journal of Financial Service Professionals and provides research and consulting services through the Financial Planning Performance Lab. Lance Palmer received his bachelor’s and MBA degrees from the University of Utah and his doctorate from Utah State University. He is a co-founder of the University of Georgia (UGA) Financial Planning major where he continues to teach courses in financial planning with a focus on tax planning. He is a Certified Financial Planner™ professional. He has served on multiple editorial boards and as president of the Academy of Financial Services. He was selected as a 2007 Lilly Teaching Fellow and received the 2010 Richard B. Russell Excellence in Undergraduate Teaching Award and the 2013 Engaged Scholar Award. Working closely with Georgia United Credit Union, Dr. Palmer has helped to expand the service-learning Volunteer Income Tax Assistance program in Athens, Georgia. Under his supervision, students studying financial planning and accounting complete approximately 1,300 tax returns for families in the local community each year. His students also provide thousands of hours of financial education and planning assistance to tax filers during the tax preparation process. Dr. Palmer is also affiliated with the University of Georgia ASPIRE Clinic. Dr. Palmer’s research has focused on motivating savings among low and moderate-income tax filers through brief intervention strategies. His research has also explored how service-learning participation helps to prepare students for professional work. 1. Beginning Your Financial Journey: The Interior Finance Point of View1.1 Your Journey to Financial Well-Being1.2 Human Capital: An Essential Element of Financial Well-Being1.3 Financial Risk Tolerance and Financial Goal Achievement1.4 Financial Goals and Time Perspective1.5 Psychology and Financial Well-Being 2. Tools for Your Financial Journey2.1 The Power of Compound Growth2.2 Overview of Time Value of Money2.3 Time Value of Money Calculations2.4 Your Starting Point: The Balance Sheet2.5 The Personal Budget2.6 Your Financial Plan 3. Earnings and Income: The Building Blocks of Your Financial Journey3.1 Income: Produce More Than You Spend3.2 Employment Earnings3.3 Investment Income3.4 Capital Gain Income3.5 Government Benefits: The Safety Net for Income 4. Personal Taxation4.1 Understanding Your Taxes4.2 Federal Income Tax Base4.3 Federal Income Tax Rates4.4 Federal Income Tax Credits4.5 Federal Self-Employment Taxes4.6 Income Tax-Planning Strategies 5. Checking Accounts, Credit Scores and Credit Cards5.1 Checking Accounts: The Basics5.2 Debit and Prepaid Cards and Electronic Transfers5.3 Costs of Borrowing5.4 Credit Reports5.5 Credit Scores5.6 Credit Cards 6. Loans and Housing Decisions6.1 High-Cost Consumer Loans6.2 Personal Loans6.3 Financial Aid and Student Loans6.4 Auto Loans6.5 Housing: The Basics of Renting6.6 Buying a Home 7. The Foundation of Savings7.1 Risks, Returns, and the Investment Pyramid7.2 Building and Maintaining an Emergency Fund7.3 Savings Accounts7.4 Using Roth IRAs Effectively7.5 US Savings Bonds7.6 Custodial Accounts and Asset Ownership for Minors7.7 Identity Theft and Other Financial Frauds 8. Investments8.1 Stocks: An Introduction8.2 Stock Valuation8.3 Bonds: An Introduction8.4 Mutual Funds8.5 Exchange-Traded Funds8.6 Domestic vs Foreign Investments8.7 Risks, Returns and Investments Portfolios 9. Risk Management: The Role of Insurance9.1 Insurance: What It Is and Why You Need It9.2 Health Insurance9.3 Disability Insurance: Protecting Your Income from Life’s Unexpected Events9.4 Life Insurance: Do You Really Need It?9.5 Automobile Insurance9.6 Renter’s and Homeowner’s Insurance: Protecting Your Personal Belongings9.7 Long-Term Care Insurance 10. Planning for the Long-Term Future: Retirement and End-of-Life Directives10.1 Planning for Your Retirement10.2 Individual Retirement Accounts (IRAs)10.3 Property Ownership and Trusts10.4 Wills: A Fundamental Estate Planning Tool10.5 Living Wills and Powers of Attorney10.6 Obtaining Help from Financial Professionals Wiley Team for Success. Dedicated to Student Achievement. The Team for Success authors are dedicated to ensuring that all of their Accounting titles are accessible to students, current, accurate, and have a consistent voice and pedagogy from introductory accounting to the intermediate level. Millions of students worldwide have learned from their exceptional resources—and now students are getting real results using ORION Adaptive Practice available in WileyPLUS for Accounting.