Financial Literacy for Students | EVERFI (2024)

Does Financial Literacy Education Work?

Research from the Consumer Financial Protection Bureau found that financial skill and financial self-efficacy are strongly associated with financial behavior, and so are key steps on the path to financial well-being. In this context, financial skill is knowing how to find, process, and take action based on information and self-efficacy is confidence in one’s ability to reach financial goals.

How to Get Financial Literacy Education in Schools?

EVERFI works with partners to secure funding so that all of our digital financial literacy resources, training, and support are completely free to teachers, districts, and families.

What is the Difference Between Financial Literacy Education and Financial Literacy?

Financial literacy and education are very similar and work together – while financial education means that people can understand complex financial concepts, financial literacy supports them to put these concepts into action.

What is Financial Literacy?

Understanding and being proficient in the use of different financial skills, such as investing, budgeting, and personal financial management, is known as financial literacy. The cornerstone of your relationship with money is laid out by financial literacy, which is a lifetime learning process. The earlier you begin, the better off you will be as education is the secret to financial success.

What is the Difference Between Financial Literacy And Financial Education?

Financial literacy and education are very similar and work together – while financial education means that people can understand complex financial concepts, financial literacy supports them to put these concepts into action.

Why Financial Education is Important for Students?

Prior to taking part in financial education, less than a third of high school juniors and seniors

reported that they felt prepared to compare financial institutions and select one that best meets

their needs (32%). Slightly more students -- but still less than half (47%) -- felt they could select,

open, and manage a savings or checking account.

What are the 5 Principles of Financial Literacy?

In general, there are 5 main principles of financial literacy:

  1. Earn
  2. Save and invest
  3. Protect
  4. Spend
  5. Borrow
Are Bank Accounts Required to Learn Financial Education for Students?

No, our digital lessons help students learn more about financial education without a bank account.

How our financial literacy programs helps students.

Our financial literacy programs are designed to equip students with the knowledge and skills necessary to make informed and effective decisions with their financial resources. They introduce students to key concepts such as budgeting, saving, investing, understanding credit, and planning for the future. By understanding these concepts, students are better prepared to navigate the financial decisions they'll encounter in their daily lives and in the future. In addition, these programs also help students develop critical thinking skills that can be applied to financial situations, fostering financial independence and responsibility. By partnering with established organizations, like EVERFI, we ensure the content is engaging, relevant, and age-appropriate.

How to start a financial literacy program

To start a financial literacy program for students, first understand the needs and abilities of your targeted age group. Curriculum for younger students should cover basic concepts like the value of money, saving, and distinguishing between wants and needs, while older students may delve into more complex topics like budgeting, investing, credit, and taxes. Once you've identified the relevant topics, develop engaging and age-appropriate educational materials or identify existing resources that could be used. Partner with schools or educational institutions to deliver the program and provide training for teachers if necessary. Incorporate interactive activities and real-world examples to make learning more practical and engaging. Lastly, create an evaluation method to assess the effectiveness of the program and make necessary improvements over time. Starting a financial literacy program for students can be significantly streamlined by partnering with a company that already has established programs, such as EVERFI. By partnering with EVERFI, or similar organizations, you gain access to a wealth of educational content that has been tested and proven effective. This can save considerable time and effort in developing a curriculum from scratch. In addition, these companies often provide support in implementing the program and training educators. Therefore, such a partnership can be a highly effective strategy for introducing a comprehensive and high-quality financial literacy program to students.

What does financial literacy mean?

Financial literacy refers to the understanding of various financial skills, including personal finance management, budgeting, investing, borrowing, earning, saving, and the utilization of financial resources. These abilities hold significance for knowledgeable decisions regarding investments, financial resources, and personal financial health. Financial literacy encompasses comprehension of budgeting, investing, credit and debt, planning for savings and retirement, understanding taxes and insurance, and navigating financial institutions and systems. Possessing these skills provides individuals with the capacity to steer through financial decisions they encounter and to make informed choices about their money management. In the absence of financial literacy, individuals may end up making unfavorable financial choices, which can lead to adverse consequences in the long run.

Financial Literacy for Students | EVERFI (2024)

FAQs

How can financial literacy help you as a student? ›

With that said, financial literacy enables them to navigate student loans, scholarships, and work-study opportunities, ultimately reducing the burden of student debt.

What is everfi financial literacy? ›

EVERFI: Financial Literacy for High School is a digital education program that teaches students how to make wise financial decisions to promote financial well-being over their lifetime.

What should you do before you approach an ATM in Everfi? ›

What should you do before you use an ATM? Inspect the ATM and its surroundings to make sure it is safe to use. Ask someone nearby for help using the ATM. Share your pin number with trusted friends so you don't forget it.

Should all high school students be required to take a class on financial literacy? ›

A 2022 survey of adults nationwide showed that nearly 90% support a financial literacy requirement in high school, and nearly as many wished they had taken such a course when they were students.

What are the three most important aspects of financial literacy? ›

Financial literacy is the knowledge and ability to manage your money in a way that helps you grow stability and feel confident and resilient. Key aspects of financial literacy are budgeting, saving and managing debt.

How to teach financial literacy in the classroom? ›

Students can learn important concepts like budgeting and debt through engaging video modules, real-world simulations, and interactive games. Teachers can also provide real-world examples when it comes to understanding important topics like taxes through our free educational version of TurboTax.

Is EVERFI legitimate? ›

Yes! EVERFI courses are created with state standards in mind.

Is EVERFI free for students? ›

EVERFI is implemented for free in schools and community organizations across North America. Available at no cost thanks to partners across North America who share this mission and invest in these programs.

What are 3 things you can do while using an ATM? ›

ATMs complete the following transactions: cash withdrawal from checking or savings account, deposit into checking or savings account, balance inquiry, and transfer. Debit cards are a part of the automated teller machine system and can be used to make purchases at most businesses.

What 4 things can you do at an ATM? ›

ATMs are convenient, allowing consumers to perform quick self-service transactions such as deposits, cash withdrawals, bill payments, and transfers between accounts.

What are some of the biggest financial risks of using an ATM machine? ›

Skimming Devices: Criminals may attach skimming devices to ATMs to steal card information. These devices can be challenging to detect and can lead to identity theft. PIN Theft: Thieves may use hidden cameras or other techniques to capture Personal Identification Numbers (PINs), putting customers' accounts at risk.

Why is financial literacy not taught in schools? ›

We don't have enough instructors to teach finance classes (see reason #1) Personal finance isn't part of the ACT or SAT – if it's not tested it's not taught. Education is up to the states, not the feds, and each state has different ideas. There isn't much agreement as to which finance concepts would be taught.

Why teach financial literacy? ›

A strong foundation of financial literacy can help support various life goals, such as saving for education or retirement, using debt responsibly, and running a business. Key aspects of financial literacy include knowing how to create a budget, plan for retirement, manage debt, and track personal spending.

What is the saving rule? ›

Key Takeaways

The 50-30-20 budget rule states that you should spend up to 50% of your after-tax income on needs and obligations that you must have or must do. The remaining half should dedicate 20% to savings, leaving 30% to be spent on things you want but don't necessarily need.

Why should students be taught financial literacy? ›

Teaching financial literacy at a younger age helps children develop healthy, lifelong financial habits. The main principles of financial literacy include earning, saving, investing, protecting, spending, and borrowing.

How financial literacy can help you make good? ›

Bottom Line. Financial literacy can help you make better financial decisions, save you money and help you avoid unnecessary debt.

How can financial literacy help you in your daily life? ›

Financial literacy also promotes better decision-making in everyday life. From choosing the right bank account to understanding the terms of insurance policies, mortgages, and other financial products, having a solid understanding of financial concepts empowers you to make choices that align with your best interests.

How can personal finance benefit me as a student? ›

Students who are required to take personal finance courses starting from a young age are more likely to tap lower-cost loans and grants when it comes to paying for college and less likely to rely on private loans or high-interest credit cards, according to a study by Christiana Stoddard and Carly Urban for the National ...

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