CU Edge Preview: Exploring the Ripple Effects of Financial Literacy
By Molly McKim, Communications Editor
This month, we celebrate the 22nd anniversary of Financial Literacy Month, highlighting the ongoing importance of financial education in our ever-changing world. Financial Literacy month provides an opportunity for individuals, families, and communities to focus on improving their financial knowledge, deepen understanding of money management, and set themselves up for financial success.
We’ve seen the power of financial literacy – studies show that individuals with a better understanding of their personal finance are more likely to make and follow budgets, avoid high-interest debt, and achieve long-term retirement. However, financial literacy goes beyond securing your finances—it sets you up for your future, empowers your community, prepares you for financial emergencies, and can even help with your mental health.
Learning Starts Early
According to the National Endowment for Financial Education, as of 2024 only 26 states require high school students a personal finance course before graduating, with many of these states in their implementation phase. So, if a child isn’t learning about personal finance at home, it’s likely they aren’t learning it at all. Financial literacy provides an opportunity for young people to start making smart financial decisions early, so they can set up a strong future for themselves.
When young students learn the basics of financial education early, they can develop good saving habits and financial awareness at a formative age. A good grasp of financial literacy at a young age helps foster financial wellness and go beyond merely ‘surviving,’ whether they enter the workforce or head to college after they graduate high school.
Read the full article in the upcoming edition of CrossState’s CU Edge and to read more about our financial education highlights for Financial Literacy Month.