Needs vs. Wants- Day 2

Every day, people spend money on many things. But not everything we spend money on is the same. Some things we buy are needs, and some are wants.

Needs are things we must have to live, like food, water, clothes, and shelter. If we don’t have our needs, life becomes very difficult.

Wants are things that make life fun and enjoyable, but they aren’t necessary for survival. Video games, new shoes, candy, and movie tickets are examples of wants.

Sometimes it can be tricky to decide if something is a need or a want. For example, sneakers might be a need if they’re for school and your old ones don’t fit. But sneakers could also be a want if you already have shoes and just want a new, stylish pair.

Learning how to tell the difference between needs and wants helps us spend money wisely. If we always buy our wants first, we may not have enough left for our needs.

Key Terms

• Needs – things required to live (food, water, shelter, clothing).
• Wants – things that make life fun but aren’t necessary.
• Priorities – deciding what’s most important.

Which one is a need? Which one is a want? Could it ever be both?

Needs vs. Wants Sorting Game

• Print or project picture cards (food, toys, water, phones, pets, etc.).
• Students sort into 2 categories: Needs or Wants.
• Add gray area debate: cell phone (need for safety? want for fun?), pet, bike.
• Discuss how priorities may change for different families.

Question: Ask: “If you only had $10, what would you buy first—something you need, or something you want? Why?”

Multiple Choice
Dollars and Decisions – Day 2: Needs vs. Wants

Part A – Vocabulary

1. Things we must have to live are called:
   a) Wants
   b) Needs ✅
   c) Savings
   d) Priorities
2. Things that make life fun, but we don’t need to survive, are called:
   a) Needs
   b) Choices
   c) Wants ✅
   d) Goals
3. Deciding what is most important is called:
   a) Shopping
   b) Priorities ✅
   c) Saving
   d) Borrowing

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Part B – Understanding

4. Which of these is a need?
   a) Ice cream
   b) Sneakers for school ✅
   c) Video games
   d) A toy car
5. Which of these is a want?
   a) Shelter
   b) Water
   c) Candy ✅
   d) Clothes

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Part C – Short Answer

6. Can something be both a need and a want? Give an example and explain.
   (Example: Sneakers could be a need if mine are too small, but a want if I just want a new color.)

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Answer Key

1. b) Needs
2. c) Wants
3. b) Priorities
4. b) Sneakers for school
5. c) Candy
6. Answers vary

Dollars and Decisions- Day 3