When challenged to step into the “Real World,’’ Liberty Preparatory School students got a trial run at adult spending decisions just before school let out in May. Working with the Ohio State University Extension’s Real Money. Real World. program for the first time, students, staff, and volunteers from the community learned from each other.

“I was teaching the class and I learned something,” school principal Joseph Weisand said.  Four classroom lessons prep the students for the simulation in which they “purchase monthly expenses” at various booths manned by volunteers. The booths provide various services such as banking, groceries, transportation, childcare, and utilities. Those who spend wisely may have money left over at the end of the month

            During classroom lessons, students learn about gross and net income, factors affecting income and how to figure taxes, so by the time they arrive at the simulation, they have an amount they can spend for the month. Real Money. Real World.  is planned to simulate real life as closely as possible. Students select or are assigned a career, and number of children. Careers all have various education requirements and when they require degrees beyond high school, students are required to make monthly student loan payments. Some students may want or get assigned a minimum wage job. This job may sound like a lot of money to someone who is 16, but we want them to ask themselves if minimum wage will meet their needs when they are responsible for a family as an adult.

As the simulation begins, students quickly learn how childcare is one of their biggest expenses. They also must visit the “chance” booth where “life” deals them something unexpected. It could be good, like winning free groceries or bad, such as having to buy new tires for the car.

Volunteers working with the Liberty Prep simulation said they saw students thoughtfully considering their choices and considering wants versus needs. One volunteer mentioned that he saw a student whose “daughter broke her arm” (a card drawn at the Chance booth) start to erase some purchases in his “checkbook.” Another mentioned the struggle of the student with a low-paying job trying to make ends meet with four children.

            “They took it for real,” Weisand said of the students.

            Here’s a sampling of volunteer responses from when they realized students were learning financial concepts:

            “When they run out of money. Surprised at how expensive housing is.”

            “When they had to come back and sell their cars and pick cheaper ones.”

            “The student that increased retirement savings.”

            “Many students knew they should stay under budget.”

            “Students often commented on being surprised how expensive childcare could be.”

            “Surprised faces at the cost of diapers.”

            “They left to go make changes or get more money.”

For those who can’t make ends meet, there’s a Financial Advice booth where advice and options are offered.

    It’s all just make-believe, but it carries a serious message. Going through Real Money. Real World. and seeing for themselves how expensive life can be.

Laurie Sidle is an Ohio State University Extension Family and Consumer Sciences and 4-H program assistant and may be reached at 330-264-8722 or sidle.31@osu.edu
CFAES provides research and related educational programs to clientele on a nondiscriminatory basis. For more information, visit cfaesdiversity.osu.edu
This article was previously published in The Daily Record.