Michigan Jumpstart Coalition

noreply@blogger.com (onestepatatime) — Wed, 15 Sep 2010 18:53:00 +0000

Money Night Talk

Rebuilding from our financial crisis, the importance of good financial education is becoming more widely embraced. I often wonder how we got to this dismal state of financial wherewithal in the first place. Logically, we shouldn’t struggle with money as much as we do. It would make sense that tried and true behaviors were taught and carried through the generations.

Unfortunately discussions regarding money are often taboo or only superficial at best. In my book Wealth Is a Choice, Principal 16 is titled appropriately - Share the Wealth of Experiences (good and bad). I believe, as probably most of us do, that we have much to share and learn from others in order to make better decisions with money. We just need to do it (share) effectively.

Jean Chatzky, financial journalist and JumpStart member, is hosting a National Money Night Talk for Thursday September 16th leading the way for parents and children to talk about money. She’s encouraging everyone to go to www.moneynighttalk.com for helpful videos, material and dialogue starters. The information is age specific, having a “Tips for the Talk” section with great resources for middle school, high school and college.

I spoke with Jean about the event and she is genuine in her effort to increase the financial education around the country. She personally wrote the material herself, and will be reviewing the welcomed feedback at www.moneynighttalk.com. Her latest book, Not Your Parents’ Money Book, was largely written through her discussions and experiences with students. She’ll be using and sharing the information learned tomorrow night to help improve future events. So please be sure to share your thoughts and ideas with her. Teachers can use the opportunity as an excellent homework assignment.

Financial security is important, and especially to Michigander’s as we have more to recover from than much of the rest of the country. Let’s show the country how much we value financial education by visiting the site on Thursday September 15th and committing to having more open financial discussions with our children or parents.

Thanks!

James Studinger
Vice Chair – www.mijumpstartcoalition.org
Author – Wealth Is a Choice
www.jpstudinger.com

From Rug Rats to Riches: Feed the Future Millionaire...

noreply@blogger.com (Wealth Is a Choice) — Tue, 06 Jul 2010 14:35:00 +0000

Click Here to watch Fox video

Many who make good decisions with their money were somehow influenced at a younger age. Parents can foster future millionaires, or miss the opportunity and run a greater risk of developing long term dependents.

I spoke to Lee Rogers, a fellow member in the Michigan JumpStart Coalition, a non-profit charged with bringing financial education to our youth. “Most kids aren’t learning what they need to in order to succeed financially in life, and parents are missing a perfect opportunity to help them learn”.

The summer break is an ideal time to help your children establish lifelong financial habits.

One of the best methods is to lead by example
Take your kids shopping and talk with them about why you stick to a budget. Compare prices, and demonstrate how to find bargains. Tell the importance of investing, and the power of starting early. Show them how you invest for retirement. Talk about college costs. If you are helping with their education and are investing into a 529 plan, show them how it works and what you might expect to get from it.

Use the Lemonade Stand and other entrepreneurial endeavors as a teaching moment
On my way home yesterday I saw a lemonade stand destined for losses. Yes, lemonade stands are born on the basis of profit. You take a very low cost ingredient, mix it into water, and fill it in a cup for a huge profit margin.

Rather than the typical folding card table with a scribbled picture taped to the front, this stand looked like a miniature street market vendor. Cute, but is it necessary? I went on-line when I got home, and that model cost upwards of $200. That takes a heck of a lot of glasses of lemonade to make a profit.

No matter how small the entrepreneurial endeavor your child might partake this summer, use it as a first rate lesson on making a profit. I’d even recommend going so far as to collect some of their earnings as cost of good sold, or even rent for equipment. It doesn’t have to be much, but it helps identify natural business processes.

Give children incentives to save their money
Steve uses an incentive similar to company 401k matching. “I match any portion of their earnings that they put into the bank account. Once in the bank, it’s deemed as long term money, to be used for college years. One child utilizes the match more than the other, but it gets them to save more than they would otherwise”. Some parents impose a mandatory savings rate between 20% and 40%.

Use allowance or chores to teach work ethics and financial reward
Some parents give an allowance as building a family unit, where they all share in the work and they all share in the bounty. I like to also offer opportunities for special jobs or home projects. You can pay children equally for a job well done, and other times pay them separately based on how much each child did. It shows them that there are different ways to get paid, demonstrating the advantage of a concerted team approach or individual commission.

Teach them the value of property, and the cost of replacing it
Joan told me a story about her son who ruined the flowers in her front garden. “I made him go to his piggy bank and take the money out to replace all the flowers. He hasn’t played in my flowers again.”

They are not too young to start investing
Jonathan explained how he gets his kids to appreciate investing. “I encourage them to invest their earnings into a Roth IRA, and then I give them some spending money in return. If investing in stocks, make it interesting or you’ll lose them. If they are into technology and games, look for stocks in that field. Compare a few different companies and decide which one makes the most sense.”

Instead of giving money as a gift for his kids or their friends, he gives stock. “I had my first brokerage account at age 13, you can’t start too early.”

James Studinger is the owner of JPStudinger Group, a Financial Advisor firm in Bloomfield Hills MI and author of Wealth Is a Choice and Vice Chair of the Michigan JumpStart Coalition. He offers securities and investment advisory services through NFP Securities, Inc., Member FINRA/SIPC. NFP Securities, Inc. is not affiliated with JPStudinger Group. www.jpstudinger.com email to james@jpstudinger.com. 248-643-6550

Step In with the Current of Financial Education!

noreply@blogger.com (onestepatatime) — Fri, 16 Apr 2010 17:03:00 +0000

I’m from the U.P. and love to trout fish. As a young boy, I learned how to navigate my way through rivers where much larger men were pushed underwater. My dad taught me how to use the current as a key catalyst to help me get to where I was going, while others dismissed the current as important or even tried to fight it.

The current for financial literacy is definitely flowing, and gaining speed. We have Money Smart Week, National Financial Capability Challenge, Obama’s Declaration for April 2010 to be Financial Literacy Month, and now Michigan House Representatives have declared April to be Youth Financial Literacy Month (summarized below).

River currents alone won’t catch fish, but they can help to take you to the place where fish are. We can use the financial currents to bring awareness and real improvements in others lives, helping financial education become mainstream.

House Resolution No. 246 - Youth Financial Literacy Month - was sponsored by Michigan House Representatives Scripps, Bolger, Robert Jones, Kandrevas, LeBlanc, Liss, Lund, Mayes, Neumann, Rogers, Tlaib and Valentine.

To summarize from the bill, it encourages the informed use of credit and other financial products and services to beneift individuals and business for a better future. It recognizes that when these sklls are learned early, it will encourage personal responsibility and the ability for all income levels to achieve more in life. It recognizes the difficulties of the past decade financially for many people. Our youth are our greatest assets, and at the core to the solution is through increased financial education so that our youth are better prepared to succeed.

As stated in the resolution, it ...encourages all citizens to participate in the aims and goals of this effort by raising public awareness about the need for increased financial literacy in our schools and among our children.

Step in the water and use the currents in your job or organization to help further the cause of all your hard and important work.

I learned early on that it’s much easier to catch fish when your head is above water!

James Studinger
Vice Chair – Michigan JumpStart Coalition
Author of Wealth Is a Choice

The Hero's of 2009

noreply@blogger.com (Wealth Is a Choice) — Thu, 31 Dec 2009 19:36:00 +0000

The Hero's of 2009

The curtains are closing on a rather auspicious year as 2009 shrugged off early January warnings of global collapse and disaster. We now gratefully welcome the New Year that abounds with new opportunities, accompanied with a healthy dose of relief. Having dodged the bullet, but for how long it is unclear.

Year end TV brings year end reviews of world events. This, being the end of a decade, brings ten years of accomplishments and follies. Maybe it’s our infatuation with drama and the extreme, but the shows are filled with scandals, corruption, cheating and abuse.

If it were not for pilot Chesley “Sully” Sullenberger landing his plane safely on the Hudson, some shows would have found nothing to offset their crisis ridden commentary.

Was it the case in the year 2009 that the world was run amuck with villians and far too few prime time heros?

Maybe. But if the hero’s have not emerged as television individuals, they are growing as communities, families, non-profits, and citizens of our nation stand up and take ownership in our country.

With a force as powerful as freedom, this massive wave of grass roots heros could tip the scales toward long term prosperity. Perhaps sparing us from the havoc many yet warn is inevidible.

But it will take an effort no less impressive than the will of the people to get us back on track.

And if individual responsibility is born out of the disgust of what 2009 and preceding years had to offer, then we can look back on this year as a catalyst and a great one indeed.

Working together, we can carry the momentum into 2010 and bring financial literacy to schools throughout the state!

Have the Happiest of New Years!

James Studinger

An Obvious Answer to Our Economic Crisis

noreply@blogger.com (onestepatatime) — Wed, 04 Nov 2009 13:39:00 +0000

In the midst of the country's economic meltdown, I cannot think of a better subject to teach children and youth than personal finance education! It amazes me how the MI Jumpstart Coalition has to beg the MI Department of Education and the Legislators to make this a mandatory class for every student. How could this possibly be in question when during the winter of 2009, the average score of Michigan high school seniors on the National Jumpstart Student Survey (http://www.jumpstart.org/) was only 54%? Isn't it yet understood that the recent financial crisis was caused largely by lack of financial education? Therefore isn't it obvious that the cure is in us providing financial education?

I was not offered a single course in personal finance during my K-12 public education, or throughout the pursuit of my master's degree at my public institution here in MI. I thank God that my parents taught me the value of money and how to save. What about the majority that do not get that privilege? Today's crisis is evidence of the problems created! Our society is living the ramifications of this void, while leaders are still debating if they can fit this course into a students education.

If budget constraints might be a concern in making this decision, the MI Jumpstart Coalition (http://www.mijumpstartcoalition.org/) would like to inform school officials that the National Jumpstart Coalition has a Clearinghouse with tons of free and low cost curriculum and resources that will meet state standards. Let's give personal finance a try and watch the next generation succeed, rather than have the negative debt ratio like has occurred in today's U.S. population.

When we put our teenager behind the wheel of a car, we make sure that they complete a training course. How about we steer our children straight by requiring they all know how to operate their personal finances, prior to learning from society to spend more than they earn.

Lois Gibbons is the Chair for the Michigan JumpStart Coalition and Consultant/Educator with the Harmony Financial Network - http://www.harmonyfinancialnetwork.net/

Blog - Financial Literacy Legislative Update October 2009

noreply@blogger.com (onestepatatime) — Mon, 12 Oct 2009 21:33:00 +0000

I spent sixteen years of my life in school learning, eventually molding my brain to be sufficiently competent to earn an honest living. The goal was to get out from under the comfort of mom and dad’s roof and start a life of my own. Would you believe that in all those 20,000 plus hours of classroom study, not to mention after school homework, only a handful of those hours dealt with how to be successful with my income?

The sales guy at Discover Card spent more time with me than that. Just an impressionable freshman in college, you can imagine the financial impact that had.

Does anyone else find that odd? That we allocate such a small amount of education to teaching our children how to thrive with money? Is it any wonder we find ourselves in such a state of financial despair?

In a town hall meeting with Representative Geiss (HB 4511) and Representative Sheltrown (HB 4410), I learned of their ongoing efforts to modify current high school graduation requirements. Sheltrown’s suggested overhaul would move financial literacy from “elective” status to the superior echelon of “requirement”. In doing so, financial literacy would finally become a standard class offered in most of the schools throughout the State.

JumpStart, diligent at bringing financial education to kids in Michigan, immersed in the legislative bills, met with government, legislators and their aides, and testified during a House Education Committee meeting.

We are seeing schools and students struggling under the MMC requirements. It appears many schools are limiting resources to the core graduation requirements over electives. One such tragedy is at Brighton Schools. Glenna Fritz may be teaching her last financial literacy class after years of empowering students as it appears they are shutting down the program.

Last week I went to Lansing to gather more information and visit Senators offices on the Education Committee. While making a case for financial literacy, I was told that they were hearing from many constituents on the subject. Every call, every letter, and every email you send to legislators and those making decisions on this help a great deal.

In despair, knowledge is the key to recovery. Our state has some of the highest unemployment, budget imbalances, and foreclosures all while the auto industry is cutting the umbilical cord of security. We need to remove the unknowns of managing life and money, and educate our students so that they can succeed in this economic reality they are graduating into.

I have not found anyone yet who disagrees. Let’s all keep working together to help make the vital subject of money become mainstream classroom study, improving lives for generations to come.

I welcome your comments and ideas on this post. Or, feel free to email me at James@jpstudinger.com.

James Studinger
Author of Wealth Is a Choice
Vice Chair of the Michigan JumpStart Coalition

Victory for Michigan's Children!

noreply@blogger.com (Diane Knudson) — Thu, 04 Dec 2008 13:58:00 +0000

Congratulations Personal Finance supporters! Personal Finance Education is now a reality for MI Students!

What a historic time in our State! On Tuesday of this week, Senate Bill 834 passed with 100% support from our Legislators! This bill will allow for school districts to offer a one semester personal finance class to fulfill a math credit. Local districts can decide who will teach the course. What a long fought victory due to the efforts and hard work of a great team. Each of you has served as a support some how over the years and for those efforts I am truly grateful.

On May 6th the MI Jumpstart Coalition will serve a meal once again to Legislators in the State Capitol and begin crafting legislation to require each student in MI to take a personal finance course prior to graduation. This we hope will compliment the current legislation.

With your help, we have come a long way in four years. In October 2007, the State Board of Education voted for personal finance education to be integrated in K-12 courses. Now with this new legislation we are beginning to give more children an opportunity to become financially savvy. The road ahead is not easy, but we will be persistent in helping build a stronger future for our most valued resource – our children. After all it is time.

We are very pleased to even have the State Treasury now as our newest MI Jumpstart member. Together we will strengthen long term self sufficiency in Michigan. Many thanks again for your support. I encourage you to thank your Legislators for voting “Yes”. Many thanks again for helping craft a hopeful future for our children.

Lois Gibbons - President Michigan Jump$tart Coalition

FEFE's September Newsletter

noreply@blogger.com (Diane Knudson) — Thu, 09 Oct 2008 13:16:00 +0000

The Family Economics & Financial Education Project has many exciting opportunities it would like to share with you in the September newsletter. To download the newsletter, go to the FEFE Web site at www.fefe.arizona.edu, and click on the September newsletter link.

FEFE Master Teacher Program
« Do you want to become a FEFE Master Teacher? If you have attended a FEFE National Conference in Bozeman, MT or Tucson, AZ, you are eligible to apply! Download an application today at http://www.fefe.arizona.edu/masterTeacher.php and return by December 1, 2008.

Curriculum:
« Learn how the FEFE Master Teachers “Maximize the FEFE Curriculum.” Great resources FEFE has available have been featured!

Lesson plan and content updates:
« Check out hot topics about credit!
« The Values Auction Lesson Plan 1.17.4 has been updated. The directions and rubric for the values auction activity are now more clear and concise. Please be sure to go on the FEFE website http://www.fefe.arizona.edu/curriculum.php?categoryID=22#79 and download the newest version!
« Coming soon: an updated Selecting a Credit Card lesson plan 1.4.1!

Save the Date:
« The 2009 FEFE National Training will be held June 15-18 in Tucson, AZ! The registration packet will be available in December.

Channel One News, FINRA Investor Education Foundation and Consumer Federation of America to Launch National Teen Financial Literacy Project

noreply@blogger.com (Diane Knudson) — Wed, 01 Oct 2008 18:48:00 +0000

Check it out! http://www.tradingmarkets.com/.site/news/Stock%20News/1913795/

The National Financial Literacy Challenge

noreply@blogger.com (Diane Knudson) — Mon, 29 Sep 2008 15:26:00 +0000

The President's Advisory Council on Financial Literacy is offering their second financial literacy challenge for high school students November 3rd-26th. For more information please visit http://flc.treas.gov:80/index.htm. Be sure to pass this information on to teachers, administrators, and others whom you feel might be interested.

SB 834 Passes!

noreply@blogger.com (Diane Knudson) — Fri, 26 Sep 2008 14:00:00 +0000

Great News - SB 834 passed the house on Wednesday, September 24th. The legislation changes the math requirement in the state's high school graduation requirements by adding financial literacy as one of the accepted mathematics courses for the fourth year of the subject. The bill is on to the Senate and then the Governor! Thanks to everyone who has helped make this happen!

Check out Inside Michigan Education

noreply@blogger.com (Diane Knudson) — Thu, 11 Sep 2008 19:01:00 +0000

David Dieterle, President of Michigan Council on Economic Education was interviewed for the Inside Michigan Education podcast for this week. Be sure to log onto www.insidemieducation.com and check it out!

NAFCU's 'Reality" Progam Helps Students

noreply@blogger.com (Diane Knudson) — Mon, 18 Aug 2008 19:20:00 +0000

NAFCU has recently endorsed a program called CU 4 Reality. This program helps middle and high school aged students understand budgeting and helps them develop financial skills. This program is sponsored by America’s Credit Union Museum.

The program is designed to help students through a curriculum that has them make budgets and allocate their expenses, such as food and clothing and other unexpected possible expenses. It dosen't take long for the students to realize how quickly money can run out. It also helps to teach them how to save more and stretch their funds better.

This comprehensive program not only helps teachers, but it also gives the students a chance to put their skills to work in a CU 4 Reality Fair. The Fair is a fun simulation of spending and budgeting based on career choices and lifestyle decisions.

Get more information on this program by visiting the America’s Credit Union Museum web site at www.acumuseum.org.

Great Article in the Free Press!

noreply@blogger.com (Diane Knudson) — Wed, 06 Aug 2008 13:13:00 +0000

There was a great article in the Free Press about financial education. Be sure to pass the word on!

Teach finance know-how in high school.

A load of shifty practices, poor policies and incorrect assumptions by financial businesses precipitated the current crises in real estate and the mortgage industry. But a lot of individuals made bad decisions, too, about how much house they could handle or their prospects for long-term employment and income growth.

Such mistakes are costly. The next generation of home owners should avoid repeating them.
It's to that end that Macomb County state Sen. Michael Switalski is pushing a bill to let Michigan high school students choose a course in "financial literacy" to meet some of their mathematics requirements under the state's new mandatory curriculum.

Switalski's bill moved unanimously through the Senate but sits in the House Education Committee. The Legislature should not let its current session end without sending the measure to Gov. Jennifer Granholm.

This is not about softening the algebra component of the curriculum, but broadening mathematics to offer education in credit, financing, interest, mortgages and debt, all the stuff too many families don't really grasp until they are overwhelmed by some aspect of it.

Young adults could be spared a lot of grief later if they learn responsible money management at an early age, especially how interest works on credit cards. Yes, this could also be learned at home, but a recent national survey found that family finances are rarely discussed among family members.

In another survey, less than half of high school students showed that they understood that a credit card user making only minimum payments each month will ultimately pay more in annual finance charges than the sum of all purchases.

The value of fixed rate mortgages was another weak spot, with only 36% of students understanding how such mortgages protect against inflation.

Government can't dictate how people choose to spend their money. But the state can give students a choice to learn about how to use it wisely.

NEFE HSFPP Trainings to be held in August 2008

noreply@blogger.com (Diane Knudson) — Tue, 08 Jul 2008 12:31:00 +0000

MSUE and MCUL are once again holding two one day NEFE High School Financial Planning Program trainings in August. Come and learn about the NEFE HSFPP program and be ready to teach the program prior to school starting in the fall. This free one day training will provide you with the necessary tools to teach the NEFE High School Financial Planning Program curricula to your high school aged students. Training sessions will be held in August in Bay City and Grand Rapids. At the Bay City location only - .5 CEU’s will be offered to teachers by the BAISD.

Trainings will take place:

August 14, 2008
FinancialEdge Credit Union
1199 S Euclid Ave
Bay City, MI 48706
9 am – 3 pm
Registration closes: Friday, August 8, 2008
At this location only - .5CEU’s will be offered by the Bay Arenac Intermediate School District (BAISD)

August 20, 2008
Kent County MSUE
775 Ball Ave, NE
Grand Rapids, MI 49503
9 am – 3 pm
Registration closes: Friday, August 15, 2008
To register:
Please e-mail tobee@anr.msu.edu the following information. A confirmation will be sent to you one week prior to the event. If you have questions, please phone Erica Tobe at 517-355-9655 or email tobee@anr.msu.edu.

Name:
School:
Address:
City, State, Zip:
Phone:
E-mail:
Are you familiar with the curriculum? __Yes __No
Specify the Training Location and Date you will attend:

Mini-Society Economics Training for teachers grades 3-8

noreply@blogger.com (Diane Knudson) — Mon, 16 Jun 2008 20:37:00 +0000

The Wayne County Regional Educational Service Agency will be hosting a Mini-Society Economics Training July 29-31st from 9:30am-3:00pm at the University of Michigan: Dearborn. In the sessions, you will create a society and market economy in your own classroom. Students will earn income in classroom currency they have designed, conduct market surveys, create goods and services, even learn how to price and sell them during class Market Days. See how your classroom society faces the same issues that our adult society does. In this course, you will create your own workshop society and participate in many of the same experiences your students will. You will also learn about Michigan's Economic Grade Level Content Expectations. Cost for the session is $50.00 and sb-ceu's: 1.5.

Register at www.resa.net. Click on workshops, search July and scroll down to Social Studies.

This is a great opportunity! Be sure to pass on the information to any teacher you know who would benefit!

Teachers Conferences are coming up!

noreply@blogger.com (Diane Knudson) — Mon, 09 Jun 2008 16:51:00 +0000

The Michigan Jumpstart Coalition is gearing up for our next two teachers conferences! The first one will be held on November 19th at Grand Valley State University and the second will be on December 2nd at the Federal Reserve in Detroit. If you're a teacher, make sure you sign up for one of these great conferences, and let your fellow teachers know about them as well!

Senate Bill 0834 Unanimously Passed the Senate

noreply@blogger.com (Diane Knudson) — Tue, 20 May 2008 18:34:00 +0000

Senate Bill 0834 was unanimously passed by the Michigan State Senate.

http://www.legislature.mi.gov/(S(5nrpdo55fnpklc45sptsguuf))/mileg.aspx?page=getObject&objectName=2007-SB-0834

Regarding the bill, Senator Switakski stated:

"This bill promotes and permits, but does not mandate, that financial literacy be among the options of courses eligible to fulfill the math requirements under the revised curriculum standards. Financial literacy would be both a valuable and a popular course for students. And, Mr. President, just how many math courses can you say that about?

The current level of bankruptcies, foreclosures, and savings rates testify to just how valuable a course it would be. It’s supported by the Department of Education, banks, credit unions, and people who hold the value of financial literacy and fiscal responsibly dear. I hope that all members will support the bill. "

Please join us in thanking Senator Switaksi, and all of our legislators, with their invaluable support in ensuring that all Michigan students get the financial literacy education they deserve.

noreply@blogger.com (Diane Knudson) — Tue, 13 May 2008 16:51:00 +0000

The Family Economics & Financial Education and the Family & Consumer Science Educators of Michigan are hosting a Four Day Training program August 4th-7th at Higgins Lake. The workshop can accommodate 50 participants. For more information and to register contact Louise Bombyk at lbombyk@power-net.net or (989) 288-2380 - home (989) 277-3826 - cell.

Great Article in the Free Press about Money Smart Week!

noreply@blogger.com (Diane Knudson) — Tue, 29 Apr 2008 14:38:00 +0000

On April 21st, the Free Press had a great article about teaching personal finance early. It was great exposure for Money Smart Week and the importance of financial literacy. What can we do to get this message across??

National Financial Literacy Challenge

noreply@blogger.com (Diane Knudson) — Tue, 29 Apr 2008 14:35:00 +0000

The newly formed President’s Advisory Council on Financial Literacy has recommended that the U.S. Department of the Treasury challenge U.S.students to learn more about personal finance. Beginning April 28, 2008, high school teachers can register their classes to participate in the 2008 National Financial Literacy Challenge. The Challenge is a voluntary, 35-question test that students can take to earn recognition of theirfinancial knowledge. It will be offered online until May 16, 2008 and there is no fee to participate. The awards are sponsored by the Charles Schwab Foundation (a national Jump$tart partner). Register today at http://FLC.treas.gov/teacher.

If you have any questions about this program, please contact the Treasury Department at FLC@do.treas.gov. (Please note that since this is not a ump$tart program, our staff can only offer limited assistance.) Additionally, a Help Desk and Help Desk phone line are provided to teachers who register, to assist them with any technical questions or difficulties.

A Tale of Two Families

noreply@blogger.com (Unknown) — Thu, 17 Jan 2008 17:26:00 +0000

I was standing in a bank lobby the other day and was struck by two conversations I overheard.

The first began with two parents and their little boy who was about five years old. As an advocate of personal finance education I was thrilled to observe the parents patiently showing the child how to fill out a deposit slip. While they stood back a little bit, the boy shyly approached a teller and presented his deposit slip.

After making the deposit, the teller showed him how to read his receipt to make sure his money had been deposited correctly. She then asked him what he planned to do with his money. By this time many eyes in the bank were watching the little boy and all probably expected a typical child's response--a bicycle, a skateboard, perhaps a future car. Not this young saver! He very assuredly explained he wanted to save enough to invest in a mutual fund!

At another counter, a middle-aged woman was asking a teller to check her account balance. Once the parents with the child had left, this woman loudly expressed her opinion: "How ridiculous! Children that age can't understand money."

Standing behind her, I couldn't help jumping into this conversations and saying that young children can and do understand money. I explained I was a teacher and that I often have young adults in a a community college class who are experiencing the negative results of no parental instruction--large debts, poor credit histories, etc. I could see my argument had fallen on deaf ears and finally gave up.

Now it was my turn to approach the teller who had helped the women. The teller very quietly confided to me. The woman regularly visits the bank to get her balance versus calculating it herself. The teller went on to tell me another interesting bit of information. The woman has two sons of her own. One is 22 and the other is 25. Both along with a girlfriend still live with mom. They have never been able to figure out how to be on their own financially.

Wouldn't it be wonderful if all parents were like those teaching the little boy? Unfortunately, this is not the case. Many parents do not have the time or skills to teach their own children. The woman represents a worse case scenario. A parent who does not recognize the importance of financial literacy. She and her children are certainly experiencing the consquences.

19 Year old wishes she learned more in school

noreply@blogger.com (Unknown) — Wed, 16 Jan 2008 16:10:00 +0000

The article below about a 19 year old Plymouth resident who wishes she learned more about money management in school demonstrates the need for financial education. You can also read part two at tangentlife.com

Jasmine Millwood: Lessons Learned about the Cost of Living … Part I
Written by Deb Madonna
Thursday, 10 January 2008

I cleaned out my car yesterday and my uncle happened to notice several empty Starbucks cups and high-amount receipts from Target. I continue to vacuum and such when he shakes his head and walks inside.

In confusion I say, "What was that about?" He says, "Yes you seem like a really broke college student who eats nothing but ramen noodles," in a low voice dripping with sarcasm. I thought to myself, he is right.
What am I going to do when I move out? I should start saving, big time. Because little did I know, the real world is a lot more expensive than I thought.
You always hear the jokes about how parents start saving for their children's college funds when they learn they are pregnant. But in reality, it's much more complex than that. My dear cousin bought me this book for Christmas, "The Young, the Fabulous and the Broke." This is what I should be. Instead I'm wearing the latest fashions from Twelve Oaks and splurging and Max N' Erma's Once a week with my friends. Although I work three jobs, some large percentage of my paychecks should be directly deposited into my savings account for the grueling days of unemployment and never ending study sessions.
You could take a random survey in the high school and ask the students all about credit and checking accounts, interest and APR. You could ask, but probably not receive any answers. Thinking back to my high school years, which weren’t so long ago, I think how my perspective on money and finances was so miniscule and narrow-minded. Obviously, my uncle was the source of most of my monetary needs however I did start working a part-time job at the youngest age possible, fourteen years and nine months old. With a workers permit from my school's counseling office in hand and a big gleaming smile I set off into the crazy world of long hours, that glorious payday and the grueling taxation you can never escape from.
I am thankful for my early working experiences, I learned so many things about the professional world; commitment, responsibility, punctuality and employee expectations. My uncle always made it clear that school was above work, because without school you good work is hard to come by in this world. I started a savings account and adding some of my paycheck every week. I got my first debit card when I turned 16 and became open to a whole different animal. I learned about NSF fees and available balance.
Although I have gratitude towards my past monetary experiences I wish someone would have sat me down at that perfect age where I could begin to comprehend how important good credit is. I wish I could have learned more in depth about interest rates, budgeting and everything else for that matter. I unfortunately learned the hard (and extremely expensive) way.
In my opinion my generation, due to the easy access to pretty much everything, is very impulsive. Too impulsive. We want something, we go get it.
If I could lend advice to my fellow young students and friends about money, I'd give you four pieces of advice.
1) Never, EVER lend anyone money. You might as well wrap it up and put a big bow on it as you give it away, you'll never see it again.
2) Credit cards are for emergencies and essentials only, not splurging. Examples: Gas, oil change, groceries. Not examples: Twelve Oaks shopping spree, Max n Erma’s once a week.
3) Make sure you know what an available balance is: the money that is ACTUALLY in your checking account. Keep a checkbook if you need to!
4) Save, save save. It is the best thing you can do. Keep saving. You can never have too much in your savings account.
College is not cheap, one must realize. To complete my career aspirations, I have about $66,000 more to fork over to my institution of choice for my remaining baccalaureate and the final stretch through dental school. College costs rise more and more each year. This year, average college costs have risen 6.6% than that of last years alone. How's that for some apples?
And don’t forget your studious hard-working pupil needs transportation, car insurance, a cell phone, health insurance. Sit in math class for a minute and crunch those numbers. I don’t know how my uncle does it.

noreply@blogger.com (Unknown) — Mon, 07 Jan 2008 18:08:00 +0000

Congratulations on your blog! This can be an effective tool to share information, ideas, upcoming events and other activities designed to help improve the financial literacy of kids in your great state!

As we begin 2008, please remember that April is Financial Literacy Month through the United States so keeping the Michigan Jump$tart Coalition updated on public events and educational programs will be a great way to get the word out with one voice. Given the wobbly condition of our economy right now, financial education is certain to become part of the dialogue as we proceed to the end of this century's first decade.

Daniel Hebert
Northeast Regional Director
Jump$tart Coalition

Michigan Youth Financial Educators Win Awards

noreply@blogger.com (Unknown) — Thu, 03 Jan 2008 19:39:00 +0000

Michigan Youth Financial Educators win awards! Below is an article from the Michigan Credit Union League. Check out the video clip to hear more about why helping youth learn to handle finances is "Taking Charge of Michigan's Financial Future!"

MCUL/FIC Youth Achievement Awards Presented (Includes Video)
The Family Involvement Council proudly presented two credit unions with first-place plaques for their involvement with youth. MCUL Public Affairs Director Mike Bridges attended the Metro West Chapter luncheon Dec. 10 and handed out the hardware.
Natalie McLaughlin of Community Financial Members FCU (MW) won the Youth Involvement Award. McLaughlin is the education partnership coordinator at Community Financial and has been instrumental in its student-run branches. She said the credit union began making youth a priority in its operations 16 years ago.
Michael Poulos, president/CEO of Michigan First CU (MW), accepted the Generation Next award. Michigan First CU has 10 student-run branches. Its program began in earnest about seven years ago and Poulos said he hopes to double the number of student-run branches in 2008.
To view a video clip of the presentation and hear from both Poulos and McLaughlin click here: http://support.cu-village.com/MCUL_Email/lt/t_go.php?i=203&e=Mzk5MA==&l=http://www.youtube.com/profile--Q-user--E-MCreditULeague.