A Financial Literacy Exam for Personal and Program Evaluation

A financial literacy exam should be a standard part of any personal finance course, but more than just an exam is needed. Exams are part of a purposefully-designed tracking system – an integral component of a complete program. Exams provide feedback that should be used to guide the course and keep it in line with the students. NFEC financial literacy exam questions and answers have the ability to evaluate all aspects of a personal finance program and of the individual students.

Design of Financial Literacy Exam Administration

Accepted Financial Literacy Exam Assets

Management of Personal Finance Chapter Questions Materials

Take the National Financial Capability Test

This 30-question test measures knowledge of financial literacy and income generation (career & entrepreneurship). This test has broader questions that measure participants’ ability to earn money and manage their personal finances. Over 100,000 people – high school students through adults – have completed this test.

Results

67%

Average Score of 67.38%

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Participants to Date

Financial Literacy Exam Questions and Answers Expose More Than Knowledge

When they’re properly designed and interpreted, financial literacy exams can tell us about how students feel and act toward money. Although these aspects of personal finance are often overlooked, they are critically important for financial success. If someone was taught as a child that money is the root of all evil, it will be challenging for that person to treat money as if it’s a welcome friend.

Financial behavior can be hard to track accurately because of a phenomenon called participant bias. In this type of bias, students may overestimate their new financial situation after the class ends. We solve this by measuring graduates’ implementation of what they’ve learned.

Influential Financial Literacy Exam Capabilities

Financial Literacy Exam Answers and Questions

Well-thought-out financial literacy exam questions and answers can show us vital information about how deeply a student has absorbed a topic. NFEC financial literacy exams determine what stage a participant has reached on the corresponding scales of Webb’s Depth of Knowledge and Bloom’s Taxonomy of Higher Order Thinking models. When we track and monitor students’ thinking levels throughout a course, the curriculum always reaches the students at their optimum level for learning. That way we keep the students challenged, interested, and engaged without getting overwhelmed or bored.

Influential Financial Literacy Exam Selections

A comprehensive financial literacy campaign can serve as a vehicle for an organization to accomplish a variety of goals. However, even the best program in the world will go unnoticed if its sponsors fail to measure how well it works. That is why the National Financial Educators Council has developed an empirically based financial literacy exam to measure short- and long-term program impact.

The NFEC is an independent group that—over the past decade—has emerged as an industry leader in the financial education space. The organization takes a holistic approach to spreading the message of raising personal finance capabilities of people around the globe. By “holistic,” they mean covering all the bases to plan comprehensive campaigns tailored specifically to a given target audience. Conducting a financial literacy assessment both before and after the initiative not only provides an evaluation of how well the program worked, but also helps draw attention to the effort and foster its sustainability over time.

This social enterprise advocacy group has conducted a national financial literacy test across the U.S. and also has developed curriculum materials to reach a variety of ages and demographics. All the NFEC resources were designed with the assistance of their Curriculum Advisory Board, a team of top-notch experts in finance and education. The advisory board has reviewed the individual financial statements of more than 50,000 people and conducted face-to-face interviews with more than 100,000 others about their personal finances. These contacts contributed to the development of the financial literacy questionnaire the NFEC uses to measure program effect.

Any organization interested to undertake a financial literacy initiative should contact the NFEC, who makes their financial literacy exam and other survey and testing materials available to philanthropists around the world. Collaboration with the NFEC helps ensure that an organization has the support, understanding, materials, and evaluative tools to make such an initiative successful and long-lasting.

 

Assess Participant Interests and Knowledge with Financial Literacy Exam

Measurement is a fundamental component of every successful financial education campaign. A comprehensive initiative to raise money management skills must conduct initial research to determine the particular interests of the intended audience. That way the participant experience can be designed for maximum impact. And conducting a financial literacy exam before and after the program will evaluate program and instructor quality, and improve chances to obtain future funding.

The National Financial Educators Council (NFEC), a recognized industry leader in financial literacy education, uses a financial literacy questionnaire as part of the pre-planning phase to conducting any event. The NFEC suggests going directly to the source and asking the participants themselves to answer questions such as:

  • Which specific financial topics are you most interested to learn?
  • What delivery methods do you prefer (classroom instruction, activities, games, video, etc.)?
  • What days and times would you prefer to attend?
  • How far would you be willing to travel for a live event?
  • What would be the ideal program length?
  • What knowledge or skills would you like to take away from the training?
  • Why do you want to learn about money?
  • Are you facing any personal money challenges that motivate you to take this training?

This financial literacy exam asks participants up front about their personal needs and guides the instructor to present the materials that will honestly help them address their real-life situations. According to the NFEC, the next measurement step is to conduct a preliminary financial literacy test to determine participants’ current knowledge base. This information also will guide which lesson plans the instructor chooses. That is, if the personal finance quizzes indicate that participants already know a lot about budgeting, the instructor should not waste much valuable class time dwelling on budgeting topics.