Arkansas
10th-12th Grades
State Standards
Financial Literacy
Standard 1.0Assess the role of money in personal finance.
Performance Indicator 1.1Assess the role and functions of money in the economy.
1.1.1Research the origins of money and its role in the economy.
1.1.2Investigate the regulatory roles of the U.S. Treasury and the Federal Reserve in establishing monetary policy.
1.1.3Investigate sources of tax revenue and how monies are redistributed.
1.1.4Explain the concept of a 'cashless society'.
Performance Indicator 1.2Examine the relationship between income and career choice.
1.2.1Explore career opportunities in finance and financial planning.
1.2.2Develop job‑seeking skills, including résumé building and interview skills.
1.2.3Identify job duties, skills, and abilities required for careers in finance and financial planning.
1.2.4Examine and compare employment benefits offered by potential employers.
Performance Indicator 1.3Analyze income, payroll, and employment forms.
1.3.1Examine and complete W‑4, I‑9, and employee‑benefit forms.
1.3.2Identify the components of a paycheck.
1.3.3Evaluate how payroll deductions (federal and state income taxes, FICA, optional deductions) impact gross pay.
1.3.4Calculate gross and net income for salary, hourly, and overtime pay.
1.3.5Investigate the individual's responsibility in accurately reporting income.
Performance Indicator 1.4Assess the role of budgeting in meeting financial goals.
1.4.1Distinguish between wealth and net worth, comparing and contrasting the two.
1.4.2Use a goal‑setting strategy to create personal financial goals (short‑ and long‑term planning).
1.4.3Determine the purpose and need for a budget, identifying factors such as charitable giving, saving, food, clothing, transportation, personal expenses, insurance, household expenses, and recreation.
1.4.4Explain the reasons for saving and discuss several methods of saving to reach financial goals.
1.4.5Create and balance a budget, incorporating financial‑management strategies.
1.4.6Examine factors that influence consumer spending and demonstrate financially beneficial shopping strategies.
1.4.7Calculate shopping discounts.
1.4.8Calculate correct change due in a cash transaction.
Performance Indicator 1.5Assess the impact of interest on borrowing and investing.
1.5.1Compare the effects of interest rates as applied to saving and loaning money.
1.5.2Examine how consumers are affected by raising and lowering interest rates.
1.5.3Describe concepts relating to simple and compound interest.
Standard 2.0Analyze the services financial institutions provide for consumers.
Performance Indicator 2.1Evaluate types of financial institutions and services they provide.
2.1.1Distinguish between types of financial institutions and their regulatory agencies (FDIC, NCUA).
2.1.2Investigate factors to consider when shopping for a financial institution.
2.1.3Research banking services available to consumers (checking, savings, CDs, mutual funds, money‑market accounts).
2.1.4Explore the process for opening different types of accounts.
Performance Indicator 2.2Investigate types of consumer protection and concepts of credit abuse and fraud.
2.2.1Identify types of fraud and credit abuse.
2.2.2Examine the different types of consumer protection.
2.2.3Develop strategies to protect oneself from fraud and identity theft.
2.2.4Assess the need for banking insurance and the role it plays in achieving financial security.
Standard 3.0Demonstrate the ability to use credit as a financial tool.
Performance Indicator 3.1Evaluate the use of credit in effective financial management.
3.1.1Compare and contrast sources of credit, evaluating the products and services of each.
3.1.2Differentiate between types of credit and loans.
3.1.3Calculate the actual costs associated with credit.
3.1.4Examine the credit‑card and loan‑application process, including factors related to credit approval.
3.1.5Evaluate the risks associated with over‑extending credit, types of debt management, and how bankruptcy may affect future financial opportunities.
3.1.6Explain the purpose of collateral and explore the various types.
3.1.7Determine the impact that a down‑payment has on the cost of a loan and how it decreases risk for the lender.
Performance Indicator 3.2Assess the impact of using credit cards to manage credit.
3.2.1Evaluate the use of credit cards as compared with other types of credit.
3.2.2Investigate the advantages and disadvantages of using credit cards to manage finances.
3.2.3Analyze how credit‑card use influences credit score.
Standard 4.0Evaluate the use of insurance for risk management.
Performance Indicator 4.1Understand insurance and risk management concepts.
4.1.1Assess the need for insurance in managing risk.
4.1.2Define the basic terminology of insurance.
Performance Indicator 4.2Investigate types of insurance available in the marketplace.
4.2.1Analyze auto‑insurance coverage and factors affecting cost.
4.2.2Evaluate health‑insurance options.
4.2.3Explore and assess the need for supplemental‑insurance plans.
4.2.4Assess the need for home‑owners and rental insurance.
Standard 5.0Determine the value and risk of investments.
Performance Indicator 5.1Explore investment services offered by a variety of institutions.
5.1.1Research institutions involved in regulating investing, including the Securities Exchange Commission (SEC).
5.1.2Examine the difference between investment providers.
Performance Indicator 5.2Evaluate the types of investments available in the marketplace.
5.2.1Discuss various markets, major indices, and types of markets.
5.2.2Describe different types of investments.
5.2.3Research the purpose of stocks and factors that affect the price.
5.2.4Investigate the different types of mutual funds.
5.2.5Explore the different types of bonds, including the issuers and factors affecting price.
5.2.6Apply investment strategies, including risk vs. return and portfolio management.
Standard 6.0Determine financial strategies used to meet personal goals.
Performance Indicator 6.1Determine financial strategies used to meet long‑term financial goals.
6.1.1Assess how financial strategies should change with the stages of the individual life cycle.
6.1.2Investigate planning strategies for retirement.
6.1.3Research financial planning for other long‑term goals.
6.1.4Discuss the importance and purpose of wills and choosing/designating beneficiaries.
6.1.5Investigate the need for estate planning, including probate, intestate, and inheritance taxes.
Performance Indicator 6.2Evaluate housing options in relation to achieving financial goals.
6.2.1Compare and contrast the actual costs and benefits of renting vs. owning.
6.2.2Analyze factors in determining mortgage costs.