Sarang Ahuja: Should Schools Teach Personal Finance?

As a society we expect a lot out of our growing children. Many individuals who are no longer children do not necessarily think about the way in which we structure society for those young adults. However, upon closer examination, there are obstacles put up by society that make it even more difficult than ever for young people to get started out in life. To make matters worse, little is often done to formally prepare them for these challenges.

One of the solutions to the problems that young people face is not knowing enough about personal finance. While the onus at least partially falls on parents to ensure that kids learn some level of financial literacy, the school system should be held responsible as well. On the bright side, it seems that state and local governments are starting to realize the extent of the issue and are finally taking action.

There are now seventeen total US states that require that high school students take a personal finance class before they are allowed to graduate. This number is a lot higher than it has been in previous years. More states are joining in as they see the value in having a financially literate population. Of course, a lot of this boils down to getting high school students engaged and interested in personal finance in the first place.

Reaching students can be done using the technologies ubiquitous to everyday life. Through devices such as smartphones, students can be taught the lessons they need to learn about finances. It is something that many teachers do when it comes to other subjects such as math or reading, so why not for this as well? There are already expectations in place for school as a place to teach youth about how to thrive in the world after college, and financial literacy gives them a huge edge.

Interactive smartphone apps are all the rage when it comes to teaching personal finance. Believe it or not, there are a number of personal financial apps that could be very helpful to students. A few of these are listed on Investopedia.com. These include things like Mint, You Need A Budget, and Acorns. Each takes on a different aspect of personal finance, but all are easy to teach from.

The fact of the matter is that more high schools than ever before really are doing their part to teach students how personal finances really work. We must encourage more of them to continue to follow suit with this and educate even more of our students. Whether they're going into a career in finance or just looking to create a good life for themselves, it falls to schools to give youth a better financial start.

About The Author: Sarang Ahuja is a Baltimore-based Principal Analyst for Constellation Energy. A lifelong passion for finance has propelled him through his career, where he has become adept at wearing multiple hats. Some of his skills include investment evaluation, risk analysis and management, industry and sector assessment, and construction of valuation models. Sarang also enjoys playing poker, participating in World Series of Poker tournaments every year.