Handbook of Essentials That Every High Schooler Needs to Know: About Finance and Much More!

by Sunjay Letchuman

Overview

This book discusses the basics of finance that are prevalent in high school. There are certain activities that will destroy a high school student's life if he or she engages in them, and this book points out those detrimental activities in a concise manner. Once a student understands these pitfalls, he or she can successfully build wealth. Without the burden of financial problems, the quality of life is greatly increased, which constitutes the essence of this book. Most high school students understand that smoking and drinking are bad for the body, but very few of these individuals understand the costs behind these activities as the costs not only include the literal cost of buying the cigarette package or the bottle of alcohol but also the medical costs. After reading this book, a student will be equipped with the essentials that every high schooler needs to know!

Product Details

ISBN-13:	9781524688073
Publisher:	AuthorHouse
Publication date:	09/13/2017
Pages:	58
Product dimensions:	5.00(w) x 8.00(h) x 0.12(d)

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CHAPTER 1

Introduction/Author's Note

"Financial freedom is available to those who learn about it and work for it."-Robert Kiyosaki

The concepts in this book are in your best interest and if you take them to heart, they will help you succeed in life. All this information is simply my understanding of this world backed up by evidence from professionals and studies. Even if you did not do very well in high school, or are not doing well now, you could still very easily become more financially successful and live a happier life than the person who went to a very prestigious university because you will learn many tricks and tips to becoming a financial genius. I am just a high school junior, so why am I, of all people, writing a book about finance relating to high school students? My parents have taught me a lot about finance from the basics to some of the intricacies, but I know that a lot of parents might not be able to or have the time to teach their children useful financial skills. That's when I realized that there should be a mandatory class in high school about basic finance and how it relates to living. As an adult, if you don't understand the basics of finance, you can get into lots of trouble. After I realized that the majority of schools in the United States do not have a class about basic finance, I wrote this book. The purpose of this book is not to help you become rich (even though it will help) or to get into a good college, but instead to help you live a financially happy life. After high school, this world really does just let you go, so if you don't know this stuff, you are destined to learn the hard way: by trial and error. While you are young, it is important to establish the right framework for future financial success, and this handbook will help you establish that framework. Okay, now I think you get the point: this is important knowledge and information! Just remember, it costs you nothing to follow this advice.

What is Addiction?

"When you can stop, you don't want to, and when you want to stop, you can't"-Luke Davies

The lowest of all lows is addiction. In the coming chapters, I will be talking about activities that closely relate to addiction, so it's important to understand what it means and what it causes. Unfortunately, I have observed students who were on a straight path to success, but before they could get there, their path diverted to a road filled with health and financial agony because of an addiction. The definition of addiction is the condition of being tied to a particular substance, thing, or activity. Not all addictions are harmful; an addiction is only harmful if it impedes one's everyday activities in a negative way. For example, imagine being in an important meeting with your coworkers. Decisions need to be made, and they need to be made fast. But you're a smoker. Instead of thinking of new ways for your company to increase revenue, what are you thinking about? You're thinking about when you will be able to smoke your next cigarette. It is 'the urge' which classifies addiction; the overwhelming urge to smoke a cigarette and forget about the meeting is addiction. Addiction is a difficult battle to fight because it sucks victims in and never lets them out without lots of pain. The best way to avoid this disease is by not falling into its trap.

CHAPTER 2

Gambling

"Gambling is a disease of barbarians superficially civilized." –Dean Inge

Gambling is not an investment for the future. It's an investment in casino owners. Let's say after you get a job, you start to bring in an annual income of $50,000. When you're creating a budget for yourself, you decide you want to spend $500 a year on gambling, which includes scratch tickets, betting, casinos, etc. In your head, you might think it's just a measly $500, but that is 1% of your total annual income! The bad part about spending this money is that you're spending it on something completely futile; it is simply throwing money into trash cans that are collected by wealthy businessmen who own the casino or other platform.

In gambling, there's always the shrewd player and the dumb player, and you have a choice. Be the shrewd player or even better, the one that does not deal with gambling at all. For example, Organization A decides to have a small lottery for anyone to enter and this is how it works: anyone can buy a ticket for only $1. This ticket has a random combination of five numbers ranging from zero to nine. The organization is going to randomly generate five numbers after all the tickets are sold, and the holder of the ticket with the five numbers generated, in the same order, wins $5,000! You might be amazed at the fact that it is possible to pay $1 for a ticket and get $5,000 back. Although this is true, you are still the dumb player. The shrewd player, Organization A, knows exactly what they're up to. With the way they set this lottery up, there are 10^5 or 100,000 different combinations of the five numbers ranging from zero to nine, so with all the tickets sold, they made $100,000. After they pay whoever won the quite insignificant $5,000, they are left with a guaranteed collection of $95,000. Organization A wins! The moral of this story is that there is always a shrewd player and a dumb player in gambling, so when you think you are going to gamble, remember you do not want to be the dumb player.

"Hey, buddy, can you lend me $10? If I have a little more money to gamble on the table, I'm sure my luck will change." First off, your buddy asking you this should go ahead and say "have" instead of "lend" because you're not getting your money back. This is a very realistic request from a gambling addict, and if you ever get asked this question, always say NO! Gambling is an addiction and even the wealthy businessmen, the "shrewd ones," realize this. This is why on every casino or lottery advertisement, whether it's in a newspaper or on a billboard, there is a question in small print, which states, "Gambling problem? Call 1-800 —" These numbers are simply referral services; they will refer you to counselors, addiction groups, and other groups that help stop your addiction.

All addictions lead to problems with family so a gambling addiction is no exception. Gambling addicts almost always run out of money, and their solution to this problem is to steal or cheat. For example, Bob is a gambling addict, and he runs out of money. Bob starts to use all the savings that he and his wife had for themselves and their children.

Sooner or later, Bob's wife realizes what Bob has done to his family and decides to take her kids and leave him. Now, Bob is single, has a horrible reputation, has made his kids angry and depressed, and has made his ex-wife's life very difficult. But why? Bob could avoid this distress if he just didn't gamble, right? YES! Gambling is not a joking matter; casinos today have made their interiors and exteriors look appealing and have done everything they can to make you feel like a king or queen, but all they really want is your money. The men and women who own those magnificent looking casinos and boats know exactly what they are doing, but they need people who are ignorant and addicted to gambling in order to stay in business. Don't give them your money!

One very prominent subject on the topic of gambling is parents giving kids scratch tickets. Would you give your kid a scratch ticket for a birthday present or a Christmas present? No way, right? You wouldn't want to get your kid into gambling early. ... Well, think about it. If it were okay to give your kids scratch tickets, then it would be legal, but it's not. Scratch tickets give you a rush of suspense and exhilaration, but this is not good; this suspense and exhilaration is what has sucked millions of dollars out of people. If you give your kid a scratch ticket for whatever reason, it is only harming him/her. You are giving your kid an exhilarating feeling of suspense, which he/she will want again, so when adulthood comes around, he/she will be more likely to gamble.

CHAPTER 3

Smoking

"It is easier to prevent bad habits than to break them."-Benjamin Franklin

Money drives most of the world. So you might ask, "What's another money sucker?" Smoking. And this is the legal stuff like cigarettes, tobacco, etc. Tobacco is legal, so it is okay to smoke, right? The one-word quick answer is ... "No!" It destroys your body and ultimately disables and kills you. Disability, or even death, results in loss of income, unhappiness, and pain and suffering for those who depend on you.

Don't learn the hard way like Whoopi Goldberg or Jon Stewart; just don't start. Many have talked about the struggles of fighting the craving for nicotine. After you're addicted, it's very difficult to quit. There are so many better places to put your money than in the hands of cigarette companies. For example, let's say you live in New York City where cigarettes can cost up to $14 a pack. Would you rather smoke one pack of cigarettes every day for the whole year, or would you rather take a vacation anywhere in the world with a budget of $5,110? I would sure be going on that vacation! In New York, if you smoke a pack a day, at the end of the year, you would have just blown $5,110. This is not to mention all the risks your body will be taking like having a much higher chance of getting lung cancer, having a heart attack, or having a stroke. So would you rather have a happy body and a fun-filled vacation to anywhere in the world? I hope your answer is yes!

"Just try this cigarette, man. You can't be one of us if you don't try this." First off, if you are ever in a situation where you are being asked that question, just say "No!" and leave. They are not the type of people you want to be around. You want to become successful, rich, and live a very happy life. If you succumb to these smokers' persuasion, this poor decision impacts the rest of your life. But why would a smoker ask this question in the first place? Do smokers feel insecure with their disgusting habit, so they try to get more people addicted so that they will feel more secure and accepted? Well, smokers do have a much higher chance of experiencing anxiety, depression, and feelings of insecurity. So even if the smoker thought getting another person addicted is cool, the smoker was really just having feelings of insecurity. If the $5,110 in the example I gave earlier wasn't convincing enough, this $5,110 is only a fraction of the real financial costs. Let's say Dan has been a lifetime smoker. Yes, he is spending his $5,110 every year, but the medical costs are much greater than a few thousand. Dan has probably had to go to the doctor several times a year for treatments of colds, bronchitis, pneumonia, and chronic obstructive pulmonary disease, just to name a few. These doctor visits cost a lot of time and money, and Dan probably has to take off work, which is even more money. The stinky breath, yellow teeth, sickly cough, and wrinkled skin do not elevate his social status either.

As the years go along filled with stress, financial problems, and health problems, Dan has stressed his lungs to the limit; he needs a lung transplant. Because of all the intricacies and complications of this surgery, the cost of it is over half a million dollars! If you thought you could go on a lavish vacation with $5,110, then think about what you could do with over half a million. The ethical factor of giving a smoker a lung transplant is another factor; if you are born with a healthy set of lungs, you should keep them like that and not destroy them.

Just like gambling, smoking is a serious addiction, and the addiction usually starts early. According to the Center for Disease Control and Prevention, about 20% of high school students in the United States use tobacco products. That's crazy! Most of these kids don't have a stable source of income, yet they are participating in a costly, detrimental activity. These kids are on the highway leading straight to lifelong financial hardship. Why would they do something so stupid? The important point to remember is to learn from others' mistakes and not make them yourself. Avoiding tobacco is extremely easy; there are no legal, religious, financial, health, moral, or ethical reasons to smoke. You have the choice. Just say "No!" It doesn't cost you anything.

CHAPTER 4

Illicit Drugs

"Sometimes a parent grieves for the loss of a child that is still alive."-Tigress Luv

The quote above is true: if you become a slave to illicit drugs, you are lost. If someone uses illegal drugs, he/she is at the lowest of lows. If someone has to smoke marijuana to "have fun," he/she is not having fun. Illicit drugs are so dangerous and just flat-out scary because so many bad things can happen to you mentally and physically.

"It's just going to be for one night. I just want to try it. I'm not going to get addicted." Please never let those words come out of your mouth because if they do, the rest of your life will basically revolve around the drug. Illicit drugs are illegal for a reason. When you consume a psychoactive drug like marijuana or methamphetamine, the drug stimulates the reward system in your brain, even though you have not actually accomplished anything worthy of reward. All the euphoric feelings obtained are from artificial sources. It all starts from the first try whether it's in middle school, high school, college, or later. That one try can decide your future. Your life will be like running a marathon and half-way there, an earthquake occurs which divides the ground, and you're not able to finish the race. If you just try it, you may become addicted, and your unique future will be destroyed.

All the millions and millions of dollars the government spends every year towards controlling illicit drug use is astonishing. Save yourself from having to go through all the rehab activities like the 12-step program or joining groups like Narcotics Anonymous or Drug Addicts Anonymous; just don't start in the first place. Illicit drugs cost drug users about 100 billion dollars a year, but that's not even close to what it costs taxpayers. It costs taxpayers more than 193 billion dollars annually due to health care costs, criminal justice costs, loss of productivity, and other expenses.

Why is it that most of the illicit drug users in the United States first try a drug when he/she is a teenager? Is it because that is his/her definition of being cool? Does he/she think that is the only way to fit in? There is no definite answer to these questions, but one of the main problems in teenagers who use illicit drugs is naivety. The teenager might have read on the Internet or heard from an uneducated friend that using drugs makes you feel cool and happy, but the teenager is too naïve to know the long-term dangers and effects. Even if the teenager does know of these dangers, he/she probably believes that such terrible things will never happen to his/ her own body.

The first "try" the teenager gets from the dealer or "friend" would probably be free because the dealer knows that after the teenager is addicted, the teenager will keep coming back for more and more. The dealer will keep demanding more money as the teenager becomes more and more dependent on the drug. The teenager might steal money from his/her parents to buy more drugs to fulfill his/her craving; the overall fact is that the teenager will do whatever it takes to get the drug. The teenager becomes a servant to the drug. Also, one very important fact here is that an indicted drug dealer and the drug user are severely punished by federal law, so it's not like the user lives a horrible life and the dealer lives a happy, wealthy life; they both live a life filled with fear, insecurity, and depression. Just like I said for smoking, I'm going to say it for illicit drug use. Avoiding illicit drugs is extremely easy; there is no good reason to use them. You have the choice. Just say "No" because it doesn't cost you anything.

CHAPTER 5

Alcohol

"Alcohol is not the answer; it just makes you forget the question."-Anonymous

Something that is socially acceptable yet detrimental to your health and your wallet is alcohol. The quote above is a humorous way of sending the message: "Do not drink!" It is true that when you are drunk, you can forget many things and not know what you are doing. Alcohol is a dangerous drug. Almost 90% of Americans drink alcohol, yet America is one of the most progressive countries in the world, so alcohol can't be that bad, right? Well, alcohol definitely does not do you any good, and because the majority of all Americans drink, it is hard to find people who strongly disagree with it. I strongly discourage alcohol. Because of the high level of social acceptance, alcohol has become a serious and widespread problem.

Let me bring Dan back for another example. Let's say Dan is a 40-year-old teacher who makes $50,000 a year. He doesn't smoke or gamble, but he does drink alcohol. He started drinking alcohol when he was in high school, so he has depended on it for a long time. Dan is unsatisfied with the amount of money he has left after subtracting all his expenses; he's trying to figure out what else he can cut down so that his savings will increase. Hopefully, Dan takes away the alcohol! Dan has a couple drinks a week with meals, which adds up to $1,000 a year on different alcoholic beverages. That's a lot of money that Dan could be cutting down. The only reason he isn't cutting it down is he is subconsciously addicted to it and needs it. Just like I mentioned when talking about smoking, the real expense here is not the $1,000 a year to fulfill his addiction; it is the medical expenses from the huge toll his body takes from the drinking. After all the years that Dan has been drinking, he gets diagnosed with cirrhosis of the liver and chronic pancreatitis. Although it would be an extreme case to be diagnosed with both, the chances of these two conditions developing are greatly increased for people who drink alcohol regularly. Alcohol is toxic to your cells and your liver tries to immediately detoxify it the moment you consume some in an effort to save your health, but your liver can only do so much.

(Continues…)

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Excerpted from "Handbook of Essentials That Every High Schooler Needs to Know"
by .
Copyright © 2017 Sunjay Letchuman.
Excerpted by permission of AuthorHouse.
All rights reserved. No part of this excerpt may be reproduced or reprinted without permission in writing from the publisher.
Excerpts are provided by Dial-A-Book Inc. solely for the personal use of visitors to this web site.

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Table of Contents

Chapter 1 Introduction/Author's Note, 1,
Chapter 2 Gambling, 5,
Chapter 3 Smoking, 9,
Chapter 4 Illicit Drugs, 14,
Chapter 5 Alcohol, 18,
Chapter 6 Tattoos and Body Piercings, 25,
Chapter 7 Eating Out, 29,
Chapter 8 Building your Wealth, 34,
Chapter 9 Create a Budget, 44,
Chapter 10 Don't Keep up with the Joneses, 46,
Chapter 11 Create a Legacy, 48,
Acknowledgements, 51,