There has been a concern surrounding the lack of financial management skills in pupils after they graduate highschool.This essay will be covering the factors that leads to this deficiency and will suggest potential solutions.
This problem can be attributed to the absence of financial eduation in school, and the insufficient knowledge on money management skills from parents. Schools focus more on traditional subjects such as mathematic, science or english preparing students for standardlized testing, overlooking the importance of financial literacy. To illustrate, a studies conducted by the National Endowment for Financial Education revealed that is it only mandatory for high school students to take a personal finance course in 17 states. As a result, postgraduates enter adulthood with inadequate amount of money management skills. Therefore, they won’t know how to budget, save nor invest money – an essential ability further in life. In additional, parents is also a significant contributing factor to the learner’s financial responsibility. Parents and the environment an individual grow up in will substantially impact their ability. Since mothers and fathers are a primary role model and educators, thus if they themselves aren’t well-equiped with this knowledge or neglecting to teach their children about money, it is hard for these children to be financially responsible.
Nevertheless, there are still potential solutions to this problem. Governments or educators can incorporate financial lessons into the curriculum, which would help students be more aware of managing money. They can make classes where students can learn how to spend money responsibly. Moreover, parents can also contribute by educating their child about the value of money from a young ago. Small chores such as going grocery can teach valuable lessons on money management.
In conclusion, the lack of money management skills of students after they graduate are due to schools inadequate lessons on finance and parent’s avoidance to teach their children or little knowledge on the subject. Fortunately, young people can still be responsible financially with the alteration in the school’s curriculum and the help from their guardian.