Here’s one thing Virginia is getting right: financial education in high schools.
Virginia is one of only five states that require high school students to have financial education or demonstrate financial literacy in order to graduate. That earns Virginia a grade of A from the Center for Financial Literacy at Champlain College in Vermont.
John Pelletier is director at the center. “I commend the public policy initiative in Virginia, and what you guys are doing in that state. You are a leader in this space, and I hope that many more states follow your lead.”
But does financial literacy education really improve financial outcomes and behaviors? One study from 2014 concluded that it had a minimal impact.
But Carly Urban at Montana State University says research since then has shown financial education requirements in high school improve financial decision making. “It’s been a moving wave in the last couple of years. There’s been an increase in the states that are passing these financial education reforms, and I think understanding what’s happening and keeping our eyes on the landscape is really important so we can see how we can maybe increase the policies in other states.”
Click here to read the full report from the Champlain College Center for Financial Literacy
Members of Congress are currently considering a bill that would make the kind of financial literacy education that happens in Virginia a requirement for all states.
This report, provided by Virginia Public Radio, was made possible with support from the Virginia Education Association.
