“We are not taught financial literacy in school. It takes a lot of work and time to change your thinking and to become financially literate”
– Robert Kiyosaki
Wikipedia says that Financial literacy is the ability to understand how money works in the world. How someone manages to earn or make it, how that person manages it, how he/she invests it (turn it into more) and how that person donates it to help others. Very aptly written, this is the simplest and best way of explaining Financial Literacy.
Time and time again I feel that, kids are not equipped with financial knowledge that they should have by the age of 15. At schools they don’t teach anything related to the money system or basic concept of how the world works. A question arises –
“Why is this world turning its head away, when it comes to imparting knowledge on money management for kids ?”
Is it because if kids become financially aware of basic things as they grow up, will it be difficult for financial institutions or wealth management companies to carry out their businesses? Will it become difficult for stock trading brokers to mint money by fooling people around? Will it be difficult for enterprises to come out with financial statements every year, because there will be more people to question their sales/ profit?
“We learn everything related to science, chemistry, history or math. Then there comes the real world that understands only one thing, that is money!!”
In my opinion, we need interactive sessions for kids of different age to understand how the money works. How to budget, manage all the financial products using a spread sheet or a financial tool, earn easy bread, see investment opportunities that lies ahead of them and many more. Parents and teachers should inculcate these habit.
Let us make sure our kids will grow up learning about money. As they say it in “Silicon Valley” – Let’s make this world a better place to live. Your thought on this really matters, please do share!
Came over an article a week back which is on the same line as expressed above. Loved the way they have depicted it. Cheers!