April is National Financial Literacy Month. That’s a big deal to us at JA, since financial literacy, in addition to entrepreneurship and work readiness, is one of the three pillars that guide our programs.
So, what exactly is financial literacy?
Financial literacy is understanding how money works – how to earn money, spend wisely, save for the future, invest and give back. And, it’s more important now than ever.
According to statistics compiled by Gen Y Planning, only 40 percent of U.S. adults keep a budget and track their expenses and 76 percent report that they live “paycheck to paycheck.” Savings aren’t looking so great either. A full 50 percent of respondents said that they have less than three months of expenses saved up, while 27 percent reported that they have no savings at all. This is all the worse given that the average time a person spends unemployed after losing a job is more than 7 months!
Junior Achievement is dedicated to teaching young people the importance of building strong personal finances for a happy and secure life. We hope you’ll check back in with us throughout April as we share tips on how to improve your financial literacy, teach your children about managing money and how JA is helping!