NFEC Conducts Research Using Money Management Survey

To give out to the financial industry and the general public, as well as distribute through media outlets, the NFEC does research, surveys, polls, and studies of professional opinions. The resulting data from such a money management survey are analyzed to determine how a person’s financial capabilities are related to his or her attitudes and behavioral patterns. Thus the NFEC, using financial literacy survey outcomes, empirically demonstrates the best directions for financial education programming and development.

 

View the Money Management Survey Analysis

Asking the question, “What high school-level course would benefit your life the most?” the NFEC surveyed Americans between 18 and 24 years of age in July 2017 with its personal finance survey. According to the results, “money management” was the top choice among these 5,123 young adults. That response was selected more often than math, science, or social studies in this money management survey.

 

Suggestions for Money Management Survey Action Steps

 

In a different survey, the NFEC asked, “During the past year, about how much money do you think you lost because you lacked knowledge about personal finances?” Participants said they lost an estimated $1,171, on average, in the previous year. And 6.8% even said they’d lost more than $10,000 in the last year due to lack of knowledge.

 

Concepts for Money Management Survey Capabilities

Take an NFEC Money Management Survey, or Use One in a Class

The NFEC supports money management survey development for those who wish to learn where they stand financially, or to measure the results of coursework they’re teaching. For example, among teens, recent data indicated that many youth receive failing grades in financial knowledge. It’s important to keep in mind that, when participants self-report about their finances, the results may suffer from bias. People may forget about financial accounts or misrepresent their current status. Or they may be embarrassed or emotional about money, which could skew the results. The NFEC creates surveys that help avoid such problems.

As the financial literacy movement gains momentum around the globe, concerned citizens and nonprofit groups may choose to chip in by sponsoring an event or campaign to promote financial literacy among their communities and constituents. The NFEC recommends that a money management survey should play an important role in any such initiative.

Before delivering an event or instructional program, the NFEC suggests that the sponsors should conduct three important measures. First, they should attempt to learn the unique needs and interests of the participants. Second, they should conduct a preliminary financial literacy survey to assess the participants’ current knowledge levels in key financial areas. And third, they should offer consultation with participants—either one-on-one or in small groups.

The NFEC takes a holistic approach to teaching money management, which relies heavily on empirical data both to qualify the key lessons to be taught and to measure the success of any campaign. Once the instructional effort or event has been completed, the sponsors should ask participants to complete the same financial education survey they filled out at pretest, to indicate changes in knowledge and behavioral intent after taking the class. This is one of the best ways to measure how successful the initiative has been in reaching its audience and raising participant awareness.

Comparing pretest to post-test results on the survey offers a quantitative analysis of how well the program worked to raise knowledge about financial education and to increase participants’ motivation to change and intent to take positive action steps toward improving their financial situations. In addition, the NFEC recommends asking participants for a few testimonials about their experience and obtaining their permission to use these quotes in written materials and on websites. Gathering and analyzing both quantitative and qualitative data will paint a vivid picture of the overall campaign success.

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Money Management Survey from Minnesota Respondents