Scribd Logo
Upload

Welcome to Scribd!

  • 172 views

    The Importance of Being Financially Literate

    Uploaded by

    May Anne Almario
    The document discusses the importance of financial literacy for students. Having little knowledge of financial management can negatively impact students' academic performance, health, employment opportunities after graduation. The document defines financial literacy as using skills and knowledge to process financial information and make decisions understanding the consequences. It provides tips for improving financial literacy such as reading financial books, getting guidance from a counselor, taking classes, and using online tools and accounts. Resources from the Department of Treasury website mymoney.gov can also help with making financial decisions.

    Copyright:

    © All Rights Reserved
    Download as DOC, PDF, TXT or read online from Scribd

    The Importance of Being Financially Literate

    Uploaded by

    May Anne Almario
    172 views1 page
    The document discusses the importance of financial literacy for students. Having little knowledge of financial management can negatively impact students' academic performance, health, employment opportunities after graduation. The document defines financial literacy as using skills and knowledge to process financial information and make decisions understanding the consequences. It provides tips for improving financial literacy such as reading financial books, getting guidance from a counselor, taking classes, and using online tools and accounts. Resources from the Department of Treasury website mymoney.gov can also help with making financial decisions.

    Original Title

    Financial literacy.doc

    Copyright

    © © All Rights Reserved

    Available Formats

    DOC, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    The document discusses the importance of financial literacy for students. Having little knowledge of financial management can negatively impact students' academic performance, health, employment opportunities after graduation. The document defines financial literacy as using skills and knowledge to process financial information and make decisions understanding the consequences. It provides tips for improving financial literacy such as reading financial books, getting guidance from a counselor, taking classes, and using online tools and accounts. Resources from the Department of Treasury website mymoney.gov can also help with making financial decisions.

    Copyright:

    © All Rights Reserved
    Download as DOC, PDF, TXT or read online from Scribd
    Download as doc, pdf, or txt
    172 views1 page

    The Importance of Being Financially Literate

    Uploaded by

    May Anne Almario
    The document discusses the importance of financial literacy for students. Having little knowledge of financial management can negatively impact students' academic performance, health, employment opportunities after graduation. The document defines financial literacy as using skills and knowledge to process financial information and make decisions understanding the consequences. It provides tips for improving financial literacy such as reading financial books, getting guidance from a counselor, taking classes, and using online tools and accounts. Resources from the Department of Treasury website mymoney.gov can also help with making financial decisions.

    Copyright:

    © All Rights Reserved
    Download as DOC, PDF, TXT or read online from Scribd
    Download as doc, pdf, or txt
    of 1

    The Importance of Being Financially Literate

    Understanding basic money management skills such as living within a budget and
    handling credit and debt is very important for students. Having little or no knowledge
    regarding financial management can affect students in many different aspects of their
    life. It can affect their academic performance, mental and physical well-being, and even
    their ability to find employment after graduation (Bodvarsson & Walker, 2004; Lyons,
    2003, 2004). The 2013 Consumer Financial Literacy Survey , conducted by Harris
    Interactive, reports that only 40% of Americans have a budget, 26% don’t pay their bills
    on time, 60% of adults have never checked their credit scores and 65% have not
    viewed their credit report. Therefore, being financially literate is important and
    understanding this topic may help student’s lead better lives.

    What does it mean to say that one is “financially literate”? Mason and Wilson (2000)
    defined financial literacy as a “meaning-making process” in which individuals use a
    combination of skills, resources, and contextual knowledge to process information and
    make decisions with knowledge of the financial consequences of that decision.
    Becoming financially literate does not mean learning from trial and error but managing
    finances proactively. Here are a few tips to improve financial literacy:

    Educate oneself by reading financial books about setting financial goals and saving
    money

    Get guidance from a financial counselor to successfully manage your finances and
    reduce debt

    Take classes within your local community that offer information about finances

    Set up accounts through websites which provide resources and tools to assist you with
    making good financial decisions

    Becoming financially literate can show you how to budget, manage debt, approach
    investing in a disciplined way, and set up a retirement account. These are healthy
    financial skills to incorporate into your life style and share with others in your household.
    The Financial Literacy and Education Commission (FLEC) have developed a national
    strategy to promote financial literacy and education. As a result, the Department of
    Treasury has created a website, www.mymoney.gov, which provides resources on how
    to make the best financial choices during major life events. The resources within this
    website provide background information, helpful guidance, and hints and tips to assist
    with various financial decisions.

    You might also like