the importance of personal finance education

MAKING THE CASE FOR PERSONAL FINANCE EDUCATION

A core aspect of civic literacy is an understanding of sound personal financial management. Our high unemployment and slow economic

growth is due in part, to the many Americans who made poorly informed financial decisions.

Debt expansion $30K to $70K

"I'm living so far beyond my income that we may almost be said to be living apart." - EE Cummings

Satisfied?

A retirement plan?

The amount that students owe quintupled between 2000 and 2011.

In 2010, for the first time ever, Americans' outstanding student loans exceeded their total credit card debt:

“The financial preparedness of our nation’s youth is essential to their well-being and of vital importance to our economic future.”

- Ben Bernanke, Chairman of the Federal Reserve System

A national commitment

“ As we recover from the worst economic crisis in generations, it is more important than ever to be knowledgeable about the

consequences of our financial decisions. … We recommit to improving financial literacy…”

President Barack Obama Presidential Proclamation – National Financial Literacy Month

March 31, 2011

Teens are interested in learning more about personal finance

CA Coalition survey

A moment of your time…

CALIFORNIA JUMP$TART, PERSONAL FINANCE

STANDARDS & RESOURCES

A core aspect of civic literacy is an understanding of sound personal financial management. Our high unemployment and slow economic

growth is due in part, to the many Americans who made poorly informed financial decisions.

Jump$tart State Coalitions By Region

MISSION• A national coalition of organizations dedicated to improving the financial

literacy of pre-kindergarten through college-age youth by providing advocacy, research, standards and educational resources. Jump$tart strives to prepare youth for life-long successful financial decision-making.

VISION• Personal finance is included in the education of all students. Jump$tart

provides the collaboration needed to ensure this education. UNIQUE PROPOSITION• Jump$tart is a coalition of organizations, which share a commitment to

the financial education of youth. Working collaboratively, more resources and expertise are available to accomplish this task.

CA Resources

National Coalition

Clearinghouse

Cajumpstart.org

1. Financial Responsibility and

Decision Making

2. Income and Careers

3. Planning and Money

Management

4. Credit and Debt

5. Risk Management and

Insurance

6. Saving and Investing

moneywiseteen.org

• Scarcity and Alternatives• Budget and Opportunity Cost• Credit and the Margin• Benefit/Cost Analysis• How and Why of Prices• Human Capital• Saving and Investing• Paying for College

International, award-winning, web-based program

Animated modules illustrate economic principles through real-world situations

Questions and activities to learn by doing

Online training webinars: March 7 or March 14

4:30–6:00pm

moneywiseteen.org

federalreserveeducation.org

• 5 Tips Series• Bankers in the

Classroom• Building Wealth• Buried in Debt: The

Dangers of Borrowing• Your Credit Rights

dallasfed.org

Video chapter 4: A Tale of Two Spenders

Money Smart for Young Adults is the FDIC’s financial education curriculum ages 12-20:

•Understand basic financial services,

•Develop money-management skills, and

•Learn how to use banking services effectively .

fdic.gov

A NATIONAL ASSESSMENT

A core aspect of civic literacy is an understanding of sound personal financial management. Our high unemployment and slow economic

growth is due in part, to the many Americans who made poorly informed financial decisions.

National Financial Capability Challenge March 12 through April 13, 2012

Quick

Easy

Rewarding

Any high school

educator can do it. challenge.treas.gov

Highest participation:Pennsylvania

VirginiaNew Jersey

FloridaWisconsin

Highest average scores:Idaho

VermontSouth Dakota

OregonMaine

2011 NFCC CA National

Average score

66.12% 69%

# of tested students

1,801 84,372

# of students in top 20%

368 18,192

# of participating schools

52 1,691

# of other organizations

25 472

# of participating teachers

81 2,517

YOUR PARTNERS IN THE EFFORT

A core aspect of civic literacy is an understanding of sound personal financial management. Our high unemployment and slow economic

growth is due in part, to the many Americans who made poorly informed financial decisions.

• Free

• Taught by CalCPA volunteers

• Schedule one lesson, or all seven

• Interactive

• Highly flexible

• Fun

• Conforms to a class period

• Students receive a NEFE HSFPP

guide and a copy of Quest

Magazine

Schedule a visit today!

The amazing power of compounding; the

easiest path to financial security.

Guest speakers: Kathleen Pender, SF Chronicle and John Hope Bryant, CEO Operation HopeExhibits, curriculum speed dating, best practices and success stories

Financial Smarts for Teachers and CalCPA in your classroomContinental breakfast, networking lunch, prize drawings , free parking

California and Nevada Youth Involvement Network (CNYIN)

CNYIN is partnering with

California Jump$tart

and the National

Endowment for Financial

Education (NEFE)

to increase youth

educational classroom

presentations. Contact

your local credit union for

more information.

jasocal.org

Banking on Our Future

Partners in personal financial education for California’s youth

rgallagher@scoe.org

Rebecca Gallagherboard member, California Jump$tart Coalition

education specialist, Sonoma County Office of Education