Listening/Speaking

2. | GW. a) Listen to these financial tips and say if you have a high financial IQ. b) Match the titles to the paragraphs.

A) Live within your means
B) Don’t go into debt
C) Save Money
IQ - Intelligence Quotient - a comparative measure of a person’s intelligence

1._______________________________

Start saving while you are young. When you have money in your pocket, the impulse* to spend it can be very strong. When you get your paycheck*, don’t run to the mall. If you put away a small amount of money into a saving account each week and earn interest, your money will grow.

Judy

2._______________________________

The secret to financial success is spending less than you earn. If you make a lot of money, but spend it all, you are not really rich or financially secure. If you lose your job, or get seriously ill, you will have nothing to fall back on. People who make less money than you, but don’t spend it all, are actually much wealthier because they are able to handle any emergency that arises. Fortunately, today’s technology makes managing your money easier than ever. Financial-planning software can help you keep a budget by adding up your income and expenses and keeping track of your spending.

David

3._______________________________

It is a lot easier and sometimes safer to pay with a credit card than to carry around a lot of cash in your pocket or purse. However, it is easy to get into trouble with credit cards if you use them as a substitute for money you don’t have. If you charge so much that you can’t keep up with your monthly bills, interest charges will quickly add up. Going into debt because of credit card bills is the surest sign of a low financial IQ.

Julia
3. GW. Discuss the questions and support your answers with the information given above.
• Do you think Judy makes a lot of money?
• Do you think David is good at saving money?
• What did Judy do to change her financial situation?
• How would you describe Judy’s financial IQ?
• Are you more like Judy, Julia or David?
paycheck*, - a check for salary or wages made out to an employee
impulse*- a sudden strange unreflective desire to act