Winning ways with financial literacy in high school

A really solid hook to a lesson that gets students interested and engaged is a winner if you are teaching high school maths. When it comes to teaching financial literacy to a senior high school age group, the need for a hook can’t be underestimated! Financial tips. budgeting, saving and managing credit and debt are all important for teens to understand - before they leave school.

Financial literacy can seem fairly dry and irrelevant in the day to day lives of young people, but once they leave school, the importance of financial literacy becomes much more apparent. Unfortunately for some young people, the lure of high risk, high reward financial products become too much, and the run the risk of a debt cycle that is hard to get out of.

For senior school students, this is the age of blossoming independence, the beginnings of work responsibilities and the ability to earn income, save…and spend.

Learning financial lessons in high school protects students as they become young adults

Too good to be true?

Recently the social feeds of young people have been flooded with stories about get rich quick schemes. Young tradies seem to be the prime focus, and have been lured into predatory marketing, high cost online courses and complex business structures that have left them working long hours for little of the promised financial freedom on offer. The high-pressure tactics of influencers leaves students in hands on VET courses and apprenticeships particularly vulnerable. Weaving get-rich-quick schemes into financial literacy lessons as a hook that engages young people in vocational subjects can be a great way of helping them build a protective buffer

against such tactics.

The role of influencers

Teaching teens about financial literacy used to simply involve an overview of learning about budgets and savings plans, income, expenses, compound and simple interest rates. Now there’s a new and important addition to the teaching plan – social media influencers.

Bringing the impact of influencers into the open and discussing how algorithms work to keep people seeing high interest content that brings them back over and over makes it easier for them to havesafe conversations about their experiences. Open conversations build risk awareness and develop safe strategies to respond. Teens learn to control their own social media use and work out ways to avoid the potential traps that influencers can promote.

Influencers play a role in promoting financial products to young people

Calling out the influencer tactics

Calling ut predatory tactices for what they are is super helpful, especially if you teach vulnerable young people who are still developing their skills at understanding the nuances of persuasive language and marketing. Clear information about Australian consumer law, financial rights and responsibilities and pyramid selling can help students pick a scam as well as understand legitimate opportunities. Most young people don't understand concepts like pyramid selling and may not stop and read the fine print of agreements. Tactics like using emotional hooks or appealing to a pain point can be easy ways of persuading young people to act impulsively and without pausing for thought.

Hit pause

Teach students to build in a simple pause before they make any financial decision. Take a day or two to talk things through with a trusted adult, print and read any contracts or agreements and seek advice will help avoid costly mistakes. Pause before making any big purchase, and seek out alternative voices. Make a list of five trusted adults who agree they will always be available to talk

through financial choices so there is a different voice to online influencers. A trusted adult needs to be someone who will listen without judgement. They don’t need to be a financial expert, but they do need to help a young person figure out a financial challenge if it is looming on the horizon, and agree to help them find the information they need to make good decisions.

Pausing before making a big financial decision gives teens time to hear other voices and think things through

Seeking financial literacy expert help

At some point many young people will need to seek advice from a financial expert. Starting a course and planning how to pay for it, buying a car, renting a place to live or signing up for a mobile phone plan are all real world financial decisions which have consequences. Teens may have talked things through with a trusted adult and decided to seek more in-depth help. A financial counsellor in the local community can be a handy resource, and a useful source of information. Invite a community based financial counsellor (not a financial adviser) to share a lesson at school, so students know one option for seeking safe advice in the future.

In the race to adulthood, building financial literacy skills that help young people recognise if something is too good to be true can be one of the most powerful lessons to teach.