Kids don’t know enough about money. Where it comes from, how it gets earned, spent or saved. For the most part there is not enough money education in the schools. Here in Massachusetts that is beginning to change.

I found in my research that there is nothing mandated by law. The only state that requires kids get financial education is West Virginia which recently enacted laws that would require kids in highschool to receive some financial education.  But in my opinion we need to start much younger.

State treasurer, Tim Cahill, initiated a voluntary program for elementary school kids in grades 3 thru 6 titled, “Savings Makes Cents.”  It is a banking program for elementary school children, which focuses on the ABC's of money management. It is voluntary on the part of the school so if your school isn’t using the program talk to the principal and school committee.

The program gets schools and banks to work together to teach children basic monetary concepts, including how to open a savings account, the origin of money and basic budgeting skills. Saving Makes "Cents", partnering with over 170 financial institutions, is now in over 400 schools across the Commonwealth.

The State Treasurer's office provides an educational curriculum, which is taught by classroom teachers and bank representatives. In addition, a bank representative works with the teacher to establish opportunities for students to open savings accounts and make deposits right at their school.

What about highschool? According to Teenage Research Unlimited, a teen marketing research firm:

· On average, teenagers spend approximately $5,400 each year.
· Collectively, teenagers spend more than $172 billion annually and about 40% of that is spent on clothing
· Teens spend 98% of what they earn.
· More students drop out of college due to debt than for academic reasons. 

Here in Massachusetts we have a voluntary program for our highschools, the Highschool Financial Literacy program known as the HiFi program which is managed thru the Office of Consumer Affairs and Business Regulation that makes available a financial curriculum suitable for high school aged students. Interestingly it is not managed by the Department of Education which is where I think it belongs.

The program provides teacher training (self-directed on-line training or in-person training sessions), professional development credits for teachers, instructor manuals, curriculum workbooks for students, a clearinghouse of evaluated, effective resources/materials to enhance the curriculum and a speaker’s bureau by city or town—all free of cost to participating schools and organizations. 

If it is not your school ask the principal, the superintendent and the school committee why not.

There is no mandatory curriculum for financial education in our school systems. Should there be when so many programs like art and music are being cut because of lack of funds? I think so! We are not giving our kids the practical life skills they need to function in the world. We teach them to read, to write and how to add numbers but we neglect an important life skill, money management. We should be teaching money skills to kids as early as first grade!

Money lessons can start as soon as the kiddo realizes you exchange money for goods. And this at first may be a hard concept for the kiddo may only see you handing the clerk your credit card. You give the store clerk your credit card and in exchange you walk out of the store with groceries, shoes, clothes or books or you buy gas at the pump. With a little help kids get the fact that we use money as an exchange. Try using real money while shopping. Have them play “grocery store” at home and have them make change. They will learn to count and they will get the concept that you exchange money for goods.

They don’t need a lecture about the Monetary System of the United States or how the Federal Reserve Bank controls the interest rate, a very simple explanation will do. Geared to their age. Tell them how Mommy or Daddy go to work every day to earn money. Maybe mommy is a schoolteacher and her job is to teach the children in her classroom. She gets paid for her services teaching school. When she gets paid by her boss, the town, she deposits her money in the bank in her own account, her checking account. And when she wants to pay her bills or buy something she can use her money to pay for it.

No matter where you are, if you have the kids you can turn it into a money lesson. Instead of throwing groceries in the cart and trying to race out of the store, shop when you have a bit more time. Compare prices, sizes and nutrition. Involve your child in the decisions making process of the purchase. They learn best by being involved.