Compassionate Capitalism - August 2006

Financial Smarts Get a Jump Start

From Nevada Coalition

by Lynne Montel

While learning the ABCs is the basis of every child’s education, understanding how to deal with personal finances is equally important to a successful life. A recently completed nationwide biennial survey of 5,775 high school students by the Jump$tart Coalition for Personal Financial Literacy revealed only 22.7 percent of the students understood that interest on savings accounts may be taxable if one’s income is high enough – and only 40.3 percent realized they could lose their health insurance if their parents become unemployed.

The students taking part in the survey did demonstrate a slightly higher aptitude and ability to manage financial resources such as credit card, insurance, retirement funds and savings accounts than they did in a 2004 survey. One reason is the local grassroots efforts of state coalitions like Nevada’s Jump$tart Coalition – a statewide, all-volunteer association of individuals and organizations representing business, government and education, dedicated to improving the financial literacy of children and young adults.

According to President and CEO Russell Hafen, the coalition’s goal is to promote the development of lesson plans to teach personal finance principles to students from kindergarten through 12th grade. They present plans for youth financial literacy education to the Legislature, state Board of Education, teaching professionals and the business community.

“We are actually a clearinghouse,” said Hafen. “We do not write or produce the materials. What we do provide is the resource information, details and contacts so parents and teachers know whom to contact. Our Web site lists sources that provide free materials, pamphlets and books on a wide variety of financial topics. Teachers can order and use these low-cost and no-cost materials to support our state’s standards in economics, business, math and family and consumer science education.”

The coalition has received excellent support from the Clark County School District, said Hafen. “They have been a great help, giving us access to teachers and providing meeting space for our workshops. If we are failing in financial literacy in our schools, our quarterly teacher workshops are one solution. They help teachers learn the skills they need in these very specific areas. Without a standardized curriculum, it is like flying blind. That is what we are trying to address as an organization,” he remarked.

Jump$tart is also currently working towards accreditation for the workshops so teachers can receive credits for on-going education hours when they attend. The oganization offered a full-day workshop in Southern Nevada in June involving more than 50 teachers. Speakers for the workshop covered a broad range of topics, including investing and home-buying. A speaker from NEFE – National Endowment for Financial Education – conducted a session on personal finances. The Clark County School District provided meeting space at the Curriculum and Professional Development Building.

“While we have programs geared to younger students, our primary focus is junior high and high school students,” explained Hafen. “Currently, the school districts do not offer classes or classes or a curriculum that directly address personal finances – the real-world finances that all of us must deal with every day. That is why it is so important for us to have the outstanding support we have locally from businesses and other organizations. We need the resources to help us work towards legislation to expand school courses to include more detailed financial basics.”

Some of the Coalition’s primary supporters include Nevada Federal Credit Union, McGraw Hill, Boulder Dam Credit Union and Silver State Credit Union.

The Nevada Jump$tart Coalition, organized in 2004, is an affiliate of the National Jump$tart Coalition for Personal Financial Literacy formed in Washington, D.C. in 1995.

Text box:
Nevada JumpStart Coalition
For Personal Financial Literacy
www.nvjumpstart.org.

Lynne Montel
Lynne Montel Sloane is a freelance writer based in Southern Nevada.