BOISE, ID – The Idaho House fast-tracked a bill that would require high schools to offer a financial literacy class. House Bill 92 was quickly and unanimously passed. It now moves on to the Idaho Senate for consideration.
HB 92 was first introduced on February 6th by first-year Representative James Petzke (R-Meridian), and if approved, would fulfill a new graduation requirement. It is a top legislative priority for new Idaho State Superintendent Debbie Critchfield and the goal is to have it in place by July 1st.
The measure’s language declares there is an “emergency” need for the legislation and calls for each school district, specially charted district, and public charter school serving students in grades 9 through 12, or any combination thereof, to provide to all students one or more courses in personal financial literacy and money management.
This instruction must include several core competency areas, including recognizing the influence of money on human behavior; learning about various types of bank accounts; evaluating various investment options and how to calculate net worth; learning about various types of credit and how credit rating is determined; understanding the essentials of financing a college education; evaluating various types of insurance associated with independent living; recognizing the purpose of the tax system and how it relates to each citizen and the citizen’s income; building a budget for independent living; and recognizing and utilizing modern consumer skills, tools, and practices.
“This bill would make it a requirement for all high schools in the state of Idaho to teach a class in financial literacy. The class should teach students the basics of real-world personal finance and how to make sound financial decisions in their everyday lives. This class will fulfill a graduation requirement for financial literacy,” according to the bill’s Statement of Purpose.
All curricula for this program will be created using freely available sources. There will be no known impact on the general fund.
“Giving your kids a good foundation and teaching them about money matters is critical for their personal development. Showing children the basics such as how to budget, spend and save will establish good money habits for life,” Idaho Financial Literacy Coalition says on its website. “In a time of credit cards, internet banking and online shopping, children don’t often see people buying products with physical money like notes and coins. Not seeing money exchanged for purchases makes it harder for kids to get their heads around what things cost.”
The Coalition suggests that parents talk to their children about money often to help them make this “invisible money real.”
Courtesy of Idaho Financial Literacy Coalition
