Assessor Resource

FNSFLT202
Develop and use a savings plan

Assessment tool

Version 1.0
Issue Date: May 2024


This unit describes the skills and knowledge required to develop and implement a savings plan to achieve identified goals and includes understanding the role of the savings plan, the risk/return relationship and how to determine appropriate savings vehicles to maximise savings. It has wide application and may be used in workplaces, schools, adult and community learning organisations or registered training organisations to build the financial literacy of learners. The unit may also be used as part of pre-vocational or new apprenticeship programs, or as part of services provided by counselling or advisory organisations.

It applies to individuals who use new ideas and techniques to develop personal financial literacy skills.

No licensing, legislative or certification requirements apply to this unit at the time of publication.

You may want to include more information here about the target group and the purpose of the assessments (eg formative, summative, recognition)


Evidence Required

List the assessment methods to be used and the context and resources required for assessment. Copy and paste the relevant sections from the evidence guide below and then re-write these in plain English.

ELEMENT

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Discuss place of saving and investing today

1.1 Discuss impact of increasingly high cost of living in western society, using examples from domestic environment

1.2 Discuss increasing levels of consumer debt in Australia with reference to current issues

1.3 Identify and discuss importance of setting financial goals and developing a saving and investment plan at different stages of an individual's life

1.4 Identify and discuss different attitudes to savings and investment and explore own spending habits

2. Understand risk as it relates to saving and investing

2.1 Use examples to explain concept of risk and risk versus return

2.2 Determine individual’s risk profile based on current and future requirements and individual’s level of risk aversion

2.3 Identify, assess and discuss impact of inflation on earnings power of money

3. Develop own savings plan

3.1 Identify personal savings goals, quantify into dollar amounts and arrange in order of priority

3.2 Develop personal budget to reveal funds available to contribute towards savings goals

3.3 Investigate range of financial product options available to maximise earnings on savings and select most appropriate according to own requirements

4. Implement own savings plan

4.1 List documentary requirements, including evidence of personal identity and steps needed to gather necessary documentation

4.2 Start savings plan, using existing or new financial savings account or product, and monitor for short period of time

4.3 Make adjustments to savings goal where it is realised that goal is unattainable

Evidence of the ability to:

set realistic, measurable, specific and timely financial goals

calculate amount needed to achieve identified financial goals

develop a basic savings plan based on surplus income.

Note: If a specific volume or frequency is not stated, then evidence must be provided at least once.

To complete the unit requirements safely and effectively, the individual must:

describe and identify examples of consumer debt

provide examples of financial goals at different stages of life

explain the impact of attitudes and spending habits on reaching financial goals

explain the key features of risk and return concepts in relation to savings and investment

identify and describe the key principles of budgeting

describe the role of budgeting and savings in establishing personal wealth

explain the differences between basic financial products used to maximise savings

describe the role of financial institutions and their basic savings products.

Assessment must be conducted in a safe environment where evidence gathered demonstrates consistent performance of typical activities experienced in the financial literacy field and include access to:

office equipment, technology, software and consumables

information about the budgeting process, current interest rates, savings products and other relevant resources.

Assessors must satisfy NVR/AQTF assessor requirements.

Submission Requirements

List each assessment task's title, type (eg project, observation/demonstration, essay, assingnment, checklist) and due date here

Assessment task 1: [title]      Due date:

(add new lines for each of the assessment tasks)

Assessment Tasks

Copy and paste from the following data to produce each assessment task. Write these in plain English and spell out how, when and where the task is to be carried out, under what conditions, and what resources are needed. Include guidelines about how well the candidate has to perform a task for it to be judged satisfactory.

ELEMENT

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Discuss place of saving and investing today

1.1 Discuss impact of increasingly high cost of living in western society, using examples from domestic environment

1.2 Discuss increasing levels of consumer debt in Australia with reference to current issues

1.3 Identify and discuss importance of setting financial goals and developing a saving and investment plan at different stages of an individual's life

1.4 Identify and discuss different attitudes to savings and investment and explore own spending habits

2. Understand risk as it relates to saving and investing

2.1 Use examples to explain concept of risk and risk versus return

2.2 Determine individual’s risk profile based on current and future requirements and individual’s level of risk aversion

2.3 Identify, assess and discuss impact of inflation on earnings power of money

3. Develop own savings plan

3.1 Identify personal savings goals, quantify into dollar amounts and arrange in order of priority

3.2 Develop personal budget to reveal funds available to contribute towards savings goals

3.3 Investigate range of financial product options available to maximise earnings on savings and select most appropriate according to own requirements

4. Implement own savings plan

4.1 List documentary requirements, including evidence of personal identity and steps needed to gather necessary documentation

4.2 Start savings plan, using existing or new financial savings account or product, and monitor for short period of time

4.3 Make adjustments to savings goal where it is realised that goal is unattainable

Evidence of the ability to:

set realistic, measurable, specific and timely financial goals

calculate amount needed to achieve identified financial goals

develop a basic savings plan based on surplus income.

Note: If a specific volume or frequency is not stated, then evidence must be provided at least once.

To complete the unit requirements safely and effectively, the individual must:

describe and identify examples of consumer debt

provide examples of financial goals at different stages of life

explain the impact of attitudes and spending habits on reaching financial goals

explain the key features of risk and return concepts in relation to savings and investment

identify and describe the key principles of budgeting

describe the role of budgeting and savings in establishing personal wealth

explain the differences between basic financial products used to maximise savings

describe the role of financial institutions and their basic savings products.

Assessment must be conducted in a safe environment where evidence gathered demonstrates consistent performance of typical activities experienced in the financial literacy field and include access to:

office equipment, technology, software and consumables

information about the budgeting process, current interest rates, savings products and other relevant resources.

Assessors must satisfy NVR/AQTF assessor requirements.
Copy and paste from the following performance criteria to create an observation checklist for each task. When you have finished writing your assessment tool every one of these must have been addressed, preferably several times in a variety of contexts. To ensure this occurs download the assessment matrix for the unit; enter each assessment task as a column header and place check marks against each performance criteria that task addresses.

Observation Checklist

Tasks to be observed according to workplace/college/TAFE policy and procedures, relevant legislation and Codes of Practice Yes No Comments/feedback
Discuss impact of increasingly high cost of living in western society, using examples from domestic environment 
Discuss increasing levels of consumer debt in Australia with reference to current issues 
1.3 Identify and discuss importance of setting financial goals and developing a saving and investment plan at different stages of an individual's life 
Identify and discuss different attitudes to savings and investment and explore own spending habits 
Use examples to explain concept of risk and risk versus return 
Determine individual’s risk profile based on current and future requirements and individual’s level of risk aversion 
Identify, assess and discuss impact of inflation on earnings power of money 
Identify personal savings goals, quantify into dollar amounts and arrange in order of priority 
Develop personal budget to reveal funds available to contribute towards savings goals 
Investigate range of financial product options available to maximise earnings on savings and select most appropriate according to own requirements 
List documentary requirements, including evidence of personal identity and steps needed to gather necessary documentation 
Start savings plan, using existing or new financial savings account or product, and monitor for short period of time 
Make adjustments to savings goal where it is realised that goal is unattainable 

Forms

Assessment Cover Sheet

FNSFLT202 - Develop and use a savings plan
Assessment task 1: [title]

Student name:

Student ID:

I declare that the assessment tasks submitted for this unit are my own work.

Student signature:

Result: Competent Not yet competent

Feedback to student

 

 

 

 

 

 

 

 

Assessor name:

Signature:

Date:

Assessment Record Sheet

FNSFLT202 - Develop and use a savings plan

Student name:

Student ID:

Assessment task 1: [title] Result: Competent Not yet competent

(add lines for each task)

Feedback to student:

 

 

 

 

 

 

 

 

Overall assessment result: Competent Not yet competent

Assessor name:

Signature:

Date:

Student signature:

Date: