Chapter 12 Chapter 12: Investing and Retirement

Video Questions
Lesson 1:
GUIDED NOTES

While you watch the video, complete the section below.

1. You should invest 15% of your income for __retirement___________________ .

2. Investing is a __marathon______________________ , not a sprint.
3. The first ingredient to building wealth is ___money_________________________ .
4. The second ingredient to building wealth is ___time_________________ .
5. The third ingredient to building wealth is the ___rate of return________________ of
return.

ANALYZE AND REFLECT

After you watch the video, respond to the question(s) below.

1. If retirement is many years away, why is it important to start thinking about it now?

____so you are ready when the time

comes.______________________________________________________________

2. Why do you think so many adults wish they’d started investing earlier?

_______Because they weren’t ready and didn’t know what was

coming._____________________________________________________________

Lesson 2:
GUIDED NOTES

While you watch the video, complete the section below.

1. A ____mutual_________________ fund allows investors to pool their money together to

invest.
 2. The _____name_______________ of the mutual fund will often tell you what's going on
inside of it.
3. A growth stock mutual fund has stocks that are
_investments________________________ .
4. Your return comes when the __value_______________________ of the fund increases.
5. Don‘t buy mutual funds unless you’re going to leave them alone for at least

___5______________________ years.

ANALYZE AND REFLECT

After you watch the video, respond to the question(s) below.

1. Why is it so important to avoid buying single stocks and invest in mutual funds instead?

___so you don’t lose all of of your

money____________________________________________________________

2. Why does Dave recommend that you invest in mutual funds for at least five years?

__________so you can slowly build wealth

_____________________________________________________

Lesson 3:
GUIDED NOTES

While you watch the video, complete the section below.

1. 401(k): Companies can allow their ____employees_______________ to save for

retirement.
2. 403(b): _non-profits____________________ can allow their employees to save for
retirement.
3. Never take out any retirement money _______early________________ .
4. The money you put into a ___Roth___________________ 401(k) or IRA is tax deferred.
5. A __Roth__________________ 401(k) or IRA grows tax-free.
6. A 401(k) and an IRA are not ___investments_____________________ . They are a tax-
advantage bucket to put investments into.
ANALYZE AND REFLECT

After you watch the video, respond to the question(s) below.

1. After learning the difference between Roth and traditional retirement plans—IRA,
401(k), and 403(b)—which type would you prefer? Why?

__________________________________________________________________

Lesson 4:
GUIDED NOTES

While you watch the video, complete the section below.

1. Diversification means to ___invest_________________ your money around.

2. Invest 25% in a growth and ____ stock__________________ mutual fund.
3. Invest 25% in a __________________________ mutual fund.
4. Invest 25% in an ___agressive______________________ growth mutual fund.
5. Invest 25% in an __________________________________ mutual fund.
6. Never _____norrow_________________________________ on your retirement plan.
7. Never _________invest__________________________ in anything until you understand
it.

ANALYZE AND REFLECT

After you watch the video, respond to the question(s) below.

1. If a mutual fund is already a form of diversification, why is it important to also diversify

your investments into different mutual funds? ______To reduce your
risk__________________________________________________________________
Lesson 5:
GUIDED NOTES

While you watch the video, complete the section below.

1. Retirement is not an age—it's a __financial______________________ number.

2. _you wanna decide_____________________________ what your retirement is going to
look like.
3. What is your nest egg ____number________________________ ?
4. Understand how much you need to invest each
_______month_________________________

.
ANALYZE AND REFLECT

After you watch the video, respond to the question(s) below.

1. List three goals or dreams you have for your life after you retire.

_______Travel out of the country, have a good relationship with my kids, and have zero
debt

________________________________________________________________

2. Why is it important to start making retirement plans early in life?

___so you are ready for it later on

_____________________________________________________________

Lesson 6:
GUIDED NOTES

While you watch the video, complete the section below.

1. Giving is the most ___fun___________________ that you'll ever have with money.
2. Generosity is not an act or a thing you do—it is a _character___________________
quality.
 3. Generosity is a ____decision______________________ to be others-centered.
4. The average American family gives 4% of their household ___income______________ .
5. Practice the idea of being a ___giver_____________________ rather than a taker.

ANALYZE AND REFLECT

After you watch the video, respond to the question(s) below.

1. Dave teaches that generosity is a character quality and not an act you do. In your own
words, explain what he means.__If you are generous, it shows that you have good
character. _________________________________________

2. What are two ways you can be generous with your time or money today?

_________give to people who need it.

________________________________________________________