Theme 5 Lesson 20:
What's the Cost of Spending and Saving?

This lesson examines the benefits and opportunity cost of spending and saving. The students learn how compound interest makes savings grow. Compounding provides an incentive to save and invest early. The benefits of saving and investing when you are young can increase substantially over time when funds are allowed to compound.

Visuals & Activities


  • Compounding
  • Cost
  • Interest
  • Interest Rate
  • Investment
  • Opportunity Cost
  • Rate of Return
  • Return
  • Rule of 72
  • Saving
  • Spend
  • Spending

Standards in Economics and Personal Finance

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Related Lessons


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