Economics GCSE AQA Unit 11 ( Money)

Personal Life Cycle

Stage Name: Likely milestones: Typical sources of income: How might government affect income:

Childhood Learning to talk/walk. Parents. VAT.

Teenagers Starting education/ secondary school. Parents/part-time job. VAT.

Young Adult Flat/rent, university, job. Job. Uni fee/ taxes/ VAT.

Middle Adult Own house/ children/ promotion. Job. Child tax/ credit/ personal tax allowance/ VAT.

Late Adult(Old Age) Retire/ pention. Pension. Pension/ VAT.

Personal Life Cycle: The stages everyone passes through from birth to death. Our wants change as we pass different stages of the Personal Life Cycle.

Milestones: Important events in the Personal Life Cycle.

Income: Total money received from a person's wages/salary, interest and dividends.

Needs and wants: needs are essential to our lifes but wants are things we could survive without.

Retirement: When we cease to do paid employment.

Pensions: a benefit paid as of right to those of retirement age who have paid the minimum National Insurance contributions.

Taxes: A fee levied by a government on a product, income or activity.

Benefits: Regular payments from the government to support people in need.

Part-time job/work: This refers to a worker who only works a fraction of the working week of a full-time employee.

Employee: The person who is working for the business.

Full-time job/work: A worker who works the maximum number of hours required in the normal working week for a paticular job.

Leaving school/ college/ univesity: When a person ceases to be in full-time education and looks for employment.

Gaining employment: Being offered and accepting a paid job.

Promotion: A new higher-paid job role involving greater resonsibility and skill.

Debt: The amount still owing from funds borrowed.

Unemployment: When an individual without a job is seeking paid employment or is able to work.

Borrowing: Getting money from a lender that must be repaid in the future(e.g mortgage).

Saving: Putting money aside for later use.

Tax credit: A state benefit paid to employees through the tax system, which acts like a negative tax.

Tas allowances: Sums deducted from total income before income tax is calculated.

Inflation: The rate at which the general level of prices for goods and services is rising.

Making decisions

Opportunity cost: Is something that we give up when we make a choice.

(Choice) Cost: The…