Reasons why Financial Literacy is important
My only memory of learning something about finances in school is about learning about money. It is more on the Philippine Peso denominations and simply how it could be used to buy.
Jumping into today, I’m happy to know that my daughter’s school includes financial literacy in its syllabus. Finally, the importance of why learning more about finances has been highlighted and included in the educational system. Unfortunately, this isn’t available in all schools yet, hence, if you’re keen on paving a better financial future for your children, I tell you, it takes more than paying tuition for a prestigious school for them to learn from the books.
The first teachers of children anyways are the parents, so why not extend those teachings to basic financial terms and money handling as well and not stop with values, manners, ABCs, and counting numbers?
Teaching children about financial literacy from a young age is crucial because it can help set them up for long-term financial success. Here are some reasons why:
- Establishing good money habits early: By teaching children about the importance of budgeting, saving, and investing, they will be more likely to develop good financial habits early on. This can help them avoid common financial pitfalls later in life.
- Building financial confidence: Understanding how money works and how to manage it can help children feel more confident and empowered in their financial decision-making. This can lead to a greater sense of independence and control over their financial future.
- Avoiding debt: Children who understand the value of money and the importance of saving are less likely to fall into debt in the future. They will also be better equipped to manage debt if they do encounter it.
- Planning for the future: Teaching children about financial planning and the importance of setting goals can help them prepare for their future. This includes understanding how to budget for future expenses such as college, buying a house, and retirement.
Overall, teaching children about financial literacy is important because it helps them develop healthy financial habits and prepares them for a financially stable future.
Do you agree that teaching financial literacy to children could help them improve how they value their earnings when they reach adulthood?
This blog post is part of the blog challenge ‘Blogaberry Dazzle’ hosted by Cindy D’Silva and Noor Anand Chawla in collaboration with Mads’ Cookhouse.
This is so important. I’m glad you’ve brought this up and I wish all schools take this up in addition to what the parents teach the children.
You are absolutely right. Financial literacy is very important. I and my husband always made it a point to teach our kids about finances. You can choose to upgrade it as they grow up.
This is such a smart post- the sooner anyone is financially literate the better, I wish I had started on this years ago
Absolutely, Jeannine. Financial literacy should be considered a life skill and every child should be taught it. Money matters need to go beyond handing kids pocket money.
I myself need this education. My husband often tells me I need to be more involved in the financial planning of the family. Yes, introducing this concept early on is very important, especially in times like this when children get what they want, when they want. They need to understand the value of money and how to save it and spend wisely.
I completely agree with this post! Teaching children about financial literacy from a young age is crucial because it lays a strong foundation for their future financial success. When children learn how to manage their finances early on, they are better equipped to make informed decisions about money and avoid costly mistakes in the future.
By understanding these concepts early on, children can develop good habits that will serve them well as they grow older and start managing their own finances.
True. The importance of finances and saving can ensure children that can have a better future. Useful and insightful.
Financial literacy is so damn important! We women are earning like men now or even more so it’s imperative to be independent in managing our finances too. However I also feel this is an added chore to our already long list of tasks,
I cant express you how much I agree with your post. Even when I was a student i dont know how I developed a habit of saving which unfortunately always pointed by my mom as a nature of being money-minded. But I am glad that I had that habit and which actually helped me understand the meaning of financial independence… I am also a MBA in Finance. I will also make my baby financial literate and I already started planning for it.
I agree, absolutely. I have lost everything that my husband worked hard for as I didn’t know anything about his savings or investments. Even now I do not understand how to save and where to invest. Schools teaching it is fantastic.
Very useful post. Kids these days learn many things easily & faster than we did. Starting off their financial training will help them manage life better.
Absolutely agree with you. Financial literacy is something that should be taught in school from an early age. Children should learn the value of money and measures to preserve and help it grow further.
My husband always stresses on these points. He very strongly believes that kids should be taught financial literacy in school to make them better prepared for the future. Learning how to save and invest at a young age is very important.
A very nice post, must say. Being financial literate in today’s world is very important. This will help solve alot of issue and at the same time teach us how to save.
I totally agree with You Jeanie. I started to to teach my child when she turned 6. She save HER money and took first gift for herself. I hope i Will able to give money knowledge. Because her school syallbus don’t have such thing which is really important.
I absolutely absolutely agree with you Jeannine… I wish they would make our kids financially literate in schools n I don’t understand why the educational system doesn’t think it’s imp. I’m so glad that your kid is learning it. I have made so many wrong financial decisions when I first started to work n this whole vicious cycle of loans n credit cards… if only we had learnt in school
I also feel we need to be educated about money from early childhood. It is a primary survival source and it needs a logical hand.