Lesson Plan: Who Really Gets Paid First? The Government vs. Your Freedom

The Chairman
Aug 19
2 min read

Grade Level: 9–12

Subject: Financial Literacy / EconomicsClass Length: 90 minutes

💡 Introduction – The Harsh Truth About Your Paycheck

Imagine working 40 hours a week, only to find that before you buy groceries, pay rent, or put gas in your car, the government already has their hand in your paycheck. Through federal income taxes, Social Security, Medicare, and state/local taxes, a large portion of your income is gone before you even see it.

The money that your erned is redistributed by the government for programs, entitlements, and spending priorities that may or may not benefit you directly. That means the government “pays itself first” while you and your family get what’s left.

So how do you fight back? The answer is simple: pay yourself first through savings and investing. Only then can you purchase something rare in today’s world—true financial freedom.

🎯 Objectives

By the end of this lesson, students will be able to:

Understand how government taxation impacts personal income.
Recognize that taxes reduce available funds before personal spending.
Build a personal budget with income, taxes, expenses, and savings included.
Identify how savings and investing build long-term freedom.

📜 Florida Sunshine State Standards Alignment

SS.912.FL.1.1 – Explain how personal financial decisions are influenced by incentives, institutions, and individual choice.
SS.912.FL.2.3 – Develop a spending and saving plan that includes financial goals.
SS.912.FL.3.2 – Explain how individuals incur costs and realize benefits when consuming, saving, and investing.
SS.912.E.1.2 – Describe how economic choices made by individuals and government impact standard of living.

📝 Class Work Directions

Part 1 – Research Phase (20 minutes)

Students research:

Average monthly income in Broward County.
Average amount of taxes taken (federal, Social Security, Medicare, local).
Average rent/mortgage, car payment, food costs, and recreation expenses.

Students record findings in their notes and calculate how much of their paycheck is gone before they can even spend it.

Part 2 – Budget Building (30 minutes)

Using the chart below, students create two versions of their monthly budget:

Government Paid First – Subtract taxes before anything else.
Pay Yourself First – Set aside Freedom (savings & investments) before paying other expenses.

Category	Dollar Amount ($)	% of Income
Income	$4,000	100%
Government (Taxes)	$800	20%
Freedom (Savings)	$500	12.5%
Housing	$1,800	45%
Food	$600	15%
Transportation	$600	15%
Education	$200	5%
Recreation	$300	7.5%

Students fill in their researched numbers. The table above is for demonstration.

Part 3 – Class Discussion (15 minutes)

Students compare:

How much of their income is taken by the government before they even eat.
How their life changes if they choose to “pay themselves first.”
Which categories consumed the most money.

Wrap-Up (10 minutes)

Reflection Prompt:

“What surprised you most about how much the government takes from your paycheck before you even get it?”
“How could saving and investing help you buy back your freedom?”