What are some of the things you should discuss? What should you include in the summary? Below are a few examples to think about: How does this exercise relate to what you are learning in class? Was the exercise challenging? What were the differences between the two budgets (i.e. what did you include in one and forego in the other), Were you able to survive? How realistic is this exercise? How does it make you feel and what would you do to help change things? Feel free to include an example of the budget your group created, sites you searched, articles references, etc. Don’t forget to list those that contributed to the exercise. Those not listed will not receive credit for the assignment.
Have a great week!

Scenario
• You are a single parent working in a metropolitan area.
• You work 40 hours a week, year-round.
• You have two children, ages 6 months and 3 years.
• Your job pays for your health insurance, but it costs an extra $200 a month to cover the children.
• You receive six paid vacation days and four sick days per year.
• You cannot live in the neighborhood where the store is located since it is primarily a commercial district; therefore, you must commute 10 miles to work. (To keep it simple, let’s assume that you do not pay income taxes, and likewise there is no earned income tax credit).
Steps
1. Prepare a monthly budget for the scenario given above. You will do this twice: the first time you make $7.25 an hour and the second time you make $10.00 an hour. You may determine any details not included in the scenario. If the information isn’t given, make it up! You can decide how to split up the work among the group members to come up with the two budgets.
Two Budgets
• At $7.25/hr., you have $1247 a month ($7.25 40 hours/week 4.3 weeks/month).
• At $10/hr., you have $1,720 a month.
2. Do some research to find out how much things cost. Newspapers, trips to the grocery store, and relatives may be helpful in finding out specific items for your budget. Just do your best to estimate costs. It may take a little time to collect this information. The one constraint on your budgeting is that you may not use public assistance of any kind. In the imaginary world you are about to enter, welfare policies simply do not exist.
Sample Budget Items
Housing (rent or mortgage)
Life Insurance
Transportation
Phone
Heat
Other Utilities
Child Care
Food & Groceries
Diapers
Clothing (self)
Clothing (children)
Savings/emergency money
Entertainment
Health Care
Other Expenses
3. Post a reply by by the due date listed in the course calendar, summarizing the following:
o Briefly describe the differences in the two budgets.
o Discuss your thoughts regarding this project and how it relates to what you are learning in this course.
4. Reply to at least two posts by your fellow group members, by the due date listed in the course calendar, comparing and discussing your answers. It is important to connect course content (either concepts, readings, or discussions) to your group’s reflections on the budget.
5. Choose one team member to serve as your reporter for the week (select a different group member for each group assignment). By the due date listed in the course calendar, the reporter should upload a one paragraph summary of your findings from your group discussion to L08 Group Activity.