Hey folks, I came across a stat the other day saying that a lot of high school students graduate with next to no knowledge about managing finances. This concerns me. Is it true that there's such a gap in our education? If so, what can I do to learn about finances before I head to college or into the workforce? If my school doesn't offer a dedicated course, are there any reliable resources out there?
Indeed, it's true that financial literacy is an area where many students lack knowledge as they graduate from high school – primarily because many high schools do not have a curriculum that thoroughly covers this topic. This is undeniably an issue, given that financial know-how is essential whether one is planning on heading into college or directly entering the workforce.
However, just because this subject might not be fully addressed in traditional school settings, it does not mean there are no ways to develop your understanding. Many viable options are available online that students can self-study to attain a better understanding of financial literacy. Here are some broad areas you might want to research: budgeting, understanding credit (and credit scores), savings and interest, basic investing, and understanding student/other loans.
As far as resources go, the Consumer Financial Protection Bureau (CFPB) offers a broad range of information on various financial topics. Khan Academy also has a robust "Economics and Personal Finance" section that delves into the details of many key topics.
If you have a part-time job, take the opportunity to apply the concepts you learn in a genuine setting. Creating a budget, understanding your paycheck, and learning about taxes are all practical ways to develop financial literacy.
Furthermore, if you plan to attend college, on-campus resources often exist to help students. Many schools have finance workshops and services to aid students in understanding tuition payment, managing loans, creating budgets, and planning for the future.
Knowledge in personal finance is indeed an asset, and your interest in learning about it is a step in the right direction.
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