Essay Sample on Financial Literacy in Schools: Comprehensive Solutions with Lasting Impacts

Introduction

There is a comprehensive study on solutions of financial literacy in schools, universities and colleges that can consist of a lasting impact on the lives of its students while also benefiting the schools involved. The knowledge is taken from simple classroom texts to sophisticated financial education campaigns, the National Financial Educators Council (NFCE) have taught students from both colleges and secondary schools about finances and also ways of reducing the default rates of student loans (this mostly in colleges and universities). The NFEC also dwells in the recruitment of new students to schools, protecting from "Title IV" funding and improving the graduation number in said schools. For secondary school, students have financial literacy programs that comprise of the preparation of students to handle their finances, prevention of high school dropout, and seeking higher education (Mandell, 2008). These programs by the NFEC can result in budget and scheduling requirements, that has further aided institutions to raise funds and also involving parents in the education process geared towards their kids about finances. The sole purpose of the paper is an argument that shows the benefits of financial literacy as a course for necessity in high schools.

Is your time best spent reading someone else’s essay? Get a 100% original essay FROM A CERTIFIED WRITER!

Save 25%

There are various benefits of financial literacy to secondary school students that are used as a tool for the improvement of both the community and the youth's financial capability. These students should be taught how to handle their finances, and this should be done in both school and home, it also aids in the reduction of the economic impact that has a long period of recession that is now gripping many communities across the nation. The factor as mentioned above of teaching students about money have a higher reaching impact on their futures, clutching the most basic of lessons have students considering the options that are readily available before critical financial decisions are made. Additionally, this factor may, in turn, help them in the future avoid personal debt or by improving their chances of achieving financial security (Walstad,2010). The National Financial Educators Council have recommended financial lessons for secondary school students and plans to make it mandatory in all institutions, they have estimated that the earlier the lesson plan starts the higher the impact it may have for the students. They also recommend that these financial literacy classes have to be for more than a few hours of class. The NFEC has given 12 hours as a minimum for the classes to be useful even for a little while, an also to have a real, long-lasting impact further saying that a determined private finance class should be for at least an entire semester for each of the four years that a student attends the school.

It also helps students to prepare for their future independent lives as young adults, and it can be through parents' perspectives for many adoptions of strategies towards objectives of preparing the kids to become future independent adults. Whether the young students want to attend college or any form of higher learning, or start a family, move into an apartment or develop a personal identity, one has to learn how to cope in the real world. This was saying that it trains young adults to properly handle finances in an independent manner that can prove to be essential for financial literacy in the future (Chen, 1998). Finally, this study can also aid students in the development of responsibility, like in the US there is massive aftermath to college students who have hit rock bottom because of obtaining student loans in the previous years of school. There is a movement that is fighting for financial literacy in secondary education to educate students that are trying to apply these funds before getting to use them.

References

Chen, H., & Volpe, R. P. (1998). An analysis of personal financial literacy among college students. Financial services review, 7(2), 107-128. Retrieved from https://www.sciencedirect.com/science/article/pii/S1057081099800067

Mandell, L. (2008). Financial literacy of high school students. In Handbook of consumer finance research (pp. 163-183). Springer, New York, NY. Retrieved from https://link.springer.com/chapter/10.1007/978-0-387-75734-6_10

Walstad, W. B., Rebeck, K., & MacDonald, R. A. (2010). The effects of financial education on the financial knowledge of high school students. Journal of Consumer Affairs, 44(2), 336-357. Retrieved from https://onlinelibrary.wiley.com/doi/abs/10.1111/j.1745-6606.2010.01172.