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Scenario Cards -- Financial Literacy

Use these to practice financial reasoning. All scenarios use fictional characters.

The Birthday Money Decision​

Scenario: Priya gets $50 for her birthday. She wants to buy a new game ($45), and also wants to save for a new bike ($200). She can't do both right now.

Discussion:

  • What is the opportunity cost of buying the game?
  • What questions should Priya think through before deciding?
  • What would a budget help her do here?

Extension: Calculate how long it would take Priya to save $200 if she saved $10 per month.

The "Just Tap to Pay" Problem​

Scenario: Max's family recently switched from paying with cash to tapping a card. Max notices the family seems to spend more at the grocery store now, even though nothing costs more.

Discussion:

  • Why might paying with a card feel different from paying with cash?
  • What is "friction" in spending and why does it matter?
  • What strategy could the family try to be more intentional?

Extension: Research studies about whether people spend more with cards than cash.

The Saving Race​

Scenario: Two kids, Jordan and Casey, each want to buy the same $120 video game. Jordan saves $20 per month. Casey saves $30 per month. Jordan starts saving 2 months before Casey.

Discussion:

  • Who gets to $120 first?
  • What is the tradeoff Casey is making by saving more each month?
  • What is the tradeoff Jordan is making?

Extension: Calculate the answer. Whose choice was "better"?

The School Store​

Scenario: The fictional Oakdale School runs a student-operated store that sells pencils, stickers, and small snacks. The store is out of pencils but has too many stickers. Nobody wants the stickers.

Discussion:

  • What does this situation tell you about supply and demand?
  • What should the store do with the extra stickers?
  • What could the store learn for the future?

Extension: Design a simple pricing strategy for the school store.

The Interest Surprise​

Scenario: Avery borrows $100 from a fictional "loan shop" that charges 20% annual interest. Avery pays back $10 per month.

Discussion:

  • How much interest will Avery owe after one year?
  • Will Avery have paid off the loan after 10 months? Why or why not?
  • What would Avery have to pay per month to pay it off exactly in 12 months?

Extension: Calculate the actual numbers and explain interest to a younger kid using this scenario.

The Inflation Puzzle​

Scenario: In the fictional town of Millbrook, a loaf of bread cost $2 in 2015 and costs $3.20 today. Everything else also costs more.

Discussion:

  • What is inflation?
  • If a family saved $1,000 in 2015 and kept it in cash, can they buy as much today?
  • What could the family have done with the $1,000 that would have helped it keep up with inflation?

Extension: Research the actual average inflation rate in your country over the last 10 years.