This document provides teaching materials on the topic of needs versus wants, including a lesson plan, discussion questions, worksheets, and answers. The lesson teaches students the difference between needs, which are things required for survival, and wants, which are extra items that make life more enjoyable. Students learn the five basic needs and discuss examples. Worksheets help students identify needs and wants in household spending and birthday money scenarios. The goal is for students to understand financial decision making and budgeting based on needs versus wants.

1. Copyright © Pamela Fraser & TeeJay Publishers February 2013 Needs & Wants Level 1
Produced for TeeJay Publishers by Pamela Fraser.
TeeJay PublishersTeeJay Publishers
Financial Maths - Life SkillsFinancial Maths - Life Skills
Needs & Wants
UNIT
Needs & Wants
UN 1IT
Lesson Plan

2. Copyright © Pamela Fraser & TeeJay Publishers February 2013 Needs & Wants Level 1
Guidance Notes for Teachers
Needs and Wants Lesson
Lesson Objective:
By the end of the lesson, pupils will understand the difference between a need and a want
and appreciate why we have to know the difference between the two and why sometimes we
cannot afford both.
Outcomes:
I can contribute to a discussion of the difference between needs and wants and those of
others around me.
Lesson Introduction
You know that we use money to pay for things and probably if I ask each of you “what” you
would like to buy you would all be able to give me a long list of things. But did you know that there
are 2 types of things that we buy ? We either spend our money on items that we NEED or items
that we WANT. But how do we tell the difference ?
Today we will be finding out all about what is a NEED and what is a WANT.
As you get older you will have to decide what to spend your money on and if you know the
difference between WANTS and NEEDS then hopefully you will make good choices. That's
important, because although you will have more money when you are older, most people don’t have
enough money to buy all that they need and everything that they want.
Discussion
Once the introduction has been completed with the class, the attached discussion notes sheet
will assist you in building the pupils' awareness of the differences between NEEDS & WANTS.
Worksheet - Pupil Activity
Throughout the discussion, it should be ascertained that the pupils understand the differences
between need and want items and the process that surrounds making the correct choices between
the two. Pupils then can progress to a worked example. The questions are set around a scenario
using real life monetary amounts.
Plenary
This sheet summarises what has been learned and highlights the key points of the NEEDS &
WANTS lesson.
Pamela Fraser

3. Copyright © Pamela Fraser & TeeJay Publishers February 2013 Needs & Wants Level 1
Discussion Notes
Needs and Wants
Q1: What does the word
NEED mean ?
A: A NEED is something that we must have in
order to survive.
Q2: There are 5 basic NEEDS
that we all have.
What are they ?
A: We NEED something to drink, something to eat,
somewhere to stay (shelter), something to keep
us warm and we need first aid.
Q3: Provide some REAL
examples of these
5 NEEDS.
A: Various
Drink - Water, Milk, Tea, etc ....
Food - Bread, Fruit, Vegetables, Meat, etc ....
Shelter - House, Tent, Flat, Hostel, etc....
Warmth - Fire, Electricity, Clothes, etc ....
First aid - Elastoplasts, bandages, etc....
A: Answers are individual but should be wants
rather than needs.
Q5: Provide some REAL
examples of a WANT.
Q4: Describe what you
think a WANT is.
A: A WANT is a luxury item. It is something that we
do not need to have in order to stay alive.
It is something you would have that would make
your life easier or more enjoyable.
Supplementary Questions
Q6: Do you think there are some occasions when it is appropriate to spend your money on a WANT
rather on your NEEDS ?
You should only spend money on wants once all your needs have been paid for.
Any money left over could be spent for example on presents for birthdays or Christmas
and other special occasions as a treat.
Q7: What things will affect what you choose to meet your 5 basic NEEDS ?
While we all NEED something to drink, food, shelter, warmth and first aid there are a number
of different things that will affect what we choose to meet those needs. What we can afford,
what we like, whether we are allergic to something, whether something is available in our
community, religious or cultural preferences.
Q8: Do you think your WANTS would be different if you were poor and lived in a 3rd world country ?
Yes, poor people don't even have the basic needs that we have, such as a clean water supply
to drink from or clothes to wear. These items are their WANTS because they have so little.

4. Copyright © Pamela Fraser & TeeJay Publishers February 2013 Needs & Wants Level 1
Needs & Wants Worksheet 1
Eve and her sons, Alfie & Finn, live in a
rented flat in the city. They would like
to go on holiday to the seaside in the
next year, but before they can, they
have to sit down and check whether
they can afford to go.
They are looking at how they spend
their money.
Can you help them ?
1. This is a list of their household bills :-
a Write down the NEEDS from the above list.
b Write down the WANTS from the list.
HHoouusseehhoolldd BBiillllss -- ((ppeerr mmoonntthh))..
Rent - $200 Takeaways - $25
Groceries - $125 Clothes - $60
Electricity - $45 Petrol - $30
Toys & Comics - $10 Car Loan - $100
Trips Out - $50 Make Up - $15

5. Copyright © Pamela Fraser & TeeJay Publishers February 2013 Needs & Wants Level 1
2. Add up the cost of all the NEEDS to
find out how much Eve spends on
items necessary for the family to live.
3. Add up the cost of all the WANTS to find
out how much Eve spends on extra items to
make their lives easier or more enjoyable.
4. Now add up the total amount of the NEED
items and the WANT items to find out
how much Eve spends on bills each month.
5. What 4 things from the list do you think
Eve could stop spending money on so that
the family might be able to afford a holiday ?
6. How much would Eve and the boys save each
month by cutting out the 4 items from the list ?
7. If Eve and the boys decide to go on holiday in
a year's time how much money will they have
saved by then ?
8. Could Eve cut back on any of the NEEDS that she spends money on ? Explain.

6. Copyright © Pamela Fraser & TeeJay Publishers February 2013 Needs & Wants Level 1
Alfie is Eve's son and he has recently celebrated his
12th birthday. He was very excited because he had
received birthday money totalling $100. Eve has told
Alfie that this is a large amount of money and he must
spend it wisely. Alfie will have to think about what he
needs and wants before spending his money.
Needs & Wants Worksheet 2
1. Alfie has written a list of items that
he would like to buy. Are any of the
items needs ? If so what are they ?
2. a How much would it cost Alfie to buy
the items on his list that he needs ?
b How much money would he have left ?
3. How much money would Alfie had to have
received in order to buy all the things
that he wanted from the list ?
4. Alfie is excited about going shopping and plans to spend all of the $100.
What could he buy from the list ?
BBiirrtthhddaayy MMoonneeyy LLiisstt
SuperFootie Video Game $25.00
Remote Controlled Car $45.00
BMX Bike
$100.00
Winter Coat
$60.00
Football Boots
$55.00
Books
$10.00
Jumper
$20.00

7. Copyright © Pamela Fraser & TeeJay Publishers February 2013 Needs & Wants Level 1
5. While shopping, Alfie sees a pair of jeans (normally $49·99), on sale for $30.
a Are the jeans a need or a want ?
b How much money is Alfie saving
by buying them in the sale ?
c If Alfie buys the jeans, is he still able to
buy the football boots and the video game ?
6. Alfie buys the jeans. Now he plans to spend
the rest of his money on something he wants.
What could he buy from his list ?
7. Eve suggests that Alfie should save some
of his birthday money in his piggy bank.
Is savings a need or a want ?
8. Alfie decides to save $15 of his money.
a How much money does he have left to
spend, now that he has bought his jeans
and saved ?
b Which one item does he end up buying if
he does spend all his money ?
c Is this a need or a want ?
9. If you had received the $100 birthday money how would you have spent it ?

8. Copyright © Pamela Fraser & TeeJay Publishers February 2013 Needs & Wants Level 1
Needs & Wants Worksheet 1 - Answers
1. a Needs are Rent, Groceries, Electricity, Clothes.
b Wants are Toys & Comics, Trips out, Takeaways, Petrol, Car Loan and Make Up.
$2. 430 spent on needs.
$3. 230 spent on wants.
4. Eve spends $660 on her bills.
5. Eve could stop - Toys & Comics, Trips out, Takeaways and Make Up.
6. The family would save $100 per month.
7. The family would save $1200 in a year.
8. Eve could save money on her clothes and groceries as these amounts can vary
every month.
She may also be able to shop around for special offers for these items.

9. Copyright © Pamela Fraser & TeeJay Publishers February 2013 Needs & Wants Level 1
1. Winter Coat and the Jumper are needs.
2. a It would cost $80 to buy all the needs on the list.
b There would be $20 leftover after buying the needs from the list.
3. $235 to buy all the wants from the list.
4. There are different permutations for this answer :-
• He could buy the bike for $100.
• He could buy the football boots and the remote controlled car.
• He could buy the video game, football boots and the jumper.
• He could buy the video game, remote controlled car, jumper and books.
5. a If Alfie has no jeans then they are a need. If he already has a number
of pairs then they would be a want.
b Alfie would be saving $19.99 by buying the jeans in the sale.
c No. Alfie wouldn't have enough money. All the items would total $110.
6. He could buy the video game and the remote controlled car with the money he
has left.
7. Saving money is a need. It's putting money away for an emergency or to buy
something that is expensive over time.
8. a He has $55 left to spend.
b He buys the football boots.
c This is a want.
9. The answers to this question will
vary but teachers should highlight
any unrealistic answers which would
cost in excess of the $100.
Needs & Wants Worksheet 2 - Answers

10. Copyright © Pamela Fraser & TeeJay Publishers February 2013 Needs & Wants Level 1
Questions to assess student understanding
Eve was hoping to go on holiday with her family. Is a holiday a NEED or a WANT ?
It's a WANT; the family will survive without a holiday.
Eve was willing to stop spending on some WANTS in order to save money to spend on another
WANT (the holiday). Why did she choose to stop buying these things ?
• These are luxury items which she could survive without them.
• She was managing or budgeting her money.
• Eve thought she was wasting her money by buying these things.
• She wanted the holiday more than she wanted the makeup and toys etc ....
Do you think buying WANTS make you happy ?
There are no definite answers to this and it will allow class discussion.
Children who agree that it makes them happy should be questioned further.
Summary/Plenary SheetSummary/Plenary Sheet
The exercises you have just completed teach us what a NEED is and
what a WANT is. We now know the differences between the two
items so that we can decide what we should be spending our money
on. This is the first step to looking after our money and spending it
carefully.
Recap on Key Learning Points
• A need is something we must have in order to survive.
• A want is a luxury item which we would like to have.
• The 5 basic needs that we have are food, drink, shelter, warmth and first aid.
• If we are sensible with our money we make sure that we are able to pay for our needs before
spending on wants.
Extended Learning
For teachers wishing to further the lesson by issuing homework or extended learning opportunities to pupils
the following are suggested activities :-
• Give pupils a piece of paper folded in half with the headings NEEDS and WANTS then ask them to
look through magazines/catalogues and cut out pictures. Paste the items in the NEEDS or WANTS
half or section of the paper.
• Ask the pupils to draw up two Christmas Lists for family and friends. On one list they should
suggest gifts that the person NEEDS and on the other list things they would WANT.
• As a class, draw up a list of the things that are NEEDED in order to get to school in the morning.