Ask a high school senior about the fundamentals of banking, or managing money. Beyond the dollars stuffed in a draw they will come up empty. According to research by the Associated Press, more than 1 in 6 US students did not meet basic baselines for financial literacy.
There are a generation of foster home kids that go back into society every year, without the knowledge of how to manage money. Fortunately for the middle class, there is some parental safety net, but us parents won’t stick around for ever.
I think, as educators we do a better job of teaching our students the subject matter than teaching them life skills. Even those who graduate from college are clueless about mortgage, loans, and insurance issues.
Encourage the youngsters in your life to take modules or MOOC courses on financial literacy. They are free, the payoffs are immense, and can prevent disaster down the road. Tough to manage your life, when you can’t manage your money.
About Hemant Rustogi