What is Financial literacy?
Financial literacy refers to the ability to understand and effectively use various financial skills to manage everyday money matters. It includes:
- Creating a budget,
- Establishing credit,
- Paying off debt,
- Understanding the difference between various financial instruments,
- Knowing how interest works,
- The ability to save and invest wisely,
- And learning how to keep one’s money safe.
Only 57 Percent of Adults in the United States Are Financially Literate!
In school, most of us are taught about science, history, math, language and a wide range of other subjects. However, lessons about money, something we need and use every day, is rarely taught. With this sad reality, it is no wonder that only 57 percent of adults in the United States are financially literate (S & P Global Literacy Survey), and only 24% of millennials have an understanding of basic financial concepts (GFLEC).
Why is Financial Literacy Important?
Financial literacy has a significant impact on families and individuals of all ages. Good money skills are necessary when trying to balance a budget, fund a child’s education, purchase a new home, first car or save for retirement. Recent studies show that 40% of American families do not have enough savings to cover a $400 emergency expense (Board of Governors of the Federal Reserve System).
Never too Young or too Old to begin your Financial Education
Financial literacy and good money habits can be taught early with a child’s first money interactions. Practice, experience and age appropriate money lessons can take a child through adulthood on a life-long journey of financial independence and success. Adults, who missed out on early learning, can get on the right financial track too with the right kind of guidance – Teach Me Wall Street teaches individuals of all ages what they didn’t learn in school – how to be money savvy and financially literate!
Celebrate Financial Literacy Month with Teach Me Wall Street
Test Your Money Smarts and Learn Something New!
In celebration of National Financial Literacy Month this April, Teach Me Wall Street will do what they do best – They will make learning about finance fun!
We’ll post daily Wall Street themed wordles, engaging Facebook Live money lessons, and offer fun finance related games and activities for the whole family to partake in!
