We need financial education! (and it should be taught in schools)

[makie]

Great points owrange.

For me, financial literacy is one aspect that we either have overlooked or haven't taken into serious consideration. Filipinos are industrious and hard working people. Looking for money is never a problem but keeping and knowing how to make money grow is another thing.

I strongly agree with what you said that it's about culture change. Schools are of great influence to the people and if they would only consider inserting financial education into the curriculum, I think that it would be a great leap towards prosperity for a lot of people and for the future.

[rom69erz]

i feel ur sentiment TS. usa ra gyud problema nato ani, gi anak ta nga pobre....

[makie]

i feel ur sentiment TS. usa ra gyud problema nato ani, gi anak ta nga pobre....

I feel the sentiments of those who are struggling financially. I've been there too and realized that aside from the discipline aspect, we badly need a strong foundation of financial literacy.

I hope that sooner or later this thread could serve it's purpose and open the minds of students and give it a serious consideration.

[Ironwood_Cebu]

i know a lady who's a personal finance professional (she's a US registered financial planner) who gives financial literacy seminars to students - high school and college studes - and professionals too.

she carries no affiliation with insurance and/or pre-need companies around so you are rest assured that what she gives are independent and true assessment of one's financial capabilities and status.

[makie]

Money Saving Tips for Students

It is easy to get caught in the rush of things when you are in college. In the midst of studying, part-time jobs, socializing and extracurricular activities that you have, you are most likely to forget one of the most important things, which is straightening out your finances.

Here are some tips on how you can save money as a student:

1. Plan ahead.

If possible, do this even before you move into your dorm room.

Check if you are eligible for scholarships and other grants before signing up for any form of student loan.

Construct a cash flow. First, where do you expect to get money from? Make a list of your income, be it from your parents, your student loan or your part-time job.

Then forecast your expected monthly or weekly expenses for food, books, etc. Once you have set aside a budget, be strict with yourself and stick to it.

You will never know what unexpected expenses would come your way so it is better to have a downfall for financial emergencies.

2. Save on food.

One of the major expenses that you have as a student which you might have ignored when you were still living with your parents is your food allowance. Avoid eating at fast food outlets, as this is most likely to ruin your budget. Pack your lunch and plan your meals as much as you can.

3. Take full advantage of student discounts.

Those IDs in your wallet are not just for show. Student IDs and memberships in organizations are honored in several establishments which offer discounts.

Also, patronize a certain establishment regularly and you are bound to get bonus cards for being a loyal customer.

4. Use your cash as much as you can.

Since you already have a draft of the items where you will spend your money, it is easier to monitor your cash flow. Avoid using your debit card when you have cash with you. Use your credit cards or write checks only in emergencies. Having debit cards, credit cards and checks handy might lead you to overspend.

5. Keep yourself busy.

Join clubs according to your field of interest.

Keeping busy will let your mind wander and help you stay away from things that you are likely to spend money on when you get bored. Examples of these are snacks, movie tickets or game rentals.

Essential Money Saving Tips For Students – Personal Finance Blog by Debit versus Credit|Personal Finance Blog by Debit versus Credit

[Tirong-say]

It requires monetary capital to become an entrepreneur and as well as it requires business acumen that is somehow instinctive not really acquired. For someone the most straightforward way of earning money is through rendering services and as the only conceived prospect source of income, whilst no monetary capital to start a business, most of us focused closely in acheiving the requirement that is proper education.

Then when working nowadays financial knowledge as to enhance one's skill is really taken for granted, because the most common used economics it just to make both ends meet, in such a fashion of how to satisfy the monthly subsistence requirement with the meager monthly salary.

I think financial education is still at it's infancy when it is applied all through out, for it is not yet adoptable for everyone for the most practical use. Still for those who had the capacity to be in the financial world, there are business oriented courses like business administration for instance from which they can gather the necessary knowledge as to guide them towards their chosen venture.
just my two cents.

[Metz]

i know a lady who's a personal finance professional (she's a US registered financial planner) who gives financial literacy seminars to students - high school and college studes - and professionals too.

she carries no affiliation with insurance and/or pre-need companies around so you are rest assured that what she gives are independent and true assessment of one's financial capabilities and status.

why would someone connected to the finance industry give a FALSE assessment?

It requires monetary capital to become an entrepreneur and as well as it requires business acumen that is somehow instinctive not really acquired. For someone the most straightforward way of earning money is through rendering services and as the only conceived prospect source of income, whilst no monetary capital to start a business, most of us focused closely in acheiving the requirement that is proper education.

Then when working nowadays financial knowledge as to enhance one's skill is really taken for granted, because the most common used economics it just to make both ends meet, in such a fashion of how to satisfy the monthly subsistence requirement with the meager monthly salary.

I think financial education is still at it's infancy when it is applied all through out, for it is not yet adoptable for everyone for the most practical use. Still for those who had the capacity to be in the financial world, there are business oriented courses like business administration for instance from which they can gather the necessary knowledge as to guide them towards their chosen venture.
just my two cents.

Actually you dont need to be an well funded to apply your financial knowledge. Effective and consistent saving can free you from poverty, although most of the time sa old age na nato ma enjoy kay dugay man, but at least you can end the poverty cycle in your generation. Business is another vehicle to get rich but in our country where most have "employee mentality" maypa mag save lang sa. Kay at least ma discipline nila ilang kaugalingon then they might have a bigger chance in business if an opportunity comes.

And if naglisod sa pay check, try to check how you spend your money and discipline yourself to eliminate the "wants". If eliminated na and kulang ra gihapon, then time to get a second job or get promoted. Its only ourselves who can change our future.

In countries with high financial literacy, people are willing to work at least two jobs to make sure they are insured.

[makie]

Some sad and disturbing facts about how poor people's financial literacy is. If we think that the Philippines and third world countries are the only ones that are hit hard, we're wrong.

In a 2005 study conducted by the Organization for Economic Co-operation and Development (OECD), it was found out that:

• In Australia, 67% of respondents indicated that they understood the concept of compound interest, yet when they were asked to solve a problem using the concept only 28 per cent had a good level of understanding.
• A British survey found that consumers do not actively seek out financial information. The information they do receive is acquired by chance, for example, by picking up a pamphlet at a bank or having a chance talk with a bank employee.
• A Canadian survey found that respondents considered choosing the right investments to be more stressful than going to the dentist.
• A survey of Korean high-school students showed that they had failing scores - that is, they answered fewer than 60 per cent of the questions correctly - on tests designed to measure their ability to choose and manage a credit card, their knowledge about saving and investing for retirement, and their awareness of risk and the importance of insuring against it.
• A survey in the US found that four out of ten American workers are not saving for retirement.

OECD is an international economic organization founded in 1961 to stimulate progress and world trade.

Conclusion? We are proficient in a lot of skills. We have a lot of competent doctors, engineers, and other professionals yet aren't financially sound. Now, does it make sense why the economy sunk?

Dealing with finances is a skill and people who are financially sound are people who get well off in life. You can never be a doctor if you don't know anatomy, you can never become an engineer if you're not proficient with industry and technology. It's the same way as finances, you can never be financially free if you don't know how money works.

Hence, it does really make some great sense to insert financial literacy in schools.

[Tirong-say]

why would someone connected to the finance industry give a FALSE assessment?



Actually you dont need to be an well funded to apply your financial knowledge. Effective and consistent saving can free you from poverty, although most of the time sa old age na nato ma enjoy kay dugay man, but at least you can end the poverty cycle in your generation. Business is another vehicle to get rich but in our country where most have "employee mentality" maypa mag save lang sa. Kay at least ma discipline nila ilang kaugalingon then they might have a bigger chance in business if an opportunity comes.

And if naglisod sa pay check, try to check how you spend your money and discipline yourself to eliminate the "wants". If eliminated na and kulang ra gihapon, then time to get a second job or get promoted. Its only ourselves who can change our future.

In countries with high financial literacy, people are willing to work at least two jobs to make sure they are insured.

Okay Bro thanks for the insights,
Noted....

[z3robeLow]

Isn't financial literacy incorporated in higher elementary (grade4-7)? hmmm
I remembered back then, we were already given insights about the ability to understand finances.
And by grade 7 we already have ability to make informed judgements and effective decisions about the use and management of our money(allowance at that time).

I know for one USC Montessori Academy has this.. My nephew studies there and asks me a lot
re: financial literacy every now and then. I guess it depends with the school huh!

Geez.. if wala gi-offer sa school.. parents should take it upon themselves.. after all, learning starts at home. (problema kay ang parents otro di kibaw)