Demonstrate financial management knowledge, skills and awareness necessary to navigate school, work, transitions and other life responsibilities.
You can demonstrate your financial literacy through:
- Understanding what is meant by financial literacy and its importance
- Recognizing that financial literacy is a lifelong endeavour
- Identifying the costs and funding sources associated with various education and career pathways
- Developing a personal financial plan to support the achievement of education, life and career goals
- Evaluating and setting short- and long-term financial goals to support making healthy financial decisions that lead to financial security (e.g., saving and investing money, debt financing and sources, contractual obligations)
- Knowing how to develop and manage a budget
- Knowing how to keep personal information safe and secure, to prevent and protect against fraud and financial abuse
- Maintaining financial records, as required, to assist with calculating, submitting and supporting reports (e.g., income tax, loan applications, requests for financial assistance)
Alyssa hasn’t always been a good saver. A few years ago, she got into the habit of borrowing money from family and friends, just to “hold her over” until money came in from birthday gifts, babysitting, or selling something online. She always believed there was money right around the corner and she was convincing enough that others believed her too. Eventually, though, people realized that Alyssa couldn’t pay them back as promised. By that time, Alyssa was feeling quite stressed about the financial mess she was in.
One of Alyssa’s teachers has a background in banking. He creates a school club on Money Management. Alyssa wasn’t initially very keen, but learning how to plan her expenses, develop a budget, save part of what she earned and make good decisions about when and how to borrow has significantly reduced her stress (and saved some of her relationships with family and friends!).
Alyssa especially appreciates the part of the session that discussed student loans. She learns about other ways to pay for her education and develops a plan to graduate with as little debt as possible.