It seems like finances is a topic that a person either loves or hates. It can be boring and overwhelming to some, but to others it can be exciting and motivating. Regardless, I think we can all agree that finances are important. When working with youth, it’s crucial to speak of finances positively.
According to The Children’s Defense Fund (2018), “1 in 6 children in America live in poverty- making them the poorest age group in the country”. Children are considered poor if they live in a family with an annual income below the Federal Poverty Line of $25,701 for a family of four. (Children’s Defense Fund, 2018). The impact of being poor as a child can have lasting lifelong impacts. Poor children are more likely to have poor academic performance, drop out of high school and later become unemployed, experience economic hardship and be involved in the criminal justice system. Children who experience poverty are also more likely to be poor at age 30 than children who never experience poverty.
What can we do to ensure our youth are financially prepared? Teach them! “Young People still need to be taught the basics,” says Dan Kadlec, contributor to TIME Magazine and Rightaboutmoney.com. “Live within your means, pay yourself first, save 15% of what you earn. These are timeless values that technology can help with – but only once you understand the need and set a plan into motion.” (How to Teach Kids about Money, 2020)
If you know a youth that could benefit from financial literacy take a look at this article. It has great information on how to teach kids about money beginning as a toddler throughout their teen years.