Car payments being missed more ...

[Fifth87]

That's always true because those are the vehicles that get repossessed. It seems to me the bad guys are the lenders who approve the loans in the 1st place.
Personal finance needs to be taught in schools to give people a fighting chance. Oh yeah, and arithmetic...

Why schools don't teach personal finance is just plain dumb. Perhaps not being able to have a solid curriculum based on the ever changing economy? If it was, I'd like to think that the average citizen as a whole would do better.
My personal approach? I practice financial austerity. I have the discretionary income, but choose to save instead.
Hopeless old cars are my vice.
I know it doesn't work for most everyone, but having witnessed a parent in poverty and homelessness left an indelible mark on me.

 

[CKN]

Why schools don't teach personal finance is just plain dumb. Perhaps not being able to have a solid curriculum based on the ever changing economy? If it was, I'd like to think that the average citizen as a whole would do better.
My personal approach? I practice financial austerity. I have the discretionary income, but choose to save instead.
Hopeless old cars are my vice.
I know it doesn't work for most everyone, but having witnessed a parent in poverty and homelessness left an indelible mark on me.

Some states do-

General Financial Literacy (GFL)​

Key concepts of general financial literacy are taught throughout Utah’s K-12 educational system, culminating with the General Financial Literacy course required for high school graduation. This half-credit course, designed for juniors and seniors, covers financial planning, career preparation, money management, saving, investing, and more. The course aims to prepare students to effectively manage their finances and achieve their financial goals. This course is essential for students to understand the personal and societal consequences of financial decisions.

BTW-some choose to save- even a well funded emergency situation account is completed. I don't see any point in savings so my kids can inherit it and then have one drive a twenty year old car-but that's just me.

But the above seems to be a badge of honor in our generation.

 

[SC Maintenance]

Why schools don't teach personal finance is just plain dumb. Perhaps not being able to have a solid curriculum based on the ever changing economy? If it was, I'd like to think that the average citizen as a whole would do better.
My personal approach? I practice financial austerity. I have the discretionary income, but choose to save instead.
Hopeless old cars are my vice.
I know it doesn't work for most everyone, but having witnessed a parent in poverty and homelessness left an indelible mark on me.

Sorry, but this is more uninformed drivel.

Over half the states require financial literacy course in high school - either stand alone or part of a more complete business course. South Carolina is one that does.

Almost every state offers it as an elective - either stand alone or part of a more complete business course.

Even before the state mandated it most districts required it anyway - because local school boards everywhere have control of electives. So even if you want to blame government - you need to blame your local one, not some nameless target far away.

As usual - blame the schools or teachers, never the parents or personal responsibility

 

[Fifth87]

Sorry, but this is more uninformed drivel.

Over half the states require financial literacy course in high school - either stand alone or part of a more complete business course. South Carolina is one that does.

Almost every state offers it as an elective - either stand alone or part of a more complete business course.

Even before the state mandated it most districts required it anyway - because local school boards everywhere have control of electives. So even if you want to blame government - you need to blame your local one, not some nameless target far away.

As usual - blame the schools or teachers, never the parents or personal responsibility

Uninformed, apparently so.
Drivel, I would have to disagree. It is my opinion.
Nor am I blaming the schools, or government, it was me thinking aloud. If one is not fortunate enough to have parents or family to educate you on financial literacy, one would hope that the school system would be able to. But, as I now am aware, classes are available and I think that is fantastic. My statement is based on my experience in two different school systems in different parts of the country, 25+ years ago.
Financial illiteracy is a thing.

 

[97prizm]

Makes you wonder about the people who paid the inflated prices some dealers charged over list during the pandemic when supplies of new vehicles were tight. We had lots of threads about that. Have the buyers still been able to make their payments on that Bronco or RAV4 they bought for $90,000 then?

It was real unfortunate if you HAD to buy a vehicle during the pandemic getting raked over the coals.

 

[SC Maintenance]

Uninformed, apparently so.
Drivel, I would have to disagree. It is my opinion.

It was an uneducated slight / blame. It did not seem to be wishing.

Why schools don't teach personal finance is just plain dumb

Perhaps not being able to have a solid curriculum based on the ever changing economy?

Curriculum outside of core requirements are driven by local school boards in this country. If you feel its so important and your schools don't offer it you can get involved, volunteer, speak at the board meeting, etc.

 

[JeffKeryk]

Sorry, but this is more uninformed drivel.

Over half the states require financial literacy course in high school - either stand alone or part of a more complete business course. South Carolina is one that does.

Almost every state offers it as an elective - either stand alone or part of a more complete business course.

Even before the state mandated it most districts required it anyway - because local school boards everywhere have control of electives. So even if you want to blame government - you need to blame your local one, not some nameless target far away.

As usual - blame the schools or teachers, never the parents or personal responsibility

I am guilty of making the high school finance comment. I just read about 2/3 of the states having a mandate. So I am mistaken regarding current education. Great news, IMO. But I do believe this is a relatively recent change; it was not taught when I was n HS.

Regarding blame, there is plenty to go around. I find it hard to blame parents as a whole, because how can they teach what they don't know?

I wonder who can tell me the difference between a stock and a bond, what an index fund is, the time value of money, mutual funds, ETFs, etc.

And I wonder who puts money away out of their paycheck before anything else?

 

[wander2039]

I had one of those classes, I graduated in 98. Didn’t do much good. When your bombarded in ads with everything flashy financial well being is the last thought. I got older and wiser thankfully at 30ish. Parents need to step up and guide their kids, granted most parents need it more than the kids. That might be the key.. parent/kid classes. I’m teaching my two, I already know they’ll start out better than I did.

 

[JeffKeryk]

I had one of those classes, I graduated in 98. Didn’t do much good. When your bombarded in ads with everything flashy financial well being is the last thought. I got older and wiser thankfully at 30ish. Parents need to step up and guide their kids, granted most parents need it more than the kids. That might be the key.. parent/kid classes. I’m teaching my two, I already know they’ll start out better than I did.

@wander2039 can you tell me, high level, what the class went over? Was it a semester, a year, or ?
I am very curious. I am also quite the fiscal conservative. AKA cheapskate. I also only partly listen to my Schwab Wealth Advisory team because I am a knucklehead...

Thanks in advance.

 

[MaximumMini]

I know a couple of legitimate multimillionaires and they all drive cars under $40,000

You know, being a millionaire is subjective and subject to the winds of change.
If you're a Millionaire in Venezuela, well then you can afford a loaf of bread.....once a month.

 

[Fifth87]

It was an uneducated slight / blame. It did not seem to be wishing.




Curriculum outside of core requirements are driven by local school boards in this country. If you feel its so important and your schools don't offer it you can get involved, volunteer, speak at the board meeting, etc.

It wasn't meant to be a slight or blame. Poor choice of wording. My apologies, I meant no offense. As far as getting involved, if I had the education or knowledge to make a legitimate difference, I would do so.

 

[MaximumMini]

Remember Obama's "Cash for Clunkers" program?
That left the new car industry in a spectacular position...and why many paid WAY too much for a new car back then.
The used car market was bleak. SO MANY great vehicles terminated too early to benefit the manufacturers.

 

[SC Maintenance]

It wasn't meant to be a slight or blame. Poor choice of wording. My apologies, I meant no offense. As far as getting involved, if I had the education or knowledge to make a legitimate difference, I would do so.

I apologize if I was overly aggressive on this topic. It has come up here countless times - "the schools need to teach personal finance." Its exceptionally frustrating.

My frustration should not have been directed specifically at you. I apologize.

 

[supton]

I had one of those classes, I graduated in 98. Didn’t do much good. When your bombarded in ads with everything flashy financial well being is the last thought. I got older and wiser thankfully at 30ish. Parents need to step up and guide their kids, granted most parents need it more than the kids. That might be the key.. parent/kid classes. I’m teaching my two, I already know they’ll start out better than I did.

I don't recall seeing it in high school... but in my case, it was close to senior year in college--and I did engineering of all things. Didn't sink in then. Wasn't until I was 36 that I "woke up". Ironically from bickering(?) right here on BITOG. Finally did my research and realized what I was doing wrong.

I'm all for teaching kids in high school (and college!)... I just have my doubts as to it actually sinking in. Like some things, it takes repeated exposure IMO. Teaching in school might be a good first step. But perhaps talking about it on social media is required too. You might not be able to make a horse drink--but if you wait long enough, it's bound to get thirsty.

 

[JeffKeryk]

Knowledge is power. I cannot disagree that many or most will ignore personal finance informaton, but ya gotta try. As others have posted, keep at it.
I know the other side of life. Money scares me.

 

[CKN]

You know, being a millionaire is subjective and subject to the winds of change.
If you're a Millionaire in Venezuela, well then you can afford a loaf of bread.....once a month.

Anybody who has a home in Southern California is a millionaire..........on paper.

 

[MaximumMini]

Knowledge is power. I cannot disagree that many or most will ignore personal finance informaton, but ya gotta try. As others have posted, keep at it.
I know the other side of life. Money scares me.

The government and the IRS don't go after broke and homeless people very often.
Having assets puts you on the radar.
Property and inheritance taxes assures the government (The House) will always win.

 

[Number_35]

As usual - blame the schools or teachers, never the parents or personal responsibility

But that assumes the parents have the knowledge to pass on to their children.

My parents didn't - they were not good with money. They weren't bad people or at all irresponsible, they simply didn't know anything about finance.

The double whammy was that Dad, an academic, didn't know how to do auto and home maintenance and repair, so although he made good money, there was never enough.

I've had to learn whatever I know about finance on my own. I wish I'd had a head start by learning about finance in school.

In the same way, my parents were not able to teach me math or science or carpentry or auto mechanics. It wasn't their fault - they didn't know.

(In my opinion) schools are supposed to teach things that children can't or won't learn at home.

 

[Number_35]

BTW-some choose to save- even a well funded emergency situation account is completed. I don't see any point in savings so my kids can inherit it and then have one drive a twenty year old car-but that's just me.

But the above seems to be a badge of honor in our generation.

That's me (almost - vehicle is a 2007).

I wouldn't say it's a badge of honour, but my answer as to why I drive an older vehicle is because I can - it does everything we need, comfortably, safely, and reliably. If I were not able to do my own maintenance and repairs, we would be better off to have something newer.

My dad passed away deeply in debt - I would rather err on the other side.

 

[Mechanician]

Many things are left to parents to teach their children, as it should be.
School is one place that society can inject some information that a child would not otherwise receive.
But curriculum is decided on a local level, may be the reason there are areas with notable poverty?