A bill worth passing

“Students beginning 9th grade in the 2023-2024 school year and later must successfully complete a personal finance course for credit during their senior year of high school. The course must include but is not limited to the following topics: creating a household budget; taking out loans and accruing debt, including how interest works; home mortgages; how to file taxes; the impact of student loan debt; and how to read a paycheck and payroll deductions. A district may provide a personal finance course through in-person instruction, distance instruction, or a combination of in-person and distance instruction.” Minnesota  HF 4207

The language for this proposed bill came in an email message yesterday from an outfit called Next Gen Personal Finance. They must have sent me an email before since the message was in my spam folder. I have no idea if they have a hidden agenda or political motive, but I have to agree with their mission statement: “By 2030, all U.S. high schoolers will be guaranteed to take at least one semester-long Personal Finance course before graduation.”

It’s been a goal for which I’ve advocated many years.  In “If they let me design the math curriculum,” Blue Skunk, February 8, 2011, I ranted:

I've talked to a number of adults who, like me, are fairly well convinced that they could not graduate from high school today given the "rigorous" math curriculum requirement. (algebra, trigonometry, calculus, etc)

And I am damn sure the majority of the legislators and business leaders who think four years of math is essential for every student couldn't either.

But as I think about it, four year of math is a great idea - we just need to start teaching the right kind of math - consumer math. 

In my school days, "consumer math," was a euphemism for dummy math. You can't hack algebra or trig, Consumer Math class is for you. Ironically, today's graduates need "consumer math" a heck of a lot more than trigonometry. In such a course I would include:

• Calculating interest rates on credit cards and other consumer loans.
• How to do your own income tax returns - state and federal.
• Determining both the rate of return and maintenance cost on mutual funds and other investments.
• Reading and interpreting statistics in the media.
• How to spot a Ponzi scheme (or how to run one).
• Applied statistics: chance of wining the lottery, odds of paying higher taxes because you make over $250,000,  likelihood of inheriting a large sum of money when none of your relatives are rich, etc..
• Creating a personal budget and retirement plan.
• Understanding the current federal, state and local tax codes and determining the percentage of total income paid by different levels of income earners,
• Doing cost/benefit comparisons of medical, life, health, car and home insurance policies.
• Converting measurements from metric to English - applied especially to medications.
• The fundamentals of entrepreneurship.
• And just a dose of bullshit literacy for good measure.

I'm sure you could add to this list rather quickly. I don't know who is qualified to teach it - maybe curmudgeons after retirement? Can we please get alternative licensure?

It would be pretty easy to create similar classes that would replace the traditional physics, English literature, and government classes as well - just to show I'm not picking on math. Trouble is, there may not be enough curmudgeons to go around to teach them.

Of course this won't happen. Both businesses and governments depend on ignorance for their survival.

One major addition to the list above would be how to use personal technology to many of the tasks above. Balancing a checkbook seems moot anymore when you can check your account balance anytime. Spreadsheets for cost analysis seem imperative. Knowing how to keep one’s financial information safe and private is a must-teach.

This might just be the one bill this legislative session worth contacting my representative about. 

Comments

[Kenn Gorman]

I have been teaching a short Excel unit each year - when I ask my former students what they wished i would have spent more time on they likely say "Excel".

I am planning on using most or all of the list you have above (and give you credit) next school year.

I usually cover simple things like a car payment, college debt, savings, and part-time jobs. I really like the additions you have.

Also gives me more time to geek out with Excel...

[Doug Johnson]

Applied use of any tech tool is a perfect strategy for teaching!

Doug