According to stats from the National Council on Economic Education, only 7 states need high school trainees to take a personal financing course while 8 others require courses with individual finance content.
This was from a 2004 survey that likewise revealed only 9 states test personal financing knowledge. These numbers are beginning to change as the state of Missouri signs up with the fray and will require one-half system of credit in individual financing instruction for graduation in 2010.
A 2004 nationwide study by the Dive$tart Coalition for Personal Financial Literacy determined 12th graders’ knowledge of basic individual financing. Usually, trainees who took part in the study answered correctly just 52.3 percent of the questions – an “F” in most high school class.
Financial illiteracy isn’t a problem restricted to students. Half of U.S. adults got a stopping working grade for their understanding of fundamental financial principles, inning accordance with the NCEE.
However there is hope in education. The National Endowment for Financial Education has verified that as few as 10 hours of classroom guideline can improve spending and saving routines.
Because financial literacy is essential to personal success and a benefit to society, American Century provides support for financial education.
In cooperation with a premier education consultant, the investment supervisor established Tips for Children and Tips for Life, curricula for use in the classroom. To this day, these programs have been used by more than 3,000 educators in all 50 states. The complimentary programs are provided by means of the Internet to teachers and are presented to education conferences to assist users execute the programs in their schools.
American Century’s efforts to improve financial literacy extend beyond the Tips for Children and Tips for Life programs. Free educational materials and tools are available on its Website. And the info provided in American Century founder James E. Stowers’ “Yes You Can …” book series is created to share the personal experiences and ideas that helped him become effective.
Informing today’s students on basic financial principles will pay dividends in the future because they are tomorrow’s social, political and financial leaders.