Managing Money Skills

Overview

This 45-minute session for Year 7 students introduces essential money management skills, focusing on saving money, types of bank accounts, and methods of payment. It aligns with the National Curriculum for England’s PSHE framework, particularly the relationships and living in the wider world themes which cover financial choices and economic wellbeing.

National Curriculum Links

PSHE Association Programme of Study (Key Stage 3, Year 7 level):
“How to manage risk in relation to money, including debt, and safeguarding personal information.”
“Importance of saving, budgeting, and financial decision making.”
Statutory Guidance: Economic wellbeing and financial capability:
Students should understand how to manage money, the difference between current and savings accounts, and familiarise themselves with payment methods.
Core Competencies: Financial literacy, decision making, and application of knowledge to life skills.

Learning Objectives

By the end of this lesson, students will be able to:

Identify two reasons for saving money (e.g., for future needs, emergencies).
Complete an application form to open a current or savings account.
Identify three different methods of payment (e.g., cash, card, online transfer).
Describe the main difference between a current account and a savings account.

Resources Needed

Printed sample bank application forms for current and savings accounts
Whiteboard and markers or interactive whiteboard
Payment method cards (depictions of cash, debit card, mobile payment app, cheque)
Worksheets for group activity
“Scenario cards” for real-life decision making (example: saving for school trip, buying a phone)
Pencils and paper

Lesson Structure

1. Introduction & Starter Activity (5 minutes)

Engage: Ask students “What do you know about saving money?” and “Why do people save?”
Record their ideas on the board.
Briefly explain saving money means keeping some funds aside for future use or emergencies.
State learning objectives clearly.

2. Explore - Reasons for Saving Money (10 minutes)

Present two key reasons for saving:
- Future purchases (e.g., buying something big)
- Emergencies (unexpected costs like repairs or healthcare)
Use scenario cards in pairs: Each pair chooses one card and discusses if saving would help the person in the scenario, why, and what could happen if they don’t save.
Share back with the class, encouraging all to contribute.

3. Explain - Bank Accounts & Methods of Payment (15 minutes)

Part A – Current vs Savings Accounts:

Display definitions on the board:
- Current Account: For day-to-day spending, payments, and receiving money.
- Savings Account: For saving money and usually earning interest.
Ask students to identify the main difference (availability of funds for daily use vs saving and earning interest).
Discuss briefly why both account types are useful.

Part B – Methods of Payment:

Present 3 key methods:
1. Cash
2. Debit card
3. Online/mobile payments (e.g., Apple Pay, bank transfer)
Show payment method cards and ask students to identify each one.
Discuss advantages and disadvantages of each method (security, convenience, acceptance, budgeting).

4. Apply – Completing a Bank Application Form (10 minutes)

Distribute sample bank account forms.
Step through an example together using the whiteboard: filling name, address, date of birth, type of account (current or savings).
In pairs, students complete the form themselves for either a current or savings account, deciding which suits them best based on previous learning.
Teacher circulates to support individually.

5. Plenary and Assessment (5 minutes)

Recap key points by asking:
- Name two reasons why people save money?
- What is one difference between a current and savings account?
- Can you name three payment methods?
Students share answers verbally; teacher notes correct responses.
Collect and quickly review application forms to check comprehension.

Differentiation

Provide writing frames for students needing extra support to complete forms.
Challenge more able students to suggest additional reasons to save or advantages of new payment methods like contactless.
Pair students strategically for peer support.

Extension Ideas

Homework: Students can interview a family member about why they use current and savings accounts and report back.
Set up a classroom ‘bank’ where students practice managing account balances, deposits, and withdrawals over time.

Teacher Reflection Prompts

Did students grasp the difference between account types effectively?
Were the application forms clear and accessible?
How engaged were students during scenarios and payment method activities?
What adjustments could support more confident financial decision making?

This lesson builds foundational money management skills essential for young people’s financial wellbeing. It uses interactive, real-world activities designed to empower students as confident future consumers and savers.

Teaching Instructions