Required skills

communication skills to

clearly explain personal budgeting and savings plans

use questioning to develop clear understanding

liaise with others share information listen and understand

use language and concepts appropriate to cultural differences

numeracy and IT skills to

calculate interest and surplus or deficit funds

use a calculator

use internet information

literacy skills for interpreting relevant information

learning skills to maintain knowledge of budgeting and saving techniques

Required knowledge

principles of budgeting

role of budgeting and savings in establishing personal wealth

understanding of the financial institutions and their savings products

The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria required skills and knowledge range statement and the Assessment Guidelines for the Training Package

Overview of assessment

Critical aspects for assessment and evidence required to demonstrate competency in this unit

Evidence of the ability to

understand risk and return in relation to savings and investment

set realistic measurable specific and timely financial goals

calculate amount needed to achieve identified financial goals

develop a basic savings plan based on surplus income

explain the differences between basic financial products used to maximise savings

Context of and specific resources for assessment

Assessment must ensure

competency is demonstrated in the context of the the range statement

access to and the use of a range of common office equipment technology software and consumables

access to information about the process of budgeting current interest rates savings products software and other relevant resources

Method of assessment

A range of assessment methods should be used to assess practical skills and knowledge The following examples in combination are appropriate for this unit

evaluating an integrated activity which combines the elements of competency for the unit or a cluster of related units of competency

verbal or written questioning on underpinning knowledge and skills

setting and reviewing simulations or scenarios

group discussion to determine and confirm understanding

Guidance information for assessment

Consumer debt may refer to:

Financial goals may include:

Attitudes to savings and investment differ and may encompass those who:

Risk refers to:

The concept of risk versus return refers to the general truth that:

Risk profile refers to:

Inflation refers to:

Goals need to be:

Product options may include:

Requirements to consider when selecting a financial product for savings or investment may include:

The requirements to open an account include providing personal identification from a range of sources that equate to 100 points which may comprise::

70 points: