| NSW Department of Education

Commerce Year 7-10. Core 1 –

consumer and financial decisions.
Students learn how to identify and research issues that individuals encounter when making
consumer and financial decisions. They investigate laws and mechanisms that protect
consumers including the process of consumer redress. Students examine a range of
options related to personal decisions of a consumer and financial nature and assess
responsible financial management strategies.

Skills to be integrated in this topic as appropriate: developing questions, gathering and

processing relevant information, analysing familiar and new situations, evaluating options,
developing and implementing plans, developing evidence-based conclusions/decisions
and reasoned arguments, working independently and collaboratively.

Outcomes
A student:
 COM5-1 applies consumer, financial, economic, business, legal, political and
employment concepts and terminology in a variety of contexts
 COM5-2 analyses the rights and responsibilities of individuals in a range of
consumer, financial, economic, business, legal, political and employment contexts
 COM5-3 examines the role of law in society
 COM5-4 analyses key factors affecting decisions
 COM5-5 evaluates options for solving problems and issues
 COM5-6 develops and implements plans designed to achieve goals
 COM5-7 researches and assesses information using a variety of sources
 COM5-8 explains information using a variety of forms
 COM5-9 works independently and collaboratively to meet individual and collective
goals within specified timeframes

Related Stage 4 outcomes: COM4-1, COM4-2, COM4-3, COM4-4, COM4-5, COM4-6,

COM4-7, COM4-8, COM4-9

Commerce 7-10 Syllabus © NSW Education Standards Authority (NESA) for and on behalf of the
Crown in right of the State of New South Wales, 2019

education.nsw.gov.au
 Teaching and learning activities
Learning sequence 1 - the nature of
commerce
Students:
 investigate the scope of commerce, including the concepts of: consumer, needs and
wants, goods and services, resources, scarcity and how these may impact on
choice.

1.1 - investigating commerce

Teachers’ note - young people have increased their spending power now more than ever
in the past. Young consumers have significant influence over their parents spending with
children being the target of marketing and advertising for many businesses. It is important
for students to have an understanding of commerce to make informed choices about
consumer decisions.

Terminology for this lesson sequence:

Terminology Definition

Consumer A person who buys goods and services to satisfy needs and wants
Needs Goods essential to our survival such as food, water, clothing and shelter
Wants luxury or non-essential items such as holidays, designer clothes
Goods Items that are tangible (that can be seen or touched)
An intangible good that is provided by someone or a business. For ex-
Services ample a hairdresser provides a haircut whereas an accountant provides
financial advice
Something used by consumers that are limited. For example, students
Resources
have limited financial resources
Scarcity In short supply
Product A good or service

Materials required:
 coloured Post-it note pads
 2 pieces of butcher’s paper

2 Commerce core 1
  laminated flip cards (50-60) with images of goods, services, needs and wants
 sticky tape

Activities:
What is commerce?
 Place two pieces of butcher’s paper on opposite sides of the classroom. Label one
poster ‘What is commerce?’ and the second poster ‘Why is commerce important?’
 Each student will need 2 post-it notes. Start with ‘What is commerce?’ Predict what
the commerce course is about and write down ideas on one Post-it note. On another
Post-it note write down ‘Why is commerce important?’ Discuss. Add Post-it notes to
the appropriate poster

Needs versus wants

 Divide the class into five groups. Give each group a variety of images (at least 10-15
images, suggestions of images you could use are provided below) with two minutes
to sort their images into price, most wanted or least wanted, need, want, good or
services.

Ideas to get you started.

clothes (de-
heating books insurance gifts Doctor
signer)

travel (public
fruit and ve- beauty ser- washing ma- internet con-
transport shelter
getables vices chine nection
only)

clothes (ba-
holiday sunglasses entertainment school bus Australia Post
sic)

school uni- gym member-

pet air conditioning electricity jewellery
forms ship

phone (land-
fast food dishwasher gas mobile phone make up
line only)

© NSW Department of Education, Apr-2320

 clothes (de-
heating books insurance gifts Doctor
signer)

furniture (ba- glasses for restaurant

iPad water game console
sic) vision dining

 Ask each group to report back to the class on how they have sorted their images.
Draw a table on one half of the board with the following headings:

Product Needs Wants

Goods

Services

 Place images on the whiteboard in the correct segment of the board. Teacher leads
a structured discussion on the differences between goods and services, needs and
wants including deciphering between clothing that can be classified as a need and a
want.

Dream purchase
 Brainstorm a ‘dream purchase’ you would make with $500 to spend online or at a
shopping centre. Examples of probing questions you can use to promote discussion:
o What is the purpose of having goods and services in society and how do we
use them? (resources)
o How can marketing make us feel like a want is a need? (mobile phone)
o Why are diamonds so expensive? (scarcity)
o What would happen to the price of bananas if a tropical cyclone destroyed
banana crops in Australia? (scarcity in supply, supply cannot meet demand, price
goes up)
 Discuss the variety of dream purchases on the board and focus on the importance of
choice for consumers. Ask ‘why’ particular dream purchases were selected, and
emphasise the variety of wants determined by individual tastes.
 How would these purchases differ from a 7 year old child and a 35 year old adult?
 Promote thinking in the class about the differences in needs and wants for:
o different age demographics
o males, females
o students in a different geographical location to themselves.

4 Commerce core 1
  Outline the differences in needs and wants by completing the following table.
Explain why different groups have different
Factor Example
needs and wants.

Age

Gender

Geo-
graphic
location

 Bring the conversation back to the ‘what is commerce’ activity above. Add the
posters created to the board. Create a class definition of ‘What is commerce?’ and
‘Why is commerce important?’ After the class activities and discussion, match the
glossary terms to the correct definition:

Terminology Definition

Consumer A person who buys goods and services to satisfy needs and wants
Needs Goods essential to our survival such as food, water, clothing and shelter
Wants luxury or non-essential items such as holidays, designer clothes
Goods Items that are tangible (that can be seen or touched)
An intangible good that is provided by someone or a business. For ex-
Services ample a hairdresser provides a haircut whereas an accountant provides
financial advice
Something used by consumers that are limited. For example, students
Resources
have limited financial resources
Scarcity In short supply
Product A good or service

Learning sequence 2 - consumer and

financial decisions
Students:
 explain factors influencing consumer and financial decisions, for example
advertising/marketing, age, convenience, culture, customer service, disposable
income, environmental considerations and social media (ACHEK017, ACHEK053)
 examine how individuals make particular decisions, including: (ACHEK053)
o whether to spend or save, for example being prepared for unexpected
expenses

© NSW Department of Education, Apr-2320

 o what to buy, for example different types of goods and services
o where to buy, for example locally, regionally, interstate or globally; physical or
online store
 investigate advantages and disadvantages of different payment options, including:
o deciding whether to use cash or cashless transactions
o the use of credit to make purchases, including the facilities offered by lenders
and financial institutions
o selecting and applying appropriate criteria to rank alternative purchasing options
 reflect on their own purchasing decisions, including affordability, the decision-making
processes they have used in the past, and how they might change these in the
future

2.1 - consumer and financial decisions

Teachers’ note - teachers can use illustrated annotations to increase comprehension and
understanding of content. Students can create their own semiotics to visually represent
concepts. Non-confident drawers can use simple letters or symbols. For example
disposable income can be illustrated with simple letters such as DI.

Activities:
 Complete the following table by adding individual simple illustrations or images for
each factor that influences consumer and financial decisions
Illustration.
Factor

Advertising or marketing

Environmental considerations

6 Commerce core 1
 Illustration.
Factor

Culture

Social media

Customer service

Disposable income

Convenience

Age

© NSW Department of Education, Apr-2320

  Use the think, pair, share routine, to think and articulate thoughts whilst
understanding other perspectives on what impacts on consumer and financial
decision making. For example, students may interpret ‘environmental
considerations’ to reflect society’s desire to buy environmentally friendly products.

This factor could also be interpreted as the environment people live in will determine
their consumer and financial decisions. For example, a farmer will make very
different consumer and financial decisions compared to a person living in a city area.
 Discuss findings from the activity and complete the following table
o Define the factor
o Explain the importance of the factor in determining consumer and financial
decisions
o Add an image and text to illustrate an example of each factor

Factor Definition Example Illustration

Culture

Convenience

Marketing and advert-

ising

Environmental con-
siderations

Social media

Customer service

Age

8 Commerce core 1
 2.2 - decision time, what to do with your money?

Teachers’ note - consumers need to make decisions about their purchases. These
decisions can include whether to spend or save, what to buy and where to buy.
Consumers need to be prepared to manage the consequences of their decisions. For
example, how they will prepare for or manage unexpected expenses? The decisions that
consumers make can affect quality of life so careful decisions must be made.

Activities:
Money dilemmas - Julie’s 10 money dilemmas.
Read the following scenario and determine how Julie should spend her money.
 Julie has earned $70 from doing chores, babysitting and other odd jobs. She
currently has $130 in her savings account and she received an additional $100 for
her birthday last week. There are many ways that Julie can use her money,
however, she will need to spend it wisely. In the table below, Julie has 10 money
dilemmas – How should she spend her money? Note: the total amount of money
Julie has is $300.

Scenario Money dilemma

Julie wants to purchase her lunch from the canteen each day. Julie
One plans to do this for 2 weeks. This will cost $7.50 each day. Should
Julie buy her lunch from the canteen?

Julie has been given a last-minute invitation to a classmate’s birthday

Two party. She will need to buy a birthday present. Should Julie go to the
birthday party? If so, how much should she spend on a present?

Julie’s best friend is having a birthday party. Julie will need to buy her
Three best friend a special gift. How much should Julie spend on the
present?

Julie wants to buy online credits for a computer game. The $30 credit
Four package is on sale and will only cost $25. Should she purchase the
game credits?

Julie wants to get her hair cut and coloured for the parties she has
Five been invited to. Her local hairdresser will cost $100. Should Julie
spend her money at the hair dresser?

Julie’s favourite online clothes shop is having a promotion. The pro-

motion is ‘buy two pairs of jeans, get the second pair half price’. One
Six
pair of jeans will cost $80. The promotion will total $120 for the two
pairs of jeans. Should Julie partake in the promotion?

© NSW Department of Education, Apr-2320

 Scenario Money dilemma

Julie wants to go to the movies with her friends. The movie ticket
Seven cost is $15. Julie wants to buy a drink and popcorn. This will cost
$10. Should Julie buy it?

Julie wants to buy a new phone case for her phone. She can pur-
chase a case at her local shop for $35 or buy a case online for $25.
Eight The online case will take 3 weeks to get to her house. Julie really
wants to have her new phone case for the parties she has been in-
vited to.

Julie’s family is going on a vacation in the summer holidays. Her par-

Nine ents said they would give her a dollar for every dollar she saves.
Should Julie save some of her money?

Julie has accidently lost her school calculator. Julie will get in trouble
from her Mathematics teacher if she does not have her calculator in
Ten class. A new calculator will cost $35 from the local shop or $32.95
online. Should she buy the calculator and where should she pur-
chase it from?

Questions:
 What would you do if you were Julie?
 How would you spend your money and where would you spend it?
 How much money would you save?
 Work out a budget for Julie determining what she should spend and save. Justify
your choices.

Where to buy:
 Create a presentation (for example, a brochure, poster, visual presentation, website,
oral presentation or Prezi) which includes the different options where consumers can
buy products and the advantages and or disadvantages of each.

These places could include:

Non-store retail Retail stores Locations

Mail order Convenience stores Local

Door-to-door Department stores Regional
Party plan Discount department stores Interstate
Auction Pop up stores Global
Telemarketing Specialty stores
Internet shopping Stalls / marketplace

10 Commerce core 1
 Non-store retail Retail stores Locations

Vending machines Supermarkets

 Initiate a structured discussion on the changing trends in where consumer buy

goods and services. Write a structured written response: explain the changing
trends where consumers buy goods and services.

2.3 - payment options

Teachers’ note - MoneySmart is an initiative from the Australian Securities and

Investments Commission (ASIC) to teach students about consumer and financial matters.
All resources on the website are aligned to the Australian Curriculum and can be modified
to suit the NSW 7-10 Commerce Syllabus. In addition, the website provides scope for
extension activities in the area of using credit to make purchases.

In a class of 30, group students into ten groups of three. The teacher may wish to combine
some research topics together for smaller class numbers still with 3 students in each group
(8 groups of three students for a class of 24).

Activities:
Payment methods
 Using the MoneySmart website on methods of payment, investigate the available
payment options including online and in-person.
 Using an adapted jigsaw grouping, students use MoneySmart banking to research
the different payment options available to consumers.
Online payments
o Online and mobile banking
o Instant payment with PayID
o Buy now pay later
In person payments
o Cash
o EFTPOS
o Cheque
o Credit card
o Tap and pay
o Gift card
o Prepaid cards
o Lay-by

© NSW Department of Education, Apr-2320

 Teacher note - allocate ten groups of three, allocating each student in the group a letter A,
B or C

Phase one
1. Meet in home groups (1 to 10) to work together to become experts in the allocated
topic area. See research topic table below for research topics.

Group Group Group Group Group Group Group Group Group Group
1 2 3 4 5 6 7 8 9 10

ABC ABC ABC ABC ABC ABC ABC ABC ABC ABC

2. Each group uses the MoneySmart website for initial research on their payment
method. Students conduct further research on the topic and complete the ‘Payment
method table’ below. Students in each group need to complete the following table in
as much detail as possible to be able to present their research to the collaboration
group.

Group (3 students) Research topics

1 Online and mobile banking

2 Instant payment with PayID
3 Buy now pay later
4 Cash
5 EFTPOS
6 Cheque
7 Credit card
8 Tap and pay
9 Gift cards and prepaid cards
10 Lay-by

Payment method table

Payment method: Answers

1. Name your payment op-

tion
2. Where could this payment
option be used?
3. What are the advantages
of this payment option?

12 Commerce core 1
 Payment method: Answers

4. What are the disadvant-

ages of this payment op-
tion?
5. Give examples of where
this method of payment
can be used.
6. How have social and tech-
nological changes im-
pacted on this payment
method?
7. Any other interesting facts
about your payment
method

Phase two

Students meet in collaboration groups (A-C) to teach each other about their topic area and
take notes on each payment type.

Group A Group B Group C

AAAAA BBBBB CCCCC

AAAAA BBBBB CCCCC

Students are divided into Group A, Group B and Group C, ensuring that all payment
methods are represented in each group. Each person in the group presents their payment
information to the other group members. All students need to write down the main features
of each payment method and can use the tables provided to make notes from the
individual presentations.

© NSW Department of Education, Apr-2320

 | NSW Department of Education

Answer space

How has society

Give examples and technology
What are the dis- Any other inter-
Where could this What are the ad- of where this impacted on the
advantages of esting facts
Payment option payment option vantages of this method of pay- payment
this payment op- about your pay-
be used? payment option? ment is often method?
tion? ment method.
used.

Online and mobile

banking

Instant payment
with PayID

Buy now pay later

Cash

EFTPOS

education.nsw.gov.au
 How has society
Give examples and technology
What are the dis- Any other inter-
Where could this What are the ad- of where this impacted on the
advantages of esting facts
Payment option payment option vantages of this method of pay- payment
this payment op- about your pay-
be used? payment option? ment is often method?
tion? ment method.
used.

Cheque

Credit card

Tap and pay

Gift card

Prepaid card

Lay-by

© NSW Department of Education, Apr-2320 15

 | NSW Department of Education

Phase three

Students return to their home group to discuss what they have learned about the different
payment methods, clearly stating the cost and benefits of each payment method. Each
group must rank each purchasing option according to a criteria of their choice. For
example, criteria based on cost/fees, benefits, risk, ease of use. Each group can decide
how they will collate this information. For example, a mind map, table, written explanation
to determine the best payment option available and the reasons for it.

Group Group Group Group Group Group Group Group Group Group
1 2 3 4 5 6 7 8 9 10

ABC ABC ABC ABC ABC ABC ABC ABC ABC ABC

Extension:
Read the following:
 Cashless future is here, with coins and banknotes to become 'niche' Sydney
Morning Herald article
 Australia to be a cashless society by 2022 Australian Fin Tech

Using your own knowledge and information in the articles to write a structured PEEL
paragraph examining how tap and go technologies and digital wallets have contributed to
a cashless society by answering the question, should we use cash or cashless
transactions in society?

2.4 - reflecting on purchasing decisions

Teachers’ note - this dot point of the syllabus can be used for student reflection using
their knowledge of consumer and financial decisions to evaluate their spending habits.

Activities:
Reflect on the spending and saving habits of people now and in the past. This could be in
the form of a reflection sheet responding to a series of questions such as:
 List one purchase where you regretted buying it.
 Why did you regret the purchase?
 What payment options have you used in the past?

education.nsw.gov.au
  Would you use them again, why/why not?
 Do you have a savings account?
 How will you manage your saving and spending into the future?
 What would you put into place right now to ensure you make sound consumer and
financial decisions for the future?

Learning sequence 3 - consumer

protection
Students:
 investigate the need for consumer protection (ACHEK029
 explain the reasons for, and features of, a simple contract, for example through the
construction of a written contract for a financial transaction (ACHEK029)
 investigate the legal rights and responsibilities of consumers, including protection
through legislation, for example the purpose of the Competition and Consumer Act
2010 (ACHEK029)
 explore the assistance and protection provided by consumer protection agencies
and independent bodies and organisations, including state and federal government
agencies
 examine the processes of consumer redress, for example proposing options for a
consumer who has purchased a product that is not fit for purpose/of acceptable
quality

3.1 - consumer protection

Teachers’ note - students will need to have a clear understanding of the Fair trading laws
that support consumer protection in Australia and New South Wales. The state and federal
governments have passed two pieces of legislation to protect consumers in the
marketplace. These include the Fair Trading Act 1987 (NSW) and the 2011 introduced
Australian Consumer Law (ACL) which operates with the Competition and Consumer Act
2010 (Commonwealth).

Activities:
The majority of sellers in the marketplace are fair and reasonable however some sellers
can take advantage of unsuspecting consumers which may result in individuals being
‘scammed’ or ‘ripped off’. In addition, consumers have the right to safety and product
safety regulations. Products that are manufactured overseas often do not meet Australia’s

© NSW Department of Education, Apr-2320

 product standards. This can occur due to the nature of the globalised economy with
approximately 1 in 20 Australians falling victim scams. Scams occur via telephone, email,
door-to-door, mail and online. It is for these reasons that legislation is a necessity to
ensure consumer protection in the marketplace.
 Use Scamwatch.gov.au and Banking and credit scams to identify the common
scams that exist in the marketplace. Using this information, students can present the
common scams based on a preferred learning style. For example, a diagram,
document, summaries, table, presentation.
 Create an infographic of the current statistics on scams in Australia. For example,
students could research Nigerian scams.
 Inquire into product recalls for unsafe toys. Using PREP framework, students are to
create an impromptu speech/presentation (1-2 minutes) on why is it important that
products are safe for consumers.

PREP
 Point - introduce your speech with your main point. Focus on one point only, so it’s
easier for your audience to comprehend.
 Reasons - tell your audience why you think the point is true. Back this up with
research and statistics to add credibility if you have these to hand. If not, simply
speak from the heart.
 Example - highlight an example (or several) that supports your main point and your
reasons. Again, back this up with data if appropriate.
 Point - wrap up your mini-speech by reiterating your main point so that it sticks in
people’s minds.

3.2 - contracts
Activities:
 Using Department of Fair Trading – Contracts, describe the three main features of a
simple contract including:
o offer
o acceptance
o consideration.
 Illustrate the three features of a legally binding contract by drawing a comic strip for
each scenario:
o buying groceries in a supermarket
o entering into a mobile phone contract.

18 Commerce core 1
 3.3 - rights and responsibilities of consumers and
consumer redress

Teachers’ note - syllabus dot points have been combined for lesson fluidity.

 Investigate the legal rights and responsibilities of consumers, including protection

through legislation, for example the purpose of the Competition and Consumer Act
2010 ACHEK029)
 Examine the processes of consumer redress, for example proposing options for a
consumer who has purchased a product that is not fit for purpose or of acceptable
quality.

Terminology that students will need to understand to complete the lesson

sequence.

Terminology Definition

A product or service fit for purpose. Products free of defects, safe and
Acceptable quality
durable.
A term meaning ‘let the buyer beware’. Meaning that the seller does not
Caveat emptor
have to tell the consumer everything about the product or service.
A set of consumer ‘guarantees’ and remedies for defective goods and
Consumer rights
services.
Consumers are protected by a series of laws that protect consumers un-
der Australian Consumer Law (ACL). The protections in the ACL are gen-
Consumer protec-
erally reflected in similar provisions in the Australian Securities and In-
tion
vestments Commission Act 2011 (ASIC Act) so that financial products
and services are treated the same way as consumer products.
A contract is a legally binding agreement between two or more people. A
Contract contract can be written or verbal however a written contract will reduce
misunderstandings and disputes.
Consumer redress When consumers seek to rectify a problem with a product or service.

The Australian Consumer Law (contained in a schedule to the Competition and Consumer
Act 2010) creates a basic set of guarantees for consumers who acquire goods and
services from Australian suppliers, importers or manufacturers. These are intended to
ensure that consumers receive the goods or services that they have paid for. When there
is a problem and one of the guarantees has not been met, consumers are entitled to a
redress (to have the situation ‘put right’). If the problem is with goods, consumers have the
legal right to a refund, a replacement or to have the product repaired. The choice is up to
the consumer. If the service is at fault, the consumer has the right to have the service
performed again.

© NSW Department of Education, Apr-2320

 Activities:
 Use ACCC Consumer rights and guarantees and the video Consumer guarantees –
in detail (duration 6:28) to gain an understanding of the legal rights and
responsibilities of consumers and consumer redress.
 Using the ACCC information and video, develop a plan of action for when a product
purchased is not fit for purpose or of acceptable quality. This can be illustrated as a
series of steps to ‘make things right’ when a product or service is faulty. Present this
work as a video, role play, presentation or information poster.
 Using this knowledge of consumer rights, students access Moneysmart’s consumer
rights to understand their rights when purchasing a mobile phone.

3.4 - assistance and protection for consumers

Teachers’ note - the ACCC Shopper app is a useful tool for students to download and
have ready for the lesson in advance.

Activities:
 Use the main menu of the ACCC Shopper App to investigate the assistance and
protection that is available. Examples of independent bodies, organisations and
government agencies include the following:
o Consumer protection agency
o Small claims tribunal
o Industry Ombudsman and dispute resolution
o Australian Competition and Consumer Commission ACCC
o Legal advice
 Create a brochure targeted for teenagers on assistance and protection for
consumers. The brochure can include ‘how to’ guides on refunds, faulty goods,
keeping track of receipts, warranties, lay-bys, where to get assistance and how
consumers can protect themselves.
 Department of Fair Trading – Contracts
 Airline Customer Advocate
 Telecommunications Industry Ombudsman – Complaints
 Small Business Commissioner NSW

20 Commerce core 1
 Learning sequence 4 - financial
management
Students:
 investigate the consequences of poor financial management, including:
o excessive debt
o impact on wellbeing of the individual and families
 discuss the role and importance of long-term financial strategies, including
superannuation
 investigate tools and strategies for effective financial management, including:
o monitoring and record-keeping to avoid over commitment, for example
managing mobile phone costs
o budgets, for example using digital technologies to develop a financial plan
o savings and superannuation plans
 compare options for addressing financial difficulty, including:
o negotiating an alternative payment plan
o seeking support via a financial institution

4.1 - consequences of poor financial management

Teachers’ note - brainstorming is a technique used with groups of people to generate a

large number of ideas or draw together information around a topic, idea, question or
problem. It gives people a chance to think of ideas or share information without initially
evaluating their merit. All ideas are recorded and gathered into a collaborative list. This list
can then be evaluated, classified and ideas refined. This activity can be conducted using
traditional teaching methods via a whiteboard and classroom discussion. Alternatively
teachers can use technology such as Mentimeter to gauge responses. The student
workbook (PDF 293KB) will need to be printed prior to completing the activities.

Knowledge of the following terms for this lesson sequence is required.

Terminology Definition

Budget A listing of planned revenue and expenditure for a given period.

A lending term for when an individual purchases a good or service
Credit
with an agreement to pay at a later date.
A dollar amount that you cannot exceed on a credit card or the max-
Credit limit
imum lending amount offered for a loan.

© NSW Department of Education, Apr-2320

 Terminology Definition

A ranking applied to a person or business based on their credit history

Credit rating
that represents their ability to repay a debt.
Any amount that a person owes including bills, loan repayments and
Debt
income tax.
Default A failure to pay a loan or other debt obligation.
The process of a bank or other lender taking ownership of property/
Repossess
assets for the purpose of paying off a loan in default.

Activities:
 Inquire into the consequences of poor financial management. This can be facilitated
via a classroom brainstorm or using Mentimeter to create a word cloud of student
responses. The words could be used to generate discussion on the topic of poor
financial management and its impact on individual wellbeing and families.
 Investigate the impact of debt on individuals and families. Write a short report on the
following:
o What is personal debt?
o Why does debt accumulate and get out of control for many individuals?
o How can excessive debt impact on families and individuals?
 Watch the MoneySmart (Module 4) Debt management video What sometimes
happens (duration 1:30) to gain an understanding of managing debt. Use the
student workbook (DOCX 2.33MB) to complete the activities.to complete the
activities.

Extension
 Use the ABS webpage on Household debt and over-indebtedness in Australia to
create an infographic on this topic. Using Canva or traditional drawing materials,
students create an infographic using the ABS statistics on household debt and over-
indebtedness in Australia.

4.2 - long-term financial strategies

Teachers’ note - sound financial advice will help individuals set financial goals and create
a plan to achieve them. In additional to short-term goals and managing debt, individuals
need to initiate long-term financial strategies to avoid financial difficulty in the later stages
of life. Superannuation (super) is one long-term financial strategy that requires careful
planning to ensure individuals have enough money for retirement.

22 Commerce core 1
 Financial goals are targets that people set to strive to achieve.

Goals Definition and example

A goal with a target of three months or less. For example, saving for a new
Short-term
outfit to wear.
A goal with a target of 3-12 months. For example, saving money for a holi-
Medium-term
day.
A goal with a minimum target of one year. For example, paying off a student
Long-term
loan, putting money aside for a comfortable retirement (superannuation).

Activities:
 Watch MoneySmart (Module 3) Superannuation resource with the class to gain an
understanding of what superannuation is.
 Use hexagonal thinking to think about ‘what is superannuation and why should we
have it?’ Use the hexagonal template to determine what ideas should sit next to
each other.

The following ideas could be covered in the hexagonal thinking diagram:

o money saved for when you are older and retire.
o money set aside for when you are no longer working and still require income to
live.
o employers are obliged to pay superannuation.
o individuals can ‘top up’ and supplement their superannuation earnings by
contributing additional funds into their superannuation fund.
o individuals will need to calculate how much money they will need to live on
when they are no longer working.
 Use the graphic organiser provided, the MoneySmart webpage article How super
works and the video What is super? (duration 1:14) to complete the following:

© NSW Department of Education, Apr-2320

 What is super? Why is super important in
Australia?

Superannuation

How to make super

How to choose a superfund contributions

 Using the MoneySmart website, students read the information on super

contributions and answer the following questions:
o When must an employer pay a percentage of the value of ‘ordinary time
earnings’ into an employee’s super fund?
o What are the rules to be eligible to receive super from an employer?
o Where can individuals check to ensure that super payments are correct and are
being deposited into a super fund?
o What can individuals do when an employer is not paying super?
o List the ways individuals can boost their super.

4.3 - effective financial management

Activities:
 Investigate a range of strategies for effective financial management. Present the
research on effective management strategies in a variety of formats. For example, a
digital or paper brochure, presentation, poster or newspaper article. The following
two articles can help students get started:
o Fixing bad money habits
o Five ways to fix bad money habits
 Using the ASIC MoneySmart (Module 1) Saving, budgeting and spending, complete
the activities in the student workbook (DOCX 2.33MB).
 Use the MoneySmart Mobile phone ownership resource to decide the best mobile
phone deal. The deal must suit personal needs and illustrate the potential financial
pitfalls associated with this specific mobile phone plan.

24 Commerce core 1
  Trial the finance tools that individuals can use to manage their money effectively.

ASIC Calculators and apps

o budget planner
o credit card calculator
o personal loan calculator
o retirement planner
o savings goal calculator
o super calculator
o super and pension age calculator.
 Each group must create a five minute presentation where they present their
calculator or app explaining its purpose, the usefulness of the app and a working
example using the app with student or hypothetical data.

4.4 - financial difficulty

Activities:
 Use the National Debt Helpline website to create a hints and tips sheet to reduce
financial difficulty.
 Investigate Australia’s major bank websites and conduct a comparison of the ways
individuals can seek support from their financial institution. Provided are some
examples:
o St George Bank
o Westpac Bank
o Commonwealth Bank
 Write a comparison of the variety of options for seeking support from financial
institutions.

Learning sequence 5 - current issues

Students:
 investigate a current issue that influences the decisions consumers make, for
example:
 the impact of technology on payment processes
 housing affordability and the impact on savings
 various types of scams, for example, relating to online shopping, banking and
identity theft

© NSW Department of Education, Apr-2320

  management of personal superannuation, for example tracking and consolidating
lost superannuation accounts

5.1 - consumer decision investigation

Teachers’ note - current issues can be embedded throughout Core 1 – consumer and
financial decisions. For example, lesson sequence 3 focusses on scams. More detail on
the types of scams relating to online shopping, banking and identify theft can be added to
lesson sequence 3 or kept as a separate issue for this component of the course. The
examples outlined in the syllabus can be integrated into the following topics:

 2.3 Payment options

o Impact of technology on payment processes
o A cashless society Sydney Morning Herald
o Tap and go and digital wallets Australian Fin Tech
 2.2 Decision time: what to do with your money
o Housing affordability
o YourHome
 3.1 Consumer protection
o Scams
o Scamwatch
 4.2 Long term financial strategies
o Management of personal superannuation
o Keeping track of your super

26 Commerce core 1