Financial Planning for Young Adults

About this course: Financial Planning for Young Adults (FPYA), developed in partnership with the CFP Board, is designed to provide an introduction to basic financial planning concepts for young adults. The FPYA course is organized across eight separate modules within a 4-week window. Topics covered include financial goal setting, saving and investing, budgeting, financial risk, borrowing and credit. Because financial planning is such a personal topic, you will be encouraged to define your own financial goals and objectives while we discuss concepts and provide tools which can be applied in helping you reach those goals. Within each module, you will view a combination of traditional lecture style videos along with video vignettes that introduce financial topics for discussion among participants. The video vignettes provide a unique and exciting component to this course. Each vignette introduces a real-world scenario where financial decisions must be made and financial planning concepts can be applied. You will be challenged to think critically about each scenario and decide how you might come to a resolution if ever faced with a similar situation. Finally, the course also includes material throughout which is focused on career opportunities in financial planning, including video interviews with actual CFP® professionals and other professionals working in this exciting and growing career area. The final module in the class is devoted to the topic of financial planning as a career.

Created by:  University of Illinois at Urbana-Champaign

• Taught by:  Nicholas Paulson, Associate Professor

  Department of Agricultural and Consumer Economics

• Taught by:  Kathryn L. Sweedler, Consumer Economics Educator

  University of Illinois Extension

• Taught by:  Charles R. Chaffin, Director of Academic Programs and Initiatives

  Certified Financial Planner Board of Standards

Level Beginner Commitment 4 weeks of study, 3-4 hours/week Language English How To Pass Pass all graded assignments to complete the course. User Ratings 4.5 stars Average User Rating 4.5See what learners said Coursework

Each course is like an interactive textbook, featuring pre-recorded videos, quizzes and projects.

Help from your peers

Connect with thousands of other learners and debate ideas, discuss course material, and get help mastering concepts.

Certificates

Earn official recognition for your work, and share your success with friends, colleagues, and employers.

University of Illinois at Urbana-Champaign The University of Illinois at Urbana-Champaign is a world leader in research, teaching and public engagement, distinguished by the breadth of its programs, broad academic excellence, and internationally renowned faculty and alumni. Illinois serves the world by creating knowledge, preparing students for lives of impact, and finding solutions to critical societal needs.

Syllabus


WEEK 1


Orientation



2 videos, 5 readings, 2 practice quizzes expand

1. Video: Instructor Welcome
2. Reading: Course Syllabus
3. Video: Course Overview
4. Reading: About the Discussion Forums
5. Practice Quiz: Orientation Quiz
6. Reading: Social Media
7. Reading: Updating Your Profile
8. Discussion Prompt: Getting to Know Your Classmates
9. Reading: About the Financial Literacy Quiz Pretest
10. Practice Quiz: Financial Literacy Pretest

Module 1: Setting Financial Goals and Assessing Your Situation
In this module, you'll explore the "personal" in personal finance, use financial tools to assess where you are currently with your finances, and begin setting goals for where you'd like to be in the future.


7 videos, 2 readings expand

1. Reading: Module 1 Overview
2. Video: Street Interview: If Money Were No Object...
3. Video: Lecture: Dream Big
4. Discussion Prompt: Dream Big: Create a Picture of Where You Want to Be in 5, 10, or 25 Years
5. Video: Vignette: Belize for Spring Break?
6. Video: Lecture: What Influences Our Financial Decisions?
7. Video: Vignette: Education, Retirement, or Fun?
8. Reading: Reading: Exploring Money Personalities Further
9. Video: Lecture: Where Are You Now?
10. Discussion Prompt: Your Personal Balance Sheet
11. Video: Lecture: Turning Dreams into Goals

Graded: Financial Decision-Making Influences
Graded: Module 1: Financial Goals & Assessing Your Situation Quiz

WEEK 2


Module 2: Budgeting and Cash Flow Management



In this module, we will discuss the importance of budgeting in the financial planning and management process, and resources available for cash flow management. Learners will be exposed to the basic process of budgeting, a panel discussion with practicing investment advisors, and a comparative discussion of the more common tools and methods for managing cash flows.


8 videos, 1 reading expand

1. Reading: Module 2 Overview
2. Video: Street Interview: Do You Keep Track of Your Monthly Expenses?
3. Video: Lecture: Budgeting Overview
4. Video: Street Interview: How Can You Avoid Overspending?
5. Video: Interview: Investment Advisor Interview
6. Video: Vignette: Creating a Budget
7. Video: Lecture: Financial Services
8. Video: Lecture: Alternatives to Cash
9. Video: Street Interview: What Are the Pros and Cons of Using a Credit Card?
10. Discussion Prompt: Preferences for Cash Flow Management

Graded: Budgeting Discussion Questions
Graded: Module 2: Budgeting and Cash Flow Management Quiz

Module 3: Saving Strategies
In this module you'll have the opportunity to explore best practices for building a saving habit and discuss barriers to saving. Mental accounting will be introduced and considered in terms of how it can affect saving behavior.


7 videos, 2 readings expand

1. Reading: Module 3 Overview
2. Video: Street Interview: Do You Set Aside Money for Emergencies?
3. Video: Lecture: Why Save Money?
4. Video: Lecture: How to Start Saving Money
5. Discussion Prompt: Should Young Adults Save Money?
6. Video: Vignette: Set a Savings Goal
7. Video: Lecture: Build a Savings Habit
8. Peer Review: Write a SMART Savings Goal (Optional)
9. Reading: Reading: America Saves
10. Video: Street Interview: What Are Some Barriers to Saving Money?
11. Video: Lecture: Barriers to Saving

Graded: Module 3: Saving Strategies

Module 4: The Time Value of Money
Understanding why the time value of money is a very important concept -- so important it has its own module!


1 video, 1 reading expand

1. Reading: Module 4 Overview
2. Video: Lecture: Time Value of Money
3. Discussion Prompt: What Does the Time Value of Money Look Like?

Graded: Module 4: Time Value of Money

WEEK 3


Module 5: Borrowing and Credit



The ability to use debt and credit to finance purchases has its advantages and disadvantages. Understanding topics related to loan repayment and how your borrowing and credit use behavior may impact your credit report is critical for being able to have access to debt and credit use in the future.


11 videos, 1 reading expand

1. Reading: Module 5 Overview
2. Video: Lecture: Loans and Consumer Credit
3. Video: Lecture: Borrowing and Credit: Pros and Cons
4. Video: Lecture: Loan Amortization Part One
5. Video: Lecture: Loan Amortization Part Two
6. Video: Lecture: Loan Amortization Part Three
7. Discussion Prompt: Personal Attitudes Towards Borrowing and Debt
8. Video: Vignette: What Is a Credit Report?
9. Video: Lecture: Credit Reports
10. Video: Lecture: Credit Scores
11. Video: Loan Denial Testimonial: Bad Credit History
12. Video: Loan Denial Testimonial: No Credit History
13. Video: Loan Denial Testimonial: Identity Theft
14. Discussion Prompt: Monitoring Your Credit Information

Graded: Module 5: Borrowing and Credit

Module 6: Investing
In this module you'll be introduced to investment terms and key investment strategies. This foundation will allow you to better understand investment choices and information that you'll encounter throughout your life.


7 videos, 2 readings expand

1. Reading: Module 6 Overview
2. Video: Street Interview: How Would You Invest $100,000?
3. Video: Lecture: Introduction to Investing Terms
4. Discussion Prompt: Key Investing Concepts
5. Video: Lecture: Understanding Investment Risk
6. Video: Street Interview: What Does It Mean to Diversify Investments?
7. Video: Lecture: Diversify Your Investments
8. Reading: Building on Your Knowledge
9. Video: Vignette: When to Start Saving for Retirement?
10. Discussion Prompt: When Should People Start Saving for Retirement?
11. Video: Lecture: Investing Tips for Young Adults

Graded: Module 6 Investing

WEEK 4


Module 7: Risk Management
This module covers risk related topics related to insurance, and introduces learners to the concept of personal risk tolerance and how it might impact individualized risk management strategies.


7 videos, 2 readings, 1 practice quiz expand

1. Reading: Module 7 Overview
2. Video: Lecture: Risk Management Overview
3. Discussion Prompt: Risk Tolerance Assessment
4. Video: Street Interview: Why Do You Buy Insurance?
5. Video: Lecture: Insurance Basics
6. Video: Street Interview: What Determines the Cost of Insurance?
7. Video: Lecture: Life Insurance
8. Video: Vignette: Are You Ready for Life Insurance?
9. Video: Lecture: Insurance Risk Panel Discussion
10. Discussion Prompt: Life Insurance Needs Assessment
11. Reading: Financial Literacy Quiz
12. Practice Quiz: Post-Test Financial Literacy

Graded: Risk Management Quiz

Module 8: Financial Planning as a Career



The module provides an overview of the career opportunities in financial planning. You will get to see what it is like to engage and assist people (clients) from a variety of walks-of life. This module is optional in terms of completion of the course certificate. There is no required assignment in this module.


8 videos, 2 readings, 1 practice quiz expand

1. Reading: Module 8 Overview
2. Video: Street Interview: What Does a Financial Planner Do?
3. Video: Lecture: Financial Planning as a Career Part One
4. Video: Mock-Up Video: Middle-Age Couple Meeting with a Financial Planner
5. Video: Mock-Up Video: Young Client Meeting with a Financial Planner
6. Video: Lecture: Financial Planning as a Career Part Two
7. Video: Interview: Interview with a Financial Planner Video One
8. Video: Interview: Interview with a Financial Planner Video Two
9. Practice Quiz: Financial Planning as a Career Quiz
10. Video: I Am A CFP® Pro: Campaign Spokepeople
11. Reading: CFPPro.org