Current freshmen that are on track to graduate in 2030 will be affected by a California bill that adds financial literacy in order to graduate high school. Governor Gavin Newsom believes students must prepare for their financial futures, “as weary as possible,” according to the state of California.
A school’s purpose is to educate and prepare students for the next phase of their life, whether that is at a university, or the work force. Either destination requires a level of financial literacy that is currently not required.
Students at San Juan Hills with financial questions often go to Jeff Prinz for financial guidance in room D03.
Prinz, who teaches mathematics, has helped past stallions understand concepts like certificates of deposits (CDs), FICA scores, and any other personal financials to help better prepare them for the future.
“It’s [certificates of deposits] the most simple conservative way to invest, so when juniors or seniors have a job and they have a savings build up. That was the interest is very very small versus their certificate of deposit which is usually a lot higher. And all you do is take that and just keep it rolling over and over,” said Prinz.
In the Californian graduating class of 2030-2031, which are current and future freshmen, they are now on track for financial literacy to be added as a requirement. This would likely look like a semester-long personal finance class. Instead of it being an optional course, personal finance will be a mathematical standard across the state.
“I 100% believe that Personal Finance is more applicable to real life than other math classes. Literally all the other math classes I’ve ever taken have not benefitted me whatsoever. I don’t use anything from it but with personal finances I found myself using things from the class every single day, like with paying for things,” said Paige Hanson (12).
The consensus has relatively agreed with the decision of financial literacy becoming a requirement for graduation. Currently the bill requires for all California high schools to offer a personal finance class by 2027-2028.
Due to the students lack of financial literacy prior, it routinely points to the idea that the majority of students are unaware of how finances work. Students currently taking the optional course find it to be applicable to everyday life and have reported learning ideas they once were once oblivious to. With the implementation of the class, it would fix most problems related to this situation.
According to the National Financial Educators Council, “7% [of youth] understand that small company stock funds have a higher return over time than large company stock funds, dividend paying stock funds, or high yield bond funds.” Opponents of financial literacy becoming a requirement for graduation questions why, “California keeps expanding school curricula. What about improving key subjects?”
“I think it’s very crucial for people to have financial literacy. I know we are gonna learn about mortgages and taxes later this year. I probably wouldn’t even know if I didn’t take this class,” said Cali Alexander (12).
To learn more about California’s financial literacy bill, click here.
