It is more difficult than any time in recent history for a young adult to afford a college education, or a starter home. This makes it more important than ever for teens to learn about finances, but schools are not providing this information, and most parents aren’t either. Here’s a look at how our systems are failing to prepare teens and young adults for the increasingly difficult reality of financial adulting – and what we can do about it.
If these statistics seem depressing, take heart in knowing that teenagers respond very well to financial education. Even with as few as 10 hours devoted to the topic, young people significantly increased their understanding of money management, and improved their financial behavior in the ensuing months.7
Improvement in credit scores 3 years after implementation of state mandated finance education.
Students with high financial literacy scores reported being twice as likely to complete higher education than their low-performing peers.8
Many parents think family finances are something kids should not be exposed to. From grocery shopping budgets to paying bills, there is no better place to learn about money than in the home.