Unit Project: Creating My Income Plan

Apply what you've learned to create your personal income plan.

Now that you understand the basics of income and have explored how to manage your first paycheck, it's time to create your personal income plan. This plan will help you maximize your earning potential and align your income with your financial goals.

Step 1: Assess Your Current Situation

Think about your current income sources. Do you have a part-time job? Receive an allowance? Earn money from occasional odd jobs? Write down all your income sources and how much you typically earn from each per month.

Step 2: Identify Potential Income Opportunities

Consider ways you could increase your income. Could you take on more hours at your current job? Are there skills you could develop to earn money through freelance work? Brainstorm at least three potential new income sources.

Step 3: Set Income Goals

Based on your financial goals from Unit 1, set some income goals. For example, if one of your goals is to save $1,000 for a laptop by the end of the year, calculate how much you need to earn each month to achieve this alongside your other expenses and goals.

Step 4: Create Your Income Schedule

Develop a weekly or monthly schedule that outlines when and how you'll earn money. Include your regular job hours, time for freelance work, or days you'll do odd jobs. Make sure this schedule also allows time for school, homework, and relaxation.

Step 5: Plan for Income Use

Decide how you'll allocate your income using the 50/30/20 rule or a similar approach that works for you. Write down specific amounts for needs, wants, and savings based on your expected income.

Step 6: Establish a Review Process

Decide how often you'll review and adjust your income plan. Monthly reviews are often a good start. Mark these review dates on your calendar.

Remember, your income plan is a living document. As your skills grow and new opportunities arise, you can update and refine your plan.