Yes, if you teach the mechanics in parallel with other courses, the theory and philosophy can be reinforced in practice at home. I volunteered with Junior Achievement and taught a couple of courses that included personal finance content to an elementary school class and it was both rewarding for me and for them. I was actually amazed at how much they already knew about checking accounts, overdraft charges, balancing your checkbook, budgets and saving. It gave me hope. I encourage everyone to volunteer, even if you have to create your own original content or organize your own classes.
Yes and no. Yes, the basics of FINANCE should be taught in high school - as this can be taught out of a text book quite easily. But unfortunately, our nation's high school teachers are not adequately equipped to teach "personal finance".
The real problem though is that knowledge won't change anything. Just because our kids know what a credit card is doesn't mean that they won't abuse it.
I am a firm believer that personal finance should be taught at a young age. Especially considering the endless spending and soaring consumer debt which has led to our current recession, it appears that we have failed generations of Americans from learning the proper way to use their money. The sooner and longer that personal finance is addressed, the better future generations will be at handling financial hurdles. Of course, this should not take the burden off parents who have a responsibility to talk frankly with their children about money.
I appreciate the experiment that Dave and his family went through. You would have to make sure you are stocked up with food and hygeine supplies before starting this experiment. However, I'm sure his family realized that they could do without a lot of unnecessary spending when the month was over. And THAT is really the whole point.
Absolutely! I know many people in their 20's who have been ripped off by car dealerships because they don't know a thing about interest rates. I keep seeing commercials for filing for bankruptcy to eliminate debt, I wonder how many people believe those commercials and screwed up their credit
Bank of America is THE WORST Bank out there, they prey on the people that are just starting out and are trying to make it but, don't know any better.
B of A did the same to me as they have everyone else. They cashed my checks out of order bouncing all of the little ones. I was sent to collections and told I could not open another bank account.
I did just that, I opened another bank account and immediately put all money in it. I waited about a year, called B of A and told them how disgusting they were and that I would ONLY pay back what I felt I owed them. The amount of the last check they charged me for and the fee, all of the other fees they charged me, they can eat those and have a nice day.
Because it had been so long and already went to collections, they agreed, I paid, and flipped them good bye!!!
This type of practice should be oh so illegal. Loan sharks and Check advance places are wonderful banking options compared to B of A
Yes, yes, yes. A class on contracts should be included in this. How many people know what they are signing up for when they sign for their first cell phone? How about a class on leasing - cars, houses, apartments? We handicap our children when we keep them in ignorance.
The current personal finance education is abysmal. Students get through school without knowing how to balance a check book or that credit cards have to really be repaid or you suffer major consequences. Basic personal finance concepts (banking, credit, mortgage loans) should be taught to middle and high school students before graduation.
I used to work for a business in Seattle that runs several websites that sell goods related to various causes. Mind you, it was a retail operation, and it wasn't a non-profit. But I'd estimate that much less of their overall revenue went to charity, and yet, it was still a great deal of money going to charity. No one seems to question their value or intentions; however, they are selling a tangible product, so once people get their African birdhouse or whatever in the mail, perhaps they don't care that only 5% of their purchase benefited charity in any way.
I love Trader Joe's. My only compliant is the mega long lines I have to deal with. This is part and parcel of living in the densely populated NYC. There's often a line to even get INSIDE the store. Maybe I haven't figured out the right time to go. I love that the cashiers are pleasant too, that's an anomaly at almost all the other grocery stores I've ever been too.
I do not think this should be taught in schools. Like sex education, personal finances is a very personal thing. I learned everything I needed to know about finances just by observing my dad while growing up: if you don't have the cash, don't buy it.
Add on (Sorry for wall of text):
Other good topics: Insurance (Car, Renter's), emergency fund
If you have time topics: Insurance (Home owner's, Health, life), Auto-financing/Leasing/Buying a used car, mortgages, how to get out of debt
For most students, none of these topics are immediately useful.
Topics to avoid: Retirement accounts
Even the most fiscally responsible 16 year old is still a 16 year old. The time spent on these topics will be largely wasted, because the students will forget/fall asleep. Retirement accounts would require teaching investing strategies, and this will add a few weeks of classroom time. Best option instill proper saving techniques, ideally resulting in no debt, a good credit score, and money in the bank.
Short answer, no. Too much red tape, no one to teach it, and timing is poor.
Long answer incoming: Education budgets are tight already, adding a class about finance would meet strong resistance from all sides. The demand is low from parents and students, current teachers are not trained in finance, and admins would complain about hiring an entirely new teaching staff and new training programs.
My suggestion is a compromise:
Add a small workshop during elementary school about college savings accounts (529 plan). Make it one full day, available for a few days every year for student's parents, mandatory at least once for all parents. Encourage a local credit union, bank, or online brokerage to sponsor classes (Additional accounts, good PR for them). They can supply the workshop teacher.
Signing up for the class will auto-enroll you into a 529 plan with, say, Fidelity or some other online broker with a low minimum balance. Teach everyone how to log in, transfer money into the account, and purchase an investment. Emphasize two things: Tax savings and how FAFSA gives out financial aid. Possibly suggest a retirement target funds, except targeted at the date of their college. (is there a college target date fund?)
Part two, add unit in mathematics classes (about 2-3 weeks) in high schools. Students need to be taught to avoid financial traps like excessive credit card debt and a LACK of a credit score. Teach about credit cards (how to pay, APR, NEVER carrying a balance, and card benefits such as extended warranty and consumer protection), checking and savings accounts, credit reports/scores, and the FAFSA application. Again, try to get support from a local credit union, bank, non-profit, or online brokerage house.
Other possible topics: private scholarships; identity theft; and common financial scams.
Avoid investment strategy topics, because proficiency with investment strategy cannot be easily tested, and the topic easily sparks debate. Do not talk about 0% intro APR and transfer APRs or rewards programs as it might encourage CC spending. The other stuff is 100% beneficial for students.
The subject of credit cards is possibly the most "risky," but emphasize the dangers of a college student or young adult who has no experience picking, using, or paying for a credit card.
Well as long as you don't buy any of the frozen or pre-made crap, Trader Joe's is decent. I love their fresh fruit and vegetables, plus, their cheese prices can't be beat. (I also think they make some of the best burratta on the market.) Other products that beat the competition price-wise: olive oil, dijon mustard, pasta, pancetta.
Yes! Honestly, personal finance should also be available for adult education as well. Teaching the basics at a high school level would definitely build a starting foundation. When the reality of life hits with bills, debt, homes, and cars, we all really need a thorough refresher course of the basics to help make smart financial decisions. I am surprised that very few businesses exist to give classes on personal finance (eg mortgage costs, investment options, etc). We can seek help from professionals, but what about just a basic online class?
I think that yes it should in some way, even if its just as part of another class. I feel like if I had learned more about finances and how to manage money as part of a required class in school, I might have made smarter decisions about things like college funding, student loans, 401ks in first jobs, etc.
Personal finance classes would be a great addition to school curriculum. Children should be taught from an early age so they might be better prepared as adults.
Yes! I would say that should be the responsibility of the parents, but recently I have encountered so many adults that don't even know the basics. These people cannot understand checks, banks, balancing or anything even elementary when it comes to money. I believe in the good of all people and if we give more tools to our citizens with any means we have at our disposal, then it will create a better community for us all. Imagine someone who cannot balance a checkbook and may worry constantly if they have any money at all becoming knowledgeable and confident, they may be able to donate and purchase more intelligently. After all, in this country, our biggest vote is the one we place with our dollar!
Yes, if you teach the mechanics in parallel with other courses, the theory and philosophy can be reinforced in practice at home. I volunteered with Junior Achievement and taught a couple of courses that included personal finance content to an elementary school class and it was both rewarding for me and for them. I was actually amazed at how much they already knew about checking accounts, overdraft charges, balancing your checkbook, budgets and saving. It gave me hope. I encourage everyone to volunteer, even if you have to create your own original content or organize your own classes.
Yes and no. Yes, the basics of FINANCE should be taught in high school - as this can be taught out of a text book quite easily. But unfortunately, our nation's high school teachers are not adequately equipped to teach "personal finance".
The real problem though is that knowledge won't change anything. Just because our kids know what a credit card is doesn't mean that they won't abuse it.
I am a firm believer that personal finance should be taught at a young age. Especially considering the endless spending and soaring consumer debt which has led to our current recession, it appears that we have failed generations of Americans from learning the proper way to use their money. The sooner and longer that personal finance is addressed, the better future generations will be at handling financial hurdles. Of course, this should not take the burden off parents who have a responsibility to talk frankly with their children about money.
I appreciate the experiment that Dave and his family went through. You would have to make sure you are stocked up with food and hygeine supplies before starting this experiment. However, I'm sure his family realized that they could do without a lot of unnecessary spending when the month was over. And THAT is really the whole point.
Oh, definitely. It's one of the most important life skills there is!
Absolutely! I know many people in their 20's who have been ripped off by car dealerships because they don't know a thing about interest rates. I keep seeing commercials for filing for bankruptcy to eliminate debt, I wonder how many people believe those commercials and screwed up their credit
Absolutely! My parents did not prepare me at all.
Bank of America is THE WORST Bank out there, they prey on the people that are just starting out and are trying to make it but, don't know any better.
B of A did the same to me as they have everyone else. They cashed my checks out of order bouncing all of the little ones. I was sent to collections and told I could not open another bank account.
I did just that, I opened another bank account and immediately put all money in it. I waited about a year, called B of A and told them how disgusting they were and that I would ONLY pay back what I felt I owed them. The amount of the last check they charged me for and the fee, all of the other fees they charged me, they can eat those and have a nice day.
Because it had been so long and already went to collections, they agreed, I paid, and flipped them good bye!!!
This type of practice should be oh so illegal. Loan sharks and Check advance places are wonderful banking options compared to B of A
Yes, yes, yes. A class on contracts should be included in this. How many people know what they are signing up for when they sign for their first cell phone? How about a class on leasing - cars, houses, apartments? We handicap our children when we keep them in ignorance.
The current personal finance education is abysmal. Students get through school without knowing how to balance a check book or that credit cards have to really be repaid or you suffer major consequences. Basic personal finance concepts (banking, credit, mortgage loans) should be taught to middle and high school students before graduation.
Absolutely it should.
I used to work for a business in Seattle that runs several websites that sell goods related to various causes. Mind you, it was a retail operation, and it wasn't a non-profit. But I'd estimate that much less of their overall revenue went to charity, and yet, it was still a great deal of money going to charity. No one seems to question their value or intentions; however, they are selling a tangible product, so once people get their African birdhouse or whatever in the mail, perhaps they don't care that only 5% of their purchase benefited charity in any way.
Wow, such a well thought out compromise! Really neat ideas! Thank you for sharing this with us!
I love Trader Joe's. My only compliant is the mega long lines I have to deal with. This is part and parcel of living in the densely populated NYC. There's often a line to even get INSIDE the store. Maybe I haven't figured out the right time to go. I love that the cashiers are pleasant too, that's an anomaly at almost all the other grocery stores I've ever been too.
I do not think this should be taught in schools. Like sex education, personal finances is a very personal thing. I learned everything I needed to know about finances just by observing my dad while growing up: if you don't have the cash, don't buy it.
Add on (Sorry for wall of text):
Other good topics: Insurance (Car, Renter's), emergency fund
If you have time topics: Insurance (Home owner's, Health, life), Auto-financing/Leasing/Buying a used car, mortgages, how to get out of debt
For most students, none of these topics are immediately useful.
Topics to avoid: Retirement accounts
Even the most fiscally responsible 16 year old is still a 16 year old. The time spent on these topics will be largely wasted, because the students will forget/fall asleep. Retirement accounts would require teaching investing strategies, and this will add a few weeks of classroom time. Best option instill proper saving techniques, ideally resulting in no debt, a good credit score, and money in the bank.
You can get burrata there? WHY DID NO ONE TELL ME THIS BEFORE??!?!?
They also have cheap nuts! I make my trail mix from their dried fruit and nuts.
Great deals on fancy cheeses, as well.
Yes, but not as a separate class. Rather, math and science classes should incorporate into their lessons.
Short answer, no. Too much red tape, no one to teach it, and timing is poor.
Long answer incoming: Education budgets are tight already, adding a class about finance would meet strong resistance from all sides. The demand is low from parents and students, current teachers are not trained in finance, and admins would complain about hiring an entirely new teaching staff and new training programs.
My suggestion is a compromise:
Add a small workshop during elementary school about college savings accounts (529 plan). Make it one full day, available for a few days every year for student's parents, mandatory at least once for all parents. Encourage a local credit union, bank, or online brokerage to sponsor classes (Additional accounts, good PR for them). They can supply the workshop teacher.
Signing up for the class will auto-enroll you into a 529 plan with, say, Fidelity or some other online broker with a low minimum balance. Teach everyone how to log in, transfer money into the account, and purchase an investment. Emphasize two things: Tax savings and how FAFSA gives out financial aid. Possibly suggest a retirement target funds, except targeted at the date of their college. (is there a college target date fund?)
Part two, add unit in mathematics classes (about 2-3 weeks) in high schools. Students need to be taught to avoid financial traps like excessive credit card debt and a LACK of a credit score. Teach about credit cards (how to pay, APR, NEVER carrying a balance, and card benefits such as extended warranty and consumer protection), checking and savings accounts, credit reports/scores, and the FAFSA application. Again, try to get support from a local credit union, bank, non-profit, or online brokerage house.
Other possible topics: private scholarships; identity theft; and common financial scams.
Avoid investment strategy topics, because proficiency with investment strategy cannot be easily tested, and the topic easily sparks debate. Do not talk about 0% intro APR and transfer APRs or rewards programs as it might encourage CC spending. The other stuff is 100% beneficial for students.
The subject of credit cards is possibly the most "risky," but emphasize the dangers of a college student or young adult who has no experience picking, using, or paying for a credit card.
Well as long as you don't buy any of the frozen or pre-made crap, Trader Joe's is decent. I love their fresh fruit and vegetables, plus, their cheese prices can't be beat. (I also think they make some of the best burratta on the market.) Other products that beat the competition price-wise: olive oil, dijon mustard, pasta, pancetta.
Yes! Honestly, personal finance should also be available for adult education as well. Teaching the basics at a high school level would definitely build a starting foundation. When the reality of life hits with bills, debt, homes, and cars, we all really need a thorough refresher course of the basics to help make smart financial decisions. I am surprised that very few businesses exist to give classes on personal finance (eg mortgage costs, investment options, etc). We can seek help from professionals, but what about just a basic online class?
I think that yes it should in some way, even if its just as part of another class. I feel like if I had learned more about finances and how to manage money as part of a required class in school, I might have made smarter decisions about things like college funding, student loans, 401ks in first jobs, etc.
Personal finance classes would be a great addition to school curriculum. Children should be taught from an early age so they might be better prepared as adults.
Yes! I would say that should be the responsibility of the parents, but recently I have encountered so many adults that don't even know the basics. These people cannot understand checks, banks, balancing or anything even elementary when it comes to money. I believe in the good of all people and if we give more tools to our citizens with any means we have at our disposal, then it will create a better community for us all. Imagine someone who cannot balance a checkbook and may worry constantly if they have any money at all becoming knowledgeable and confident, they may be able to donate and purchase more intelligently. After all, in this country, our biggest vote is the one we place with our dollar!