In this article, you will learn the reasons why financial literacy must be taught in schools.
Financial literacy is one of the integral subjects that the past educational curricula have overlooked. It has resulted in a student population that does not understand the importance of maintaining savings accounts and being financially stable. Yes, we did have accountancy and mathematics subjects in the secondary level before but it was not enough since we really had no foundation about financial literacy. We knew numbers – but somehow, the importance of numbers in daily budgeting and the like did not leave as huge a mark as expected in our collective psyches. And to tell you the truth, it has a huge impact on how several generations have turned out to be.
Maybe the idea of oversight might have been unwarranted and may have been seen as inconsequential but with the thrust of 21st century education, there is a need for financial literacy to regain its footing in the awareness of the learners in school. It might just save the future for these learners who have been accustomed to spending too much without learning of the consequences of their actions.
Reasons Why Financial Literacy Must Be Taught In Schools
Here are some reasons why financial literacy needs to be integrated in the curriculum. We understand there might be more, but we are sure these seven reasons which we would enumerate would also hold ground in any argument for financial literacy integration:
Learners do not know much about finances.
In a society that is economy-driven, our learners are being brought up to buy, buy, and buy whatever they want. There have been no efforts to curb this outlook which seems to have pervaded our society. It is unlike before when learners and their teachers had access to such information about the importance of savings in daily life. Nowadays, we may have overlooked this rather important thing – resulting in a population that is apathetic to savings.
Learners are starting younger – and are thus more moldable.
Many learners are now getting a weekly allowance and the observation is that most of them go through their weekly allowances in a matter of days. It may not seem to be important but a generation of learners who cannot budget their allowances may have higher and graver repercussions. It is therefore important that we should start them young so they can know their limitations and be able to budget much better.
We are surrounded by more temptations.
It is unlike before when times were simpler – when we didn’t have so much available to us. Right now, everywhere we look, there are temptations that people cannot seem to resist. New gadgets, new products – these are things that are in abundance – and we really have to be able to learn how to budget our finances if we want to buy these things without getting ourselves in debt.
We tend to save later in our lives.
Again, unlike before when we were taught to save at a young age, nowadays, it seems a lot of people do not maintain savings accounts or keep coin banks in their homes. The reason? Because we have been brought up in a highly commercialized world which emphasizes instant gratification – which is contrary to our former belief system. Before, we had several comic books and information resources that emphasized the importance of saving for the future – but now, it seems there is a definitive lack of such for our learners.
Financial literacy is a lifelong process.
The current curriculum espouses lifelong learning – so financial literacy fits right in. It is a lifelong process and thus we need to start early because it would have better effects on our lives. It would also be beneficial to know financial literacy earlier because we would be able to establish our financial personas much earlier. We would benefit on this in the long run.
We need to learn how to stay out of debt.
It can be tough to find people who do not carry some form of debt nowadays – whether it be personal loans or loans from private lending institutions. We are seeing the effects of the lack of a true financial literacy subject in the curriculum – a lot of people do not know how to budget, do not know how to compute for their interest rates – and a lot of people do not know how to avoid being in debt in general. Integrating financial literacy in schools would arrest this culture and possibly have a longer lasting effect in the economy.
Our government and other attached social security agencies are no longer that stable.
As difficult to admit it may be, the government would not be able to provide us with the necessary policy coverage that other generations have enjoyed. So it is crucial that we be able to save for our retirement funds on our own rather than depend on what they would be giving us in the future.
These are the reasons why financial literacy should be integrated posthaste to our existing educational curriculum. A subject that is as simple as that might have long lasting economic implications for our country – and that is something that we should really aspire for.