Issues of Financial Education in Young People

[Mika]

What is the major issue among young people when it comes to finances?

Young people are taught everything, geography, literature, maths, science, history, and sex education, however, they are never taught about investing.

Imagine your monthly salary is $5000. If you put 10 percent aside, by the time you are 60 years of age, you are already a millionaire. Nobody teaches them that.

Even when young people choose finance and investment as their major subjects in college, they are not taught how to manage personal finances. The teachers and professors themselves have never invested, they have never worked in a company, all they do is tech theories, and they don’t teach practical implications of what they are teaching. Professors are not financiers and investors.

Our educational system is teaching people to become nerds (someone who has theoretical knowledge, with no practical implications). You need to be a geek (someone who can utilize the knowledge gained in the college classroom).

 

[Jasmine]

Everyone needs financial skills. No matter what you do, if you do not have financial education, it is really difficult to manage your money. When don't know how to mange your money, you will end up becoming poor all through your life, and you will, be facing financial hardship always. Let's say you are a teacher and you teach English. Every month you receive your pay check. If you do not have any financial education, you will have no knowledge on how to spend it. When you don't know how exactly you should be spending your money, you will run out of money weeks before you receive your next salary. Let's say you any how manage to make wise spending, but if you still lack financial education, you might not have any money left when you need money for emergency need. Let's say you have set up your emergency funds, but if you have not invested, you will remain poor all your life.