Picture the lifestyle you would like to have as an adult. What does your home look like? What kind of car do you want to drive?

Have you ever really done the math when it comes to planning your future? What kind of job would support the lifestyle you imagine for yourself? How much do you think it would cost to live the life you want?

Today’s Learning GoalI will think critically about the benefits of higher education in correlation to the “Cost of Living” by working with classmates to analyze a graph and answer reflection questions.

Estimating CostsEstimating CostsYou will now be presented with charts

outlining average “Costs of Living.” Use the information to complete #1-4.

RentRentApartment Average Monthly

Rent

Monthly Income Needed to Afford Rent

Annual Income Needed to Afford Rent

Studio/1Ba $956/mo $3,200/mo $38,000/year

1Bd/1Ba $1,218/mo $4,100/mo $49,000/year

2Bd/2Ba $1,607/mo $5,400/mo $64,000/year

http://lahd.lacity.org/

Apartment Fair Market Rent (FMR)

Monthly Income Needed to Afford FMR w/o Assistance*

Annual Income Needed to Afford FMR w/o Assistance*

Studio $674/mo $2,250/mo $26,960/year

1Bd $807/mo $2,690/mo $32,280/year

2Bd $1,021/mo $3,400/mo $40,840/year

Section 8 "Fair Market Rents”:Section 8 "Fair Market Rents”:

Average Rents:Average Rents:

Utility ExpensesUtility Expenseshttp://www.bls.gov/ro9/cpilosa_energy.htm

Utility Unit Price Estimated Monthly Use

Average Monthly Cost

Electricity $0.20/kWh 304 kWh/month $60.80

Gas/Heat $1.20/therm 30.8 therm/month $36.96

Water $0.004/gallon 15,000 gallons/month $60.00

Cable/Internet N/A N/A $55.00-120.00

Cell Phone N/A N/A $45.00-100.00

Groceries  N/A $25-$75/Week $100.00-$300.00

Gasoline $3.95/gallon 20 gallons/month $79.00

Exit TicketExit TicketIn a brief paragraph, please summarize what you have learned today about the financial benefits of higher education. How will this affect your planning for the future?