How much does your child know about money?
Do they know where it comes from? How it ‘goes around’? What is a credit card and what is it used for? Do they understand the value of the many things in and around your home? Do they have a mobile ‘phone which you pay for? Do you pay them pocket money – in exchange for chores or not? Do they know what tax is, why governments collect it and what it’s used for?
This You Tube clip gives you an idea of what some kids know – or don’t know.
All of these and more are some of the questions answered in a new package to be launched in Adelaide next Tuesday (11th December) at a national conference for secondary school teachers in Adelaide.
The MoneySmart Teaching Secondary package has been developed by the Australian financial regulator, the Australian Securities and Investment Commission, and aims to teach secondary school students across Australia about the financial principles of planning, saving, spending, donating and investing wisely.
“ASIC’s MoneySmart Teaching program will equip younger generations with the skills and behaviours to make responsible financial decisions, but to do this, teachers and parents need the tools to help them understand money,” said ASIC Commissioner Peter Kell.
ASIC’s MoneySmart Teaching Secondary package will be trialled by teachers Term 1 next year and uses financial literacy as a context for learning in mathematics, science and English. All units of work are aligned to the Australian Curriculum and have been developed for students in Years 7–10.
“MoneySmart Teaching emphasises that consumer literacy and financial literacy are interdependent.
“The classroom units address some of the immediate issues facing young people like buying a mobile phone or purchasing goods online. MoneySmart Teaching aims to help young people meet real-life challenges through education which is relevant to their lives,” said Mr Kell.
“Today, three out of four children own a mobile phone by the time they start secondary school. In one of our maths units of work, How can we reduce our spending?, Year 7 students learn about saving money by buying ‘smart’ and comparing mobile phone plans ensuring that their mobile phone costs remain within budget.”
Jason Knight, who is Head of Business Studies at Kings Christian College which is in the MoneySmart Teaching program, said students will benefit from early opportunities to understand money and apply that knowledge with confidence.
“Our students need to understand how money works and how bad decisions can actually lead to long-term consequences. We need to give them the building blocks now so that they make wise decisions throughout life,” Mr Knight said.
ASIC’s MoneySmart Teaching Secondary package marks the second phase of a trial to improve consumer and financial literacy in schools. Resources for primary schools were released in August and are being trialled in 58 schools nationally. ASIC’s secondary package will be trialled in approximately 35 secondary Government, Independent and Catholic schools across Australia. Professional learning will be delivered to approximately 2,000 secondary school teachers. Online professional learning will be available to all teachers via the MoneySmart Teaching website.
ASIC is also developing a range of online digital activities, freely available, to create engaging and fun learning in the classroom and at home. These resources will be available on the MoneySmart Teaching website in early 2013.