Financial Education – Nonprofit Organizations Initiatives
Financial problems have reached epidemic proportions in our country. Financial issues contribute to a variety of troubles many people face today, from crushing debt to retirement shortfalls. This epidemic hurts individuals and communities alike.
In the past, the biggest barriers encountered by nonprofit organizations looking to participate in financial literacy initiatives centered on the cost, time, and complexity involved to develop and deploy financial education programming. A properly-designed financial education campaign provides ways for nonprofits to make a long-term positive difference in their communities while receiving a measurable ROI for their efforts.
The financial literacy movement is at a tipping point – nonprofit organizations and other stakeholders contribute toward a global push to improve financial capabilities among the world’s citizens. You are invited to join the financial literacy movement in a way that aligns with your personal, business, and philanthropic goals.
How Nonprofit Organizations Participate
Nonprofit organizations spend the highest levels of money on financial education each year – around $550 million – per the Consumer Financial Protection Bureau. Currently nonprofit organizations contribute the largest share of financial education programming delivery compared to all other industries combined.
For some groups, financial education is their core business; for others it is just a piece of their overall programming. Nonprofit organizations participate in two main ways:
Direct Participation
Passive Particpation
Top Participation Reasons
Sustainability is the key to long-term success and scalability of any financial education program. It is important for organizations that want to make a lasting difference in their communities to adopt a model that funds ongoing financial education programming.
Nonprofit organizations and other providers share common goals: raising funds, garnering community recognition, and gaining volunteer support while they educate members of their communities. It is the NFEC’s goal to contribute to our clients’ bottom line as they contribute to the overall financial wellness of the communities they serve.
Funding & Relationships
Philanthropic
Brand
New Innovations Upgrade Program Options
Among the vast array of programs that have cropped up over the past decade, few – if any – can claim to draw upon solid empirical evidence of best practices for financial education. This failure can be attributed to a lack of experience, personnel, capital, and executable processes.
The current reality is that most financial education programs are a random mixture of resources that lack overall campaign design. Few organizations have adequate measurement systems in place, and even fewer know how to use the data. This shortcoming results in financial education programs that are short-lived, suffer from poor participation rates, and offer limited brand benefits.
But it doesn’t have to be this way.
Recent research, process, and technology breakthroughs allow individuals and organizations of all sizes to contribute in a meaningful way to promote the financial literacy movement. Even if you are just starting out, you can lay a foundation for your initiative based on available best practice data.