These states poised to pass personal finance education laws this year
Lee Jimenez, an educator at Indian Hill Elementary School, Cincinnati, Ohio discusses how credit cards work and the best methods to pay them with his class of third graders using SmartPath, an online financial education curriculum.
There is momentum personal finance education becomingMany states have laws.
More states may pass legislation in this year’s legislative session to provide instruction for high school students.
John Pelletier is the director of Champlain College’s Center for Financial Literacy.
According to him, personal financial education was stagnant before the pandemic of coronavirus. However, financial literacy was essential for all students during the recession and pandemic layoffs.
Pelletier explained that what seems to be propelling these bills forward, is a catastrophe.
According to Next Gen Personal Finance (a non-profit), Georgia is likely to be the state that passes the personal finance education requirements.
The state’s two chambers passed SB 220 which would have required all high school students take at least half credit in financial literacy courses to be eligible for graduation. It will start with the school year 2024-2025. To become law, the bill needs to be signed by Governor.
South Carolina may also soon adopt legislation that mandates personal finance education. S16, the bill that South Carolina has in place, is currently being considered by conference committee. According to Tim Ranzetta (co-founder Next Gen Personal Finance), South Carolina won’t need personal finance courses once Georgia’s bill has been signed into law.
“I believe there is an element of [fear of missing out]Ranzetta stated that this trend was occurring between the two states. Ranzetta stated, “That’s why you’re seeing the trend.”
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In the next few months, Michigan may also move legislation. The bill, which would have required a personal finance class for high school graduates to earn half credit in the state House of Representatives passed in December. It is likely that the state Senate will take up the bill in May.
An omnibus Minnesota education bill would require that all high school students who start in 2023-2024 take at least one half-credit course on personal finance to be eligible for graduation. New Hampshire also has an education bill that includes personal finances on the list of essential elements to an adequate education.
There are currently 12 states who adhere to Next Gen Personal Finance, the gold standard for personal finance education. This means that high school graduates will need at least half credit of a standalone personal finance course.
According to the 2022 Census, 23 U.S. states have some form of financial education requirement. Survey of the StatesFrom the Council for Economic Education. 47 of the 50 states have language regarding personal finances in their education standards. However, many do not require courses.
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Research shows that parents and students want more personal financial education at public schools.
Next Gen Personal Finance reports that 80% support courses in financial literacy are supported by California, Florida Florida Georgia Michigan, South Carolina and Michigan.
Legislation in my state has been also passed with bipartisan support. Sometimes, the overwhelming majority of both parties are present. You can find out more at www.in. Florida, for example, the bipartisan legislation was passed unanimously in March.
Ranzetta said, “It is one of those commonsense issues which cuts across political parties.”
What comes next?
Parents may not agree with this statement. that it is their responsibility to teach their kids about money, instead of them learning it at school.But few are doing the work,Many parents have not had the opportunity to receive great financial education.
It is up to the state education boards, however, to incorporate personal finance education into laws.
Next Gen Personal Finance reports that 61 bills related to personal finance education were introduced in 26 states by 2022. Still alive are 47 bills from 20 states. This means that they might become law one day.
Advocates encourage legislation that requires financial literacy. They also look at whether each bill is of high quality and includes teacher training. Students need qualified, confident teachers who can clearly explain finances.
Michael Sheffer, education director at, stated: “Teachers want personal finance training so that they can give their best to students.” FoolProof FoundationFree financial education curriculum available to students and teachers at.
He said that teachers have been able to get better education because of the increased demand for personal finance courses. This trend is expected to persist. Next Gen Personal Finance’s goal is to have every student in high school take at least one semester of personal finances by the time they graduate in 2030.
Sheffer says they are well on their way to make that happen.
He stated, “This is the snowball going downhill now. It’s getting larger and bigger.”
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