Financial Education Course for Adults: “Manage Your Money, Plan Your Future”
Course Objectives:
- Provide participants with essential skills for effective financial management and planning.
- Offer practical guidance on saving, investing, and debt management.
- Build awareness of the importance of long-term planning to achieve future goals, such as purchasing a home or saving for retirement.
Course Structure
Format: 7 modules, each lasting approximately 90 minutes, available both in-person and online. Course materials include worksheets and customizable templates.
Module 1: Household Budgeting and Cash Flow Management
Objectives:
- Analyze monthly income and expenses to gain a clear picture of personal finances.
- Learn to distinguish between fixed and variable, essential and discretionary expenses.
Content:
- Creating a detailed household budget.
- Strategies for cost reduction and expense optimization.
- Digital tools for tracking daily spending.
Practical Activity:
- Creating a personalized budget using an Excel template provided in the course.
Module 2: Debt Management and Responsible Use of Credit
Objectives:
- Understand how to manage debt sustainably.
- Differentiate between “good debt” and “bad debt.”
Content:
- Overview of various debt types (mortgages, personal loans, consumer credit).
- Strategies for debt reduction and consolidation.
- Responsible use of credit cards and understanding interest rates.
Practical Activity:
- Developing a debt reduction plan and creating repayment simulations.
Module 3: Emergency Savings and Goal Planning
Objectives:
- Understand the importance of an emergency fund.
- Define and plan for financial goals, both short- and long-term.
Content:
- Building an emergency fund and determining savings targets.
- Techniques for planning and achieving goals, such as vacations, education, and significant purchases.
- Automated savings strategies and tools for tracking progress.
Practical Activity:
- Setting personal financial goals and creating a tailored savings plan.
Module 4: Introduction to Investing
Objectives:
- Learn the basics of investing and how to get started.
- Understand the differences between financial instruments and the concept of risk vs. return.
Content:
- Overview of stocks, bonds, mutual funds, and ETFs.
- Assessing personal risk tolerance and investment time horizon.
- Diversification strategies to reduce risk.
Practical Activity:
- Simulating a basic investment portfolio and analyzing performance over time.
Module 5: Retirement Planning
Objectives:
- Plan ahead to ensure financial security in retirement.
- Explore available retirement savings options.
Content:
- Introduction to supplementary retirement funds (pension funds and individual plans).
- Calculating retirement needs.
- Strategies for boosting retirement savings through individual savings plans.
Practical Activity:
- Calculating desired retirement income and analyzing strategies to reach it.
Module 6: Financial Protection and Tax Optimization
Objectives:
- Understand the importance of insurance and protection tools for family finances.
- Optimize tax obligations through legal tools and strategies.
Content:
- Key insurance policies: life, accident, health, and disability.
- Basic tax planning concepts for savers and investors.
- How to deduct eligible expenses and optimize annual tax filings.
Practical Activity:
- Assessing personal protection needs and setting up a tax optimization plan.
Module 7: Advanced Workshop – Excel for Finance and Investments
Objectives:
- Develop advanced skills in Excel for financial analysis and portfolio management.
- Learn to use trading platforms and brokerage accounts for direct investment management.
Content:
- Advanced Excel for Finance and Investment Management
- Portfolio Creation and Tracking: Setting up and maintaining a financial portfolio in Excel, including real-time updates on returns, allocation, and diversification.
- Performance Analysis: Using advanced formulas to calculate metrics such as performance, volatility, annualized returns, and portfolio beta.
- Scenario Simulation Tools: Running “What-if” analyses to project portfolio risk and returns under various market conditions.
- Advanced Charting: Visualizing portfolio allocation, historical performance, and risk distribution using Excel’s charting tools.
- Introduction to Trading Platforms and Brokerage Accounts
- Overview of Accounts and Brokers: Exploring major platforms available in Italy (e.g., Directa, Fineco, eToro) and their functionalities.
- Portfolio Management and Trading Orders: Executing trades for stocks, ETFs, and bonds, and using order types like limit, stop loss, and take profit.
- Fees and Commissions: Comparing transaction fees, management fees, and custodian fees across platforms.
- Security and Risk Management: Using protective tools on trading platforms, including margin trading, leverage, and when to avoid certain risks.
Practical Activity:
- Building a Financial Portfolio in Excel: Participants will create a financial portfolio using real or simulated data, incorporating key performance metrics (returns, diversification, weights).
- Simulated Trading Session: Participants will practice buying and selling on demo accounts or virtual trading platforms to gain hands-on experience with market dynamics and platform features.
Course Materials and Support
- Course Materials: Summary handouts, Excel templates for budgeting and financial planning, savings and investment plan templates.
- Support: Access to online resources, video tutorials, and self-assessment tools to track progress.
Expected Outcomes
By the end of the course, participants will have:
- A clear, organized overview of their personal finances.
- Practical skills for managing savings, debt, and investments.
- A solid foundation for long-term planning and protecting their financial future.
This program is suitable for young adults beginning their financial journey and more experienced adults looking to optimize and consolidate their wealth.