High-school students in Louisiana must now complete a financial literacy course before graduation. The goal of this new requirement is to equip students with essential skills and knowledge to make informed financial decisions as they transition into adulthood. Louisiana is now the 22nd state in the U.S. to make personal finance classes a prerequisite for graduation.
The classes will cover essential topics such as the various types of bank accounts offered, learning how to balance a checkbook, basic principles of managing money (spending, credit, credit scores, debt, savings and investments), applying for a loan, receiving an inheritance, tax knowledge, and so much more.
“This could be a game changer for our citizens,” said state Rep. Nicholas Muscarello, who authored a bill to make this new legislation happen. Muscarello believes that the move will be especially impactful for low-income communities.
If you graduated from high-school a long time ago and wish that something like this existed when you were still studying, fear not – the best personal finance courses can teach you important knowledge at any age.
The Benefits of Taking a Personal Finance Course
Participating in a personal finance course provides essential knowledge and skills that can help you set the stage for a more secure future. First, personal finance courses teach you how to create and manage a budget, enabling you to track expenses, set financial goals, and allocate resources effectively. This skill is fundamental to achieving financial stability, helping you live within your means and avoid unnecessary debt.
Additionally, these courses cover essential topics like saving and investing. You’ll learn about different savings strategies, the importance of emergency funds, and how to make smart investment choices. Understanding these concepts enables you to grow your wealth over time, plan for retirement, and navigate the complexities of the financial markets. Another crucial aspect is debt management. Personal finance courses educate you on strategies to reduce and manage debt, helping you avoid the pitfalls of excessive borrowing and high-interest payments.
Moreover, these courses often touch on important life events, such as buying a home or planning for major expenses. They provide guidance on making significant financial decisions, ensuring you’re well-prepared for significant milestones.
Lastly, personal finance courses can improve your overall financial literacy. You’ll become familiar with financial terminology, understand how credit works, and be better equipped to decipher complex financial products, which is essential for making informed choices throughout your life.
Initiatives like the new Louisiana legislation are a step towards making financial literacy accessible. But it’s never too late to improve your own knowledge through a personal finance course.
Name: Carolina d’Arbelles-Valle
Job Title: Senior Digital PR Specialist