Need for a Community Approach in Financial Education
Few would argue with the recent financial literacy statistics. They show that the average person across the globe lacks even basic financial education skills. Consequently, we read about the issues that arise – debt, bankruptcies, foreclosures, etc.
The need for financial literacy has never been higher – that is why it is important for concerned citizens to form community financial education networks to conduct outreach and help to teach kids about money. Studies also show when you start teaching kids about money at a young age they contribute more to their 401k and have a higher savings rate. Often this added financial security helps other areas of their life.
Just by teaching kids about money at a young age, the recent financial literacy statistics show that a 50% failure rate can be turned around. In order to make the dream of turning around these dismal financial literacy statistics a reality, community financial education networks can plan an important role.
Who should be in our community financial education network?
Parents – parental involvement is important. Fortunately, there are simple steps that parents can take to teach kids about money.
Schools / Educators – getting the support of local educators is an important part of building a community financial education network.
Community (nonprofits, government, corporations) – together this ‘community’ group can provide volunteers, funding, resources and other important aspects.
Youth – the center of any financial education network are the people we are serving. We must be diligent in getting their buy in.
Together we can make a difference!