We all know the person I am going to talk about. The bright, shining star who was the ace at academics at school and went to the best university. Fast forward 20 years and that ace isn’t quite the ace anymore. Yes, he went to the best universities, and landed the best jobs, but without really understanding money, to him it was nothing more than a means to pay his bills. He had lost the greatest opportunity to become financially independent because he did not have the knowledge or cultivated the interest.
To put it bluntly, financial literacy is the foundation for prosperity and personal security. Without money, or adequate amounts of it, our lives are less filled and our dreams remain just that. This is the hard truth that not only families need to face, but also countries.
Without harnessing the inherent financial temperament of a nation, you cannot start a discussion of poverty reduction and equitable socio-economic growth.
As a nation, financial literacy is probably the single biggest missing component of our national fabric. A sound financial understanding at the grass roots level, gives rise to economic development that bypasses all established and hindering socio-economic barricades. A sound financial understanding allows citizens to take measured risks and prevent the kind of choking debt that is so prevalent today. Those living in low income “forgotten” areas, would have far better opportunities if they understood the means to get them. The cost to society, to the government and to their own families would be less.
In the same way, the single most easy way to set up our kids for success, is to provide them with a financial understanding at a level they can understand, appreciate and develop an interest in. Every parent should be asking themselves today “Is my child prepared to manage money tomorrow?”.
If the answer is No, then it is really time to look at how to provide them with a level of Financial Literacy in a way which makes sense for them. www.ExplorerHop.com