Title Idea: “It’s Official: 4 States Fail to Provide Essential Financial Education”
Financial Education: The Latest Report Card
Financial education in high schools across the United States has been steadily gaining attention in recent months. Recently, the Center for Financial Literacy at Champlain College in Burlington, Vermont, released its “report card”, showing seven states—Alabama, Iowa, Mississippi, Missouri, Tennessee, Utah, and Virginia at the top of the list with an “A” grade. These states have mandated that high school graduates in the class of 2023 must have taken a personal finance course before graduating. In just five short years, by 2028, twenty-three states are projected to earn an “A” as well, according to the research.
When Money Matters Most: The Benefits of Financial Education
It’s no secret that money matters. Once you have graduated from high school, not a day will go by that you don’t think about money in one way or another. How much to make, how to spend, and how to save—it all starts to matter after graduation. In the short five year timeline, more than four out of every ten high school students in the United States will be enrolled in a high school which requires a personal finance course before they can graduate.
Studies have shown time and time again that having a financial literacy education can make a significant difference in young adult lives. Credit scores increase, loan delinquency rates decrease, as well as the number of people utilizing payday lending. Even the decisions made about college loans become more calculated and informed. Financial education ultimately helps citizens of all ages and incomes become better prepared to manage their finances and make sound decisions for their future.
The Eyes Have It: 4 States Fall Behind
California, Connecticut, Massachusetts, South Dakota, and Washington D.C. received failing grades of “F” from the Center for Financial Literacy’s study due to virtually no state requirements for a personal finance course. Despite this dismal outlook, there is a great sense of hope on the horizon for these states. Financial literacy advocacy organizations are coming together to collect signatures, lobby for change, and hope to pass laws which will require students at all levels to receive a financial education foundation.
Wisconsin: A Step in the Right Direction
Just yesterday, Governor Tony Evers of Wisconsin made incredible progress in the effort to ensure students receive the financial foundation they need by signing a bill into law. According to the bill, high schoolers must take a personal finance literacy course in order to graduate, effective with the class of 2028. Governor Evers firmly believes that giving students the tools and skills to make smart financial decisions is an essential part of creating a successful future.
The Future of Financial Education: Promising Possibilities
The momentum for financial literacy education in schools is only escalating. The sweeping success of seven states earning an “A” grade from the Center for Financial Literacy, along with Wisconsin’s potential to join the ranks, proves there is cause for hope and progress. In the coming years, more students will undoubtedly gain the financial skills necessary to become stable and successful adults.
Title Idea: Seven States Lead the Way in Financial Education: What Does It Mean For Your Child?