Financial Literacy by Caitlyn

Financial Literacy by Caitlyn - June 2025 Scholarship Essay

An elective class that should absolutely be a required part of every student’s education is financial literacy. Too many students graduate from high school or even college knowing how to solve math equations or write research papers, but have no idea how to budget, save, file taxes, manage debt, or understand credit scores. These are essential life skills that everyone needs, regardless of their future career or life path.

A well-designed financial literacy class could cover practical topics like how to open and manage a bank account, create a personal budget, understand credit cards and interest rates, avoid debt traps, and plan for short- and long-term savings goals. It could also include real-world applications such as understanding loans and mortgages, the basics of investing, and how insurance works. Students could participate in simulations like building a monthly budget, filing a simple tax return, or responding to unexpected expenses like car repairs or medical bills.

By making financial literacy a required class, schools would be preparing students not just for college or the workforce, but for life. It would give young adults the tools they need to make informed decisions, avoid financial pitfalls, and take control of their financial futures. In today’s world, where student loans, inflation, and economic uncertainty are major concerns, financial literacy is more important than ever. This knowledge shouldn’t be treated as optional; it should be seen as a foundational part of education that sets students up for long-term success and stability.