Tag Archives: Council for Economic Education

Money Monday: Less personal finance education in schools

Shrinking focus on personal finance, economics in K-12

piggy bank saving

photo from 401kcalculator.org

The Council for Economic Education completed a new survey, and found that out of the 50 American states, only 17 require that high school students take classes on personal finance. However, it also reported that economics is being incorporated into all subject matter for K-12 grades.

This is important, because

Personal finance education and economics classes can have a substantial impact on students’ lives after graduation, with those from states requiring such learning showing higher credit scores than those from states without such mandates.

(29 Jan. 2016. Education Dive. “Shrinking focus on personal finance, economics in K-12”. http://www.educationdive.com/news/shrinking-focus-on-personal-finance-economics-in-k-12/412943/)

Other implications:

  • Graduated students who had personal finance or basic economics classes are more likely to pay bills on time, which in turn affects credit.
  • Good or bad credit could lock people into cycles of either poverty or prosperity.
  • Traditional skills offered in these classes, like balancing a checkbook, could be outdated.

Read more from Education Dive on this topic here.