2006 Annual Report

AnnuAl RepoRt

FinAnciAl liteRAcy FoR liFe

2006

Financial literacy For liFeFirst Command Educational Foundation (FCEF) is a 501(c)(3) non-profit public charity established in 1983. FCEF’s mission is to promote education as the foundation to a productive society through scholarships and financial literacy programs dedicated to financial wellness and independence. The educational programming emphasizes personal financial literacy and fiscal responsibility and is delivered in two formats: presentations and seminars. Presentations are one hour in length and cover personal financial principles (i.e., personal financial management, savings, investments, managing credit, and eliminating debt). The seminars are 2-5 days long and are tailored to meet the educational requirements of the requesting organization. FCEF uses staff members and a team of certified, volunteer speakers in locations across the nation to present a wide variety of financial topics in venues from classrooms to corporations.

The second aspect of FCEF’s commitment to education is through its scholarship program. Each year through partnerships with corporations and community organizations, FCEF awards over a hundred thousand dollars to students pursuing degrees in both undergraduate and graduate programs around the nation. Over the last 23 years, FCEF has awarded over $3.4 million in scholarships, conducted over 410 presentations to 40,000 plus individuals, and conducted 22 seminars to 334 attendees. FCEF owes a debt of gratitude to its generous supporters; they ensure FCEF programs, services, and materials can be provided at no cost to you.

The Foundation believes higher education significantly improves the quality of life of those obtaining an education. FCEF is committed to supporting those who pursue education. Enabling individuals to improve their short-term and long-term financial security and success will ultimately help ensure their financial wellness and independence. Financial Literacy for Life is not just FCEF’s tagline; it is a Way of Life.

Tell FCEF your needs and interests and we will provide a presentation or seminar tailored to your group’s need. FCEF offers its presentations anywhere in the world, to any interested party such as community organizations, military units, church groups, school assemblies, and corporate audiences. Contact FCEF for more information on how we can help you increase financial literacy in your organization or local community.

Letter from the Chairman ...............................2

Letter from the Executive Director .................3

In Memoriam ..................................................4

Members of the FCEF Team ...........................5

Operational Highlights for 2006 .....................6

Donors ............................................................8

Scholarship Recipients .................................10

ROTC Scholarship Recipients ......................11

Personal Financial Literacy for Texas High Schools .................................13

Management Courses ..................................14

Financial Summary .......................................16

2006 �

20062

letter From the chairman2006 was a banner year for First Command Educational Foundation with so many positive accomplishments: Changing our status from private foundation to public charity, being named to the Combined Federal Campaign, and the approval of our high school text by the Texas Board of Education. Our achievements are many; they could not have been accomplished without those individuals and corporations who have given us their very generous support throughout the year.

A dedicated and talented staff, led by Executive Director Vickie Mauldin, who took office in January 2006, has put in a remarkable performance. Our Speakers Bureau, some 40 volunteers from across the United States, delivered more than 70 presentations, four five-day seminars, and reached over 3,000 individuals. We are especially proud that “Personal Financial Literacy for Texas High Schools” is already being utilized in classrooms across the state. Close to 1,000 copies were distributed immediately after publication to classrooms throughout the state.

We are also very proud of the young scholars who received awards through the First Command Educational Foundation scholarship program. We assisted in educating students who will make the military their career, as well as young people studying the sciences, arts, and business disciplines. Serving as Chairman of the Board of Directors of the First Command Educational Foundation is an honor and a pleasure. The entire Board has worked very hard to expand the mission and the vision of the Foundation, and we expect many more triumphs in the future. We expect the size of our Board to grow, and the commitment to be unflagging.

Once again, we thank our great hearted donors, our loyal volunteers, my fellow Board of Directors members, and all those who expressed support of the First Command Educational Foundation and helped it grow.

Harry E. BartelChairman of the BoardFirst Command Educational Foundation

Mr. Bartel heads the Taxation, Trust and Estates, and Small Business Organizations section of Texas’ Cantey Hanger. He is a graduate of Dartmouth College with law degrees from Southern Methodist University. His practice includes estate and employee benefit planning and ERISA-related matters, personal and business planning for professionals, charitable organization formation and tax exempt status issues, business entity formation, organization and re-organization. Mr. Bartel is a patron of the arts in Fort Worth and especially enjoys classical music. A native of New Jersey, he has been licensed to practice law in Texas since 1967.

2006 �

letter From the executive director Wow!! 2006 was a superb year for First Command Educational Foundation (FCEF) with growth, opportunities, and new horizons as hallmarks during the entire year.

Serving this year as the Executive Director for FCEF was a humbling and rewarding experience. Being asked to take the leadership role in FCEF was a dream come true. I strongly believe in the power of education and the need for financial literacy, so accepting this position was a natural transition to a platform designed to help others achieve their maximum financial wellness. I only have to reflect on my personal struggles to overcome high debt and overdependence on credit cards to understand the criticality of applying sound financial literacy concepts at an early age. Now I have the opportunity to lead a Foundation aimed at doing just that...life is indeed grand!

All aspects of FCEF’s mission grew in 2006. Our educational presentations increased. We added new topics, expanded the audiences and organizations with whom we partner, and increased the number of volunteers in our Speakers Bureau to over 40 volunteers. The volunteer speakers come from a variety of financial backgrounds; they are located across 20 states and represent over 600 years of public speaking experience. These volunteer speakers share FCEF’s passion for financial education and are key to our ability to offer so many free services to individuals around the nation. Thank you Volunteers!

Scholarship distribution exceeded $3.4 million this year, and many new partnerships have been developed to create awareness of our scholarship program, providing more opportunities for assisting with both undergraduate and graduate studies at schools, colleges, and universities across the United States. The Board of Directors approved new scholarships that take effect in 2007, with an exciting opportunity to increase the value of individual scholarships. Stay tuned to FCEF’s website for details.

A major milestone for the Educational Foundation was the publication of “Personal Financial Literacy for Texas High Schools.” In 2005, the Texas Legislature mandated financial education for juniors and seniors in public and charter schools prior to high school graduation. House Bill 492 mandated 12 financial literacy topics, and our curriculum delivers all 12. FCEF also offers our certified speakers, without cost to the school district, to personally deliver the curriculum throughout the state of Texas. In the near future we will be working toward adapting our curriculum to meet the guidelines set by other states that have mandated financial education in 2007 and beyond.

2006 has been a phenomenal year for FCEF and those we serve. We wish to once again express our appreciation to our donors, volunteers, and community partners for helping us grow the Foundation toward higher and higher levels of support. We are already looking toward 2007 and beyond. FCEF plans to educate more and more people about wise money management and to support more scholars with larger awards. With your continued championship, new horizons await. Thanks to each of you!!.

Vickie C. MauldinExecutive Director

2006�

in memoriam

Laurence “Larry” PeateCOLONEL, USA (RETIRED)February, 1936 – January, 2006

First Command Educational Foundation noted with sorrow the passing of Laurence R. Peate. A retired Colonel in the United States Army, Larry Peate gave 15 years of service to First Command Financial Planning and four more years as a volunteer for First Command Educational Foundation as a member of its Speakers Bureau. Survived by his wife, Marietta, and two children, Yvonne and Christine, Larry Peate resided in Fort Worth, Texas.

A graduate of Colorado State University with degrees in Science and Economics, Larry served his country for more than 28 years, and during his last assignment he worked with the TRADOC System for COPPERHEAD and with the Multiple Launch Rocket System. Peate attended the Army Command and General Staff College, as well as the Army War College. He was also a graduate of the Field Artillery Advanced Course. He retired from military service a Battalion Commander. He remained in touch with the service through the Active Retired Officers Association.

Larry Peate pursued his Master’s Degree in Management at the University of Nebraska. He served First Command Financial Planning as a Representative and later as a Registered Principal. He dedicated many hours to the Foundation, enhancing the financial literacy of his community and the military. He was active in Rotary, a member of Sigma Phi Epsilon Fraternity and Beta Kappa Business Fraternity.

Former Foundation President Don Frizzell stated that “Larry was a very prolific speaker. We could always count on his enthusiasm and his availability. He will be deeply missed.”

2006 �

members oF the FceF team

Miyako Schanely, Black River, NYMike Evanish, Pittsburgh, PA John Schneider, Montgomery, ALLarry French, Elizabethtown, KY Martin Schoonover, Corpus Christi, TXBob Gabrielli, Springfield, VA Ellie Setser, Charleston, SC“Skipper” Gray, Fort Worth, TX Bob Sibley, Winter Springs, FLHal Howell, Arlington, TX Bob Stevenson, Portsmouth, RIJim Karr, St George, KS Larry Stumpf, Riverside, CAPhil Loignon, Carefree, AZ Fred Watke, Atlanta, GAAngie Lunn, Huntsville, AL Roger Withee, Goodyear, AZBill Zipperer, St Augustine, FL

Board of Directors

Harry E. Bartel Chairman

Jeffrey J. Davis Martha “Cisy” Gray Donaldson D. Frizzell Robert Slaughter Doris M. Terrell

Doug Anders, Mount Vernon, MO “Moose” Marcinkowski, Westford, MAArlen Biehle, Austin, TX Alvin Morgan, Allenhurst, GACharlie Canedy, San Antonio, TX Steve Morrow, Colorado Springs, COPaul Carmichael, Summerland Key, FL Mike Pelly, Rapid City, SDRuben Cortez, Vista, CA Gail Peters, Roque Bluffs, MEDon Cunningham, Land-O-Lakes, FL Wayne Peters, Roque Bluffs, METyanna Dansberry, Layton, UT Conrad Plyler, Port Orchard, WACharles Doerler, Lawton, OK Eric Robyn, Savannah, GAPaul Dunn, Glendale, AZ

Management/Board Officers

Vickie C. Mauldin Pam Elliott Mike Morrison Executive Director & President Secretary Treasurer

Additional Staff

Pam Elliott Karen Bertapelle Scholarship Coordinator Curriculum & Program Specialist Office Manager Johnna Hicks Christina Judge Presentation Specialist Development Director

Speakers Bureau

20066

operational highlights For 2006

Texas State Board of Education approved FCEF’s Personal Financial Literacy for Texas High Schools manual.

Texas Education Agency approved the Foundation as a Continuing Professional Education Provider for the state of Texas.

FCEF changed from a 501(c)(3) private foundation to a 501(c)(3) non-profit public charity.

FCEF expanded its scholarship program to include graduate degrees.

Jeff Davis, Doris Terrell, and Robert Slaughter joined the Foundation Board of Directors.

Former Master Chief Petty Officer of the Coast Guard Vince Patton agreed to join the FCEF Board of Directors in 2007.

FCEF was accepted into the Combined Federal Campaign (CFC) with newly assigned code number, 11479.

FCEF created 21 new financial education presentations, complete with PowerPoint animation, scripts, and notes.

FCEF combined Course I – Basic Financial Management with Course II – Advanced Financial Management to create the Financial Counseling and Management Course, incorporating an extensive evaluation component.

FCEF created a new logo to express its people oriented, caring goal of lifelong financial literacy and personal growth for individuals and their families.

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2006 �

a message From the development oFFice: I would like to take this opportunity to thank all of our friends for seeing the First Command Educational Foundation through a very exciting year. The Foundation Executive Director and Board of Directors’ visionary decision to expand the Foundation’s mission to provide financial literacy education to individuals from high school age and up was in response to alarming national trends: the increase of personal bankruptcies, the decline of household savings, and skyrocketing college tuition costs.

This expanded mission created a need for an organized development program, to seek contributed funding for the Foundation’s many programs.

I am pleased to announce that in November 2006, the Board voted unanimously to initiate a planned giving program. A planned gift enables a person to combine personal tax, financial, and estate benefits, as well as realize important charitable goals. It can be created during the donor’s lifetime or after his or her death. Examples of planned gift strategies are bequests through wills, charitable trusts, charitable gift annuities, remainder interests in residences or farms, life insurance, and donor advised funds. Planned gifts can be designated for the Foundation’s endowment or other vital programs. The services that the Foundation provides would not be possible without our donors, who continue to demonstrate their dedication to the need for financial literacy and higher education opportunities for students. The Foundation’s vision is to grow its scholarship endowment to at least $2.5 million dollars by 2010 for student assistance, and to increase financial literacy programs by partnering with schools and other organizations in our communities, giving as many individuals as possible the knowledge and skills they need to become financially successful. Thank you once again for your commitment to our mission!

In gratitude,

Christina Judge

2006�

donorstop gun $250,000 and up First Command Financial Planning

gold $75,000-$99,999 First Command Bank

bronze $25,000-$49,999 No donors at this level

Five star $10,000 - $24,999 Lamar Smith AIM Investments Hometown Threads

Four star $5,000 - $9,999 Samuel B. Adams Richard E. Giles Ronald D. Huff James A. Petersen Kathryn L. Skillington Barry D. Todd

three star $2,500-$4,999 No donors at this level

tWo star $1,500 - $2,499 Barry B. Bridger Claudia Canestra Mark J. Cincotta Ronald R. Dorenbush Jeffrey L. Gibson Karen J. Hollis Raleigh C. Kone Vickie C. Mauldin Mark F. Nielsen Frederic W. Offutt Michael D. O’Hanlon Frederick D. Orr Shad C. Reynolds Jay W. Vance

one star $1,000 - $1,499 Richard R. Amelon Richard E. Batten Kirk H. BaurKelley E. Bennett Bradley A. Berger David C. BonneyLonnie D. Bowman Daniel M. Brannon Joachim W. Exner Karen M. Foley Brian W. Johnston Robin L. JonesVictor P. Jones Margaret A. Kapuschansky James A. LeachLouis J. Leyes Dallas T. Lower Donald G. MarcumHenry A. Mart Charles D. McGee Richard I. McManusCharles E. Patisaul Andrew R. Pike Gregory Pomes Harvey L. Pullen Stephen M. Ray Steven W. RossWilliam A. Saunders Hugh Simpson Theodore A. SmithMichael E. Thomas Michael J. Wheeler Esau WilliamsonBrad A. Wilson James G. Wolf Richard T. Young

supporter $500 - $999Air Force Association- Chapter 272 Kurt B. Anderson Robert E. Ashton William L. Bartels John R. BennettDavid H. Brooks Kelly N. Buchfink Gretchen Butler Thomas D. Cheritt Walter F. CoulterMelissa R. Cox Mark Diunizio John L. Draper

Martin R. Durbin Monte FergusonCarlos Garza Martha E. Gray Anthony G. Harvey Kevin D. Hollis Shawn J. HurtRobert E. Jeffus Susan J. Jennaway James M. Kirk Robert M. KnoxDuane M. LafontPhilip E. LeopoldDenny T. Mauldin

Joseph R. McLaughlinMicrosoft Matching GiftsKirk B. OlliffAlan E. OrrVince W. PattonMartin L. RobbinsT H. RushJohn D. SheehanRobert SlaughterAnthony R. SmithRobert W. SmithPaul R. SoderlundWilliam W. SteinkeWilliam J. Stropp

Ronald F. StuartRonald P. TestaMichael J. TheresMark R. TimkoTeresa N. TylerJon C. VingeHomer W. WorrellMatthew W. WineriterChristopher J. Young

platinum $100,000-$249,999 No donors at this level

silver $50,000-$74,999 No donors at this level

2006 �

Friends oF the Foundationbooster $250 - $499

Friend $120 - $249

other

James S. Agostini Bank of America Matching FundsJohn W. BartonJoseph K. BeatyGeorge P. BenishDalise A. BlantonRobert E. BowmanJesse L. BoykinHoward M. BrinkmanJames M. BurroughsTodd A. BlackwellJoseph R. CieslewiczRussell H. ClarkeTimothy J. CusterWilliam E. CookMark J. DierlamGordon R. Edgin

Henry C. EvansKenneth M. FeiereisenDennis L. FesserRichard A. FlemingTheodore W. FluckAnthony R. FrissoreSteven W. GayJeffrey S. GeraciDennis W. GlynnTerrance D. GreenMatthew A. GriffithScott A. HallockRaymond L. HerzogSusan M. HickeyKristin K. JamesDarren W. KreitzRobert L. Landzettel

Kurt L. LangenwalterJeffrey A. LutherMichael MandarinoCharles D. MeeksWilliam A. MotleyLuis A. MunizWilliam O. NicholsElizabeth R. Nichols-KelloffMark H. O’ConnorWilliam E. OliverMichael K. ParkerRichard F. ParringtonWilliam J. PerrySean P. PettitDoyel PriceRickard E. ReinDennis W. Rowe

Gerald O. SaariMatthew G. SebenolerDaniel F. SeemannStephen E. SimmonsDavid F. SloanJohn C. SniderMerle D. SpauldingDavid M. SurgentKimberly D. SwansonTodd TaylorRobert G. ThomsonRichard W. WallMichael D. WatsonFrank WilsonJames G. Vanderneck

John E. AndersonJerre L. BakerDavid E. BarberHarry E. BartelLeAnn R. BaughAlan M. BateyCurtis A. BaylorRaymond K. BennettSteven R. BioneGary G. BishopLarry R. BladesLindsay C. BlantonHeather BrockRoger I. BrueckbauerPeter C. CarloPaul D. CarmichaelCarlos G. CasausJoseph M. CaseyAzure K. Celestine-BrownCharles E. CinnamonHarry S. CollinsJeffery V. CorbinMichael F. CorcoranMichael R. CordreyCarl E. CorneliusWilliam A. Crow

William W. CulticeJeffrey J. DavisLauri M. DavisChristopher W. DentingerCharles DoerlerEdward C. FarissScott C. FennMark O. FlahertyMichael D. GilbertJohn R. GrigsbyNatalie C. HallRonald E. HaglerBeth A. HansenJames P. HarkeyDevon L. HaywoodScott A. HeevnerLarry P. HendersonRalph L. HillSamantha A. HilliardRobert W. HookerTimothy G. JenningsChristina L. JudgeLori Ann G. KaneIvan KanterRobert S. KeatonRobert H. Kerr

Harold L. LangleyDaniel R. LippoldBavy U. LopezStaci A. MapesScott G. MatlockMichael C. McConnellBenjamin D. MeyerGregory R. MeyerHarold E. McClellandPat MillerJerry T. MohrHenry G. MoremanMichael MorrisonRufus M. MorrisonGordon F. OldeGreg OrrFrank A. PainterJill S. PietrusinskiRobert G. PontonJames M. ProvoJean F. RainesTimothy R. RandleJohn L. ReedDanny F. RichCarl B. RichardsonSidney E. Riley

William M. RobesonManuel RodriguezRonald F. ScarboroughSteven C. SchanelyJohn L. SciancaleporeGavin D. ScottJeanne R. ScottFred T. ShirleyRichardo A. SolomonBenjamin F. StahlMary R. StalnakerGerald I. StanleyGary F. SvatekClay H. SwindellChad L. Tennant Doris TerrellStephen D. ThaelerZachary T. ThompsonDebra A. ThrushThomas H. TrantGraydon S. UyedaSteven M. VauseDavid A. VissotzkyMichael A. WalkerClifford B. Weddington

Ryan AmersonReuben S. ArgelJames M. BadeMatthew J. BakerEric BarnesMary T. BissellKevin BornhoftRuth M. BoschmaScott BrobergMike BuntingJohn D. CookRebecca H. CooperFrank E. CootsMark CordaVincent A. CroomAnn-Marie CudziloJerry L. CrissmanEd DaffronWinfield S. DavisJames A. DentingerSusan R. DixonRandy DorfCarole Dragosljvich

Robert G. EdmondsonPam ElliottBruce EllweinMichael J. GazzerroEdson S. GilmoreAmy J. GrahamTom GriffithJessica HaneyDavid HansenFrank C. HartMichael E. HarvinTracy HeichelbechErnest H. JonesRobert JorgensenTimothy JosephWilliam W. KaneDonn P. KegelScott KellerRobert KilmerJason T. LavariasCindy H. LinMichelle E. LuceroLarry R. Markowski

Tina MartinBob McAdamsDouglas L. McCaffertyKristy J. McCormickChainsaw McCulloughKen MyersDeborah I. LawrenceChristopher J. LeePaul G. LindsayRonald E. LuxDale B. MarshallWilliam M. MoriartyJoseph J. MulcahyStanley L. ObreyPaul M. OldeR K. OliverKathleen PalmerRobert C. PattonAndrew D. PeronaStuart PiphoMarcia K. PistnerNathan A. PistnerDavid Pitzer

John M. PoutierJocinta N. PowellThomas H. PresecanRobert J. RauschCurt RossCraig RubinMilton A. SalterEric K. SchusterJackie SmallsGlen C. SpeakmanGeorge E. StratmannBrian A. SundermeyerRichard R. SteelyBenjamin L. StrangeDavid E. StuderTAFB Top ThreeProbyn ThompsonMichael TurleyChristopher T. UrnessAlan J. WeaverTerry B. WilliamsonBrian K. YoungHarold J. Roesch

2006�0

Joshua Altenbernd APO, AE University of Central FloridaRoxanne Ambion Biloxi, MS University of South AlabamaKristen Ashcom Enterprise, AL Enterprise-Ozark Community CollegeJon Michael Barrientes El Paso, TX El Paso Community CollegeAmanda Barton San Antonio, TX Duke UniversityLinda Bowe FPO , AE Virginia TechSarah Burwell Virginia Beach, VA University of RichmondMatthew Carraway Universal City, TX San Antonio CollegeSamantha Carrick Howell, NJ The College of New JerseyJames Collins Fayetteville, NC PendingLauren Compton Kailua, HI Santa Clara UniversityNatalie Cutcher Annapolis, MD Muhlenberg CollegeNineveh Dawson Navarre, FL University of FloridaKenneth DesJardins Mechanicsburg, PA University of Pennsylvania @ HarrisburgLindsey Dowdy Kaysville, UT Harding UniversityCaroline Duff Tucson, AZ University of ArizonaNaomi Farace Titusville, FL University of South FloridaShavonne Farnsworth Las Vegas, NV Brigham Young University-IdahoJoseph Fox Easton, KS University of KansasGrace Frankenhauser Parkville, MD Villa Julie CollegeLauren Gossett Fredericksburg, VA Samford UniversityDonminique Gramby Goldsboro, NC East Carolina UniversityDouglas Groat Washington, DC Northwestern UniversityAmy Gydesen Colorado Springs, CO University of Wisconsin - LaCrosseHeather Haas Virginia Beach, VA Radford UniversityAmi Hammiel Minot AFB, ND Baylor UniversityKristina Hancock New Cumberland, PA Bloomsburg University of PAToni Haraldsen Ft. Campbell, KY Indiana University - BloomingtonMicaela Harvey Pittsburg, CA San Jose State UniversityAshley Henry Middletown, MD University of Maryland College ParkMatthew Herring Colorado Springs, CO University of Colorado, Colorado SpringsSarah Hertig Fairfax, VA University of VirginiaMary House Midland, GA University of GeorgiaCherie Johnston Ft. Wainwright, AK Emory UniversityBrandon Koopman Mountain Home, ID University of WashingtonRobin Lang Virginia Beach, VA University of VirginiaDavid Lange Elizabeth City, NC University of North Carolina @ Chapel HillSarah Levering Chesapeake, VA Wingate UniversitySanita Ley Fort Rucker, AL Brigham Young UniversityIsaac Lozada San Angelo, TX MITAlyssa Mangabay Dixon, CA University of California - DavisPatrick Martin-Tuite Wakefield, RI Brown UniversitySarah Masterson Grady, AL University of AlabamaAlicia McCullough Odenton, MD Cedarville UniversityThomas Meyer San Antonio, TX YaleEvan Mines Dyess AFB, TX University of South FloridaLindsey Mitchell Cummings, GA Elon UniversityLaura Molina Springfiled, VA Bridgewater CollegeChantal Mortezaee Del Rio, TX Embry-Riddle Aeronautical UniversityCassandra Nicolas Twentynine Palms, CA Axia College of University of PhoenixSiobhan O’Reilly Madison, AL Auburn University

scholarship recipients

Student City&State univerSityattended

2006 ��

Matthew Parker Leavenworth, KS Worcester Polytechnic InstituteSean Quinn Fort Bragg, NC Duke UniversityMichelle Ramos APO, AE Point Loma Nazarene UniversityJade Reed-Kreis Mobile, AL University of Southern MississippiNathanial Richter Virginia Beach, VA Virginia Commonwealth UniversityCarmen Robinson Virginia Beach, VA Liberty UniversityJoshua Rothhaupt Camden, DE University of DelawareKathrina Sarmiento Millington, TN University of Southern CaliforniaLuke Seaman Panama City, FL University of FloridaJustin Shattuck Chugiak, AK Brigham Young UniversityAlexa-Jade Simeron Willingboro, NJ The College of New JerseySterling Slocum Parker, CO PendingJoel Smith Fayetteville, NC North Carolina State UniversityJoseph Steiner Carthage, NY Buffalo State UniversityErin Stockhausen Carlisle, PA Marshall UniversityLaura Strawser-Booth Shalimar, FL Florida State UniversityEdward Tarala Albuquerque, NM Embry-Riddle Aeronautical UniversityJames Thompson Fort Walton Beach, FL University of South FloridaJoshua Trotter Cheyenne, WY Laramie County Community CollegeDanielle Valles Great Falls, MT Williamette UniversityTyleia Wallace Fort Belvoir, VA Johnson C. Smith UniversityNatasha Washington DeRidder, LA University of Louisiana at MonroeDontae White El Paso TX The University of Texas @ El PasoLaShanda Williams Centreville, VA Virginia Commonwealth UniversityErin Willis Fort Stewart, GA Kennesaw State UniversityZachary Wilson Savannah, GA Valdosta State UniversityBruce Wyatt Kathleen, GA University of GeorgiaBrianna Yelle Monument, CO DePaul University

AIR FORCE ROTCLindsey Brinton Hattiesburg, MS University of Southern MississippiEmily Kaiser Fort Collins, CO Colorado State UniversityJacob Piranio Norman, OK University of OklahomaAshley Shelton Yorktown, VA University of Notre DameMike Vilven Logan, UT Utah State University

ARMY ROTCRebekah Ahlborn Orein, UT Brigham Young UniversityDonovan Groh Syracuse, NY Syracuse UniversityWendy Isaacson West Des Moines, IA Grand View CollegeGina Mroszczak Omaha, NE Creighton UniversityEmma Taylor Norfolk, VA Old Dominion University

NAVY ROTCDaniel Arsenault Old Town, ME University of Maine - AronaPatrick Grainey Salem, OR University of Notre DameDirk Lungren Moscow, ID University of IdahoBrett William Mitchell Lincoln, NE University of Nebraska -LincolnMike Tozzolo Vero Beach, FL University of Florida

Student City&State univerSityattended

scholarship recipients

2006�2

a message From the scholarship coordinator:The scholarships given by First Command Educational Foundation have helped young people further their education, prepare for careers and go on to make major contributions to society. Some of our scholars choose a military career to defend our country. A number have chosen careers in research and the medical field. I am so proud that FCEF has an important role in the lives of these bright and industrious scholars. We appreciate so much the donors who help the Foundation make this possible.

Sincerely,

Pam ElliottScholarship Coordinator

a message From the presentation specialist:Financial literacy is a key component of a happy, successful life. A lifestyle that includes living within means, being prepared for the unexpected, and planning for the future can diminish stress and offer security and peace of mind for individuals, families, and communities.

I appreciate the opportunity I have to help develop and implement financial literacy education programs for First Command Educational Foundation. We strive to offer diverse programs that teach principles which everyone can use to obtain financial freedom and reach their personal goals.

Sincerely,

Johnna HicksPresentation Specialist

2006 ��

personal Financial literacy For texas high schoolsIn 2006, consumer debt in the United States hit an all time high. Personal savings dropped to negative 1% as a percent of income, the lowest since the Great Depression. Credit card debt alone exceeded $825 billion. These statistics overwhelmingly show a need for financial education nationwide. In response to this growing crisis, Texas passed House Bill 492, Personal Financial Literacy for Texas High Schools, Texas Education Code (TEC) 28.0021.

To assist with the implementation of financial literacy in Texas, the Foundation compiled course material to fully satisfy the requirements of Bill 492. The Personal Financial Literacy for Texas High Schools manual, certified by the Texas State Board of Education (SBOE), provides detailed information on the following topics:

Understanding Interest; Avoiding and Elimination Credit Card DebtRights and Responsibilities of Renting or Buying a HouseMaking the Transition from Renting a Home to Buying a HomeStarting a Small BusinessThe Stock Market and Investment OptionsSaving for RetirementBankruptcyTypes of Bank AccountsBalancing a CheckbookTypes of LoansUnderstanding InsuranceGiving to Charities

This manual was created with the educator in mind and holds a wealth of information to enhance confidence and knowledge on each topic. To assist with presenting this material to the students, we have developed corresponding PowerPoint presentations, discussion guides, case studies, and a skill checks for each topic. The PowerPoint presentations can be delivered by a member of our Speakers Bureau in whatever segments you need to your class or as an assembly.

The Foundation has received approval from the Texas SBOE to conduct a one-day seminar for teachers on our financial literacy material, with continuing education credit for attendees. We are also in the process of creating an on-line course for both educators and students.

To ensure this valuable information is available to everyone, we provide all our materials at no cost to the recipient. In 2006, the Foundation provided over 620 copies of our materials.

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2006��

Financial counseling and management courseIn 2006, the Foundation made several significant and important improvements to the course material. The most significant change was the combining of Course I (Basic Financial Management) with Course II (Advanced Financial Management) to create the Financial Counseling and Management Course.

The Financial Counseling and Management Course is an intense 5 day course designed to enhance the knowledge and confidence of the financial educator as well as provide the tools and resources needed to improve counseling skills. This course covers over 20 different topics such as cash management, understanding credit, investing, saving for retirement, asset allocation, insurance, debt management and college savings options.

Four courses were conducted in 2006. As we reviewed the attendees’ evaluations of the courses, we made various revisions to improve the quality of educational material presented. As part of our changes, we advanced the level of educational materials to suit the level of our course attendees.

Pre- and post-tests were added to measure the effectiveness of the course material. Following is a complete list of the course enhancements for 2006:

Created Identity Theft, Prevention & Response briefing and presented it for the first time as a separate entity during the courseAdded Check-21 information to Checking moduleAdded information on Bankruptcy and new laws to the Debt Management module and presentationAdded new section on Estate Taxes, exclusion limits and tax ratesProvided new information on function, types, and cost of trustsAdded resources and expanded information on death gratuity, death pension and educational assistance - Created a “Military Benefits Resource Guide”Combined the Counseling Skills Guide module with the Establishing a Professional Office moduleCombined the Insurance module with the Life Insurance module - Updated TRICARE information - Extended health care, auto insurance and liability insurance information - Added long-term care insurance information - Updated SGLI information - Created new “Life Insurance Quick Reference Guide” and “Riders and Benefits Guide”

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2006 ��

Financial counseling cont’d...Combined the Investing, Stocks, and Bonds modules creating the Stock Market & Investing module - Extended terms section - Added information on price valuation ratios and Exchange Trade Funds - Expanded section on types of corporate, municipal and government bonds to include detailed definitions and information on over 15 different bondsCreated Federal Income Tax Withholding Calculator with 2006 tax informationCreated new graphs and charts for the Military Retirement Options moduleCreated new Spending Plan document; document available for the first time on Foundation website Expanded consumer credit rights & identity theft information in the Credit Score & Credit Report moduleIn Home Buying module, completed section details on: selecting a location, home inspection, costs of ownership, available financing, closing procedures/documents/costsRemoved all generic objectives and conclusions and replaced them with 23 objectives and conclusions specific to each discussion topicReorganized SBP and Social Security modules to a more comprehensive format - Created new “Social Security Benefits Reference Guide”Revised PowerPoint slides to more closely correspond to the content and sequence of the course modulesRevised the backgrounds, graphics and animation of the PowerPoint slides to create a more professional look and smoother deliveryUpdated existing graphs to be more visually appealing as well as reflect the most current data availableUpdated Military Pay module by adding updated list of entitlements and current 2006 Leave and Earning Statements - Added information about the myPay website including important navigation screens & phone numbers

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St. Louis MOMarch ��-��, 2006Avg. Pre- Test Score 29Avg. Post-Test Score 38Overall Score Improvement = 30%Materials Rating = 44Overall Course Rating = 4

St. Petersburg, FL April 2�-2�, 2006Avg. Pre-Test Score 29Avg. Post-Test Score 40Overall Score Improvement = 37%Materials Rating = 4.2Overall Course Rating = 4.39

Kodiak, AK – Sept. ��-22, 2006Avg. Pre-Test Score 33Avg. Post-Test Score 39Overall Score Improvement = 21%Materials Rating = 4.2Overall Course Rating = 4.67

Key West, FL Dec. ��-��, 2006Avg. Pre-Test Score 29Avg. Post-Test Score 37Overall Score Improvement = 25%Materials Rating = 4.2Overall Course Rating = 4.54

2006�6

2006 ��

The accompanying notes are an integral part of these financial statements

2006��

The accompanying notes are an integral part of these financial statements

2006 ��

The accompanying notes are an integral part of these financial statements

200620

continued

2006 2�

continued

200622

continued

2006 2�

continued

20062�

concluded

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