The following guest post comes from Kathy Ruby, Senior Manager of College Finance at College Coach and former senior financial aid officer at St. Olaf College and Shippensburg University of Pennsylvania.
I recently returned from the National Association of Student Financial Aid Administrator (NASFAA) Conference, an annual financial aid administrators gathering. When I was a Director of Financial Aid, I attended this conference regularly to network, stay up-to-date on federal regulations, and learn about the most effective ways to serve students and families. It was great to reconnect with my former colleagues and learn about the hot issues in financial aid offices today as a College Coach educator.
Before you know it, these youth will be entering the workforce, potentially bringing large student loan debts with them that can stress and distract them from their jobs. And without education on personal finance topics, these employees' financial stresses may not end with the final student loan payment. Consider these financial stressors: mortgages, credit and auto loan payments, graduate school costs, and even saving for their own children's education.
I recently returned from the National Association of Student Financial Aid Administrator (NASFAA) Conference, an annual financial aid administrators gathering. When I was a Director of Financial Aid, I attended this conference regularly to network, stay up-to-date on federal regulations, and learn about the most effective ways to serve students and families. It was great to reconnect with my former colleagues and learn about the hot issues in financial aid offices today as a College Coach educator.
Financial Literacy and Tomorrow's Workforce
The topic of financial literacy education came up again and again during the conference. In our complex and fast-paced economy, the lack of financial awareness among our youth is a critical issue that financial aid officers encounter daily. According to the National Financial Educators Council, almost two-thirds of 15-18 year-olds recently scored less than 70% on the National Financial Literacy Test. The test measures teens' knowledge of personal finance topics, and perhaps more importantly their motivation to understand how it impacts their lives and to learn money management skills. In addition, the Organization for Economic Cooperation and Development reports that American teens are just average at financial literacy, lagging well behind youth from other countries like China, Australia, and New Zealand.Before you know it, these youth will be entering the workforce, potentially bringing large student loan debts with them that can stress and distract them from their jobs. And without education on personal finance topics, these employees' financial stresses may not end with the final student loan payment. Consider these financial stressors: mortgages, credit and auto loan payments, graduate school costs, and even saving for their own children's education.