** Governor baker signs financial literacy bill into law on january 10, 2019**
The new financial literacy bill will require the state Department of Elementary and Secondary Education to develop standards and objectives on personal financial literacy, for grades kindergarten to 12. The curriculum will include understanding loans, borrowing money, interest, credit card debt, and online commerce; as well as banking, housing, retirement and taxes.
Financial literacy education is lacking in U.S. schools
Massachusetts is among the latest states to sign a law to establish financial literacy standards in MA schools.
The Brookings Institution reports that lacking youth financial knowledge and skills threatens their future financial-well being. Financial education in school will create brighter financial futures for individuals and the country.
The Council for Economic Education's 2018 Survey of the States reports there is no progress in financial literacy education in our schools in recent years.
The 2017 Champlain Making the Grade Study shows that more than half of the states received a C or lower in financial literacy education.
U.S. students fall in the middle of the pack among OECD countries for financial literacy, according to the OECD Programme for International Student Assessment (PISA).
U.S. Students are struggling under mounds of debt
Many students are ill-prepared to take on student loans and suffering the consequences. Read the Student Loan Serenity Prayer in the New York Times on February 10, 2018.
Student loan debt levels are unprecedented and college graduates are paying a hefty price. Read the 5 Facts about Student Loans as reported by the Pew Research Center on August 24, 2017.
Student loan debt levels reached $1.5 trillion in the first quarter of 2018.
FINANCIAL HABITS OF YOUTH AND YOUNG ADULTS
A Cambridge University study show that by age 7, most financial habits have been formed.
USA Today reports that parents should talk to kids about money at age 12 or younger.
Millennials struggle with personal finance according to a PWC study on financial habits and attitudes.
Millennials are fin-tech savvy but fall short on financial literacy according to the TIAA Institute and GFLEC.