The call for greater financial literacy for high school and college age students grows louder with each passing year. Between the recent recession and the trillion dollar plus student loan crisis, the need for basic money management skills is at a critical point.
The article “3 Ways to Teach Financial Literacy in College-and Why it’s No Longer a Maybe” cites a 2016 study sponsored by the National Endowment for Financial Education (NEFE) which shows “that there has been no improvement in economic education in recent years and slow growth in personal finance education.” This failure of federal and state governments leaves no other solution than for colleges and universities to step-up and take on this challenge. “If your institution is not yet teaching financial literacy, there is no time like the present.” BethTallman (the author of this article), is a financial educator and consultant and she maintains that such an initiative would not only better prepare students for the future but would be a great way for an institution to differentiate itself.
Tallman offers three ways that colleges and universities could implement such a program:
- an expanded role for the Financial Aid Office centered around the debt letter
- tapping into a free online resources like NEFE’s online program called Cash Course which offers both an “instructor-led” or “self-paced” program that can be customized for a particular institution.
- schools offer their own course in personal finance, including one-on-one counseling, online resources, and in-person or online classes
Tallman cautions that “one size will not fit all.” However, the pay-off could be great, citing it may reduce student stress and provide much needed assistance in helping them pay off their debt faster. It would also, “give them a solid base of knowledge that will enable them to make good financial decisions well into the future.”
To read the complete post, including additional tips around how to implement financial literacy programs on campus, and examples of programs currently up and running, click here.
National Student Financial Wellness Study Key Finding Report (NSFWS) developed and administered by The Ohio State University
The Higher Education Financial Wellness Summit - Which unites educators with a passion for student financial wellness and connects those who value the significance in students’ understanding of how to manage their personal finances.”
Financial Literacy: Can It Be Taught? Should Colleges Even Try? by Beckie Supiano