A lot of adults in the United States and around the world struggle to keep their finances in good order – is the solution to start learning at a younger age?
The world of finance includes banking, student loans, home mortgages, and everything in between. As a result, schools around the nation are starting to help students understand this sometimes confusing and overwhelming subject. About one third of US states have begun adding personal finance classes into the school curriculum.
Preparation for Adulthood
High school is meant to prepare students for life as adults. Many essential life skills, such as how to change a tire or manage money, have not been a part of the school curriculum for decades. However, several states in the US are now saying it’s important to teach young adults the ins and outs of money.
Michigan is the latest state to approve a bill that would require high school pupils to take a finance course. The next step is for Governor Gretchen Whitmer to sign the new legislation.
The course will include lessons about saving money, investing, repaying loans, and even planning for retirement. State officials hope to see improvements in how the students manage their money and prepare for every stage of life. Research shows that similar classes have already proven beneficial.
Carly Urban from Montana State University said, “[The class] improves credit scores by age 22.” A credit score tells banks and other groups how reliable you are at repaying money you have borrowed – a good score is needed in lots of situations, from renting an apartment to improving your cell phone deal. She added that the students go on to repay college loans more easily, and they also borrow less money in other areas of life.
A Popular Trend
Fourteen states have mandated finance classes, but the exact details differ. For example, the program is required for 11th and 12th-year students in Georgia. However, in Ohio, ninth graders are allowed to join. The other states that require a finance class are Alabama, Florida, Iowa, Michigan, Mississippi, Missouri, Nebraska, North Carolina, Rhode Island, Tennessee, Virginia, and Utah.
Do you think personal finance is an important topic to learn and understand before becoming an adult?
Try a quiz based on this article
Finance encompasses all things to do with the topic of _________.
Show the answer
Money.
About ___ of US states have started teaching finance in high school.
Show the answer
One third.
According to the article, which state is the latest to pass a law adding finance to its high school curriculum?
Show the answer
Michigan.
State officials hope to see improvements in how students manage their money.
Show the answer
True.
Carly Urban from Montana State University stated that the students' credit scores are improved by age ___.
Show the answer
22.
Urban also stated that students who take the finance class tend to borrow _____ money throughout their life.
Show the answer
Less.
Financial literacy means to understand money, including things like loans, credit, bills, etc.
Show the answer
True.
Are personal bank accounts a part of finance?
Show the answer
Yes.
How many states have incorporated finance classes into their school curriculum?
Show the answer
14.
The state of Wisconsin is one of the US states to require a personal finance class in high school.
Show the answer
False.
Kirsten Brooker
Culture Correspondent for Liberty Nation and Generation Liberty. Kirsten loves to write about culture from the point of view of an everyday American who lives deep in the heart of the Midwest. She is the mother of two adorable girls, likes classic rock, and humbly wears the crown of a former Homecoming Queen with grace and style.
