Brief history of Financial Education:
In the changing time, we have a great opportunity to impact the lives of others through arranging financial education sessions. Look at these:
- Since the 1980s there has been a shift in the group retirement world that has moved the responsibility for choosing and managing investments from the employer to the employee.
- It’s estimated that less than a third of adults in Canada are confident in their ability to make the right financial decisions for themselves and their families.
- In a 2009 research study, Annamaria Lusardi, suggests that there are two ideal venues for financial education: our schools and our workplaces.
- While some employers are reluctant to allow education sessions on working time, there is plenty of research to suggest that, if it is done well, the ROI (a Financial concept: ROI – Return on Investment) on Financial Education at Work is considerable.
Employers & Employees benefits:
- Financial education can be a “reality check” that encourages investing, saving & spending wisely;
- Better financial literacy tends to lead to improved financial security;
- Employees tend to be more productive and suffer from less financial stress;
- Employees have a better idea of when they are likely to retire, making workplace succession planning easier;
- Increased employee morale, as well as higher levels of attraction and retention of long- standing employees;
- Employees see value in the employer providing financial education;
- Also Financial Education opens up an investment door to tons of financial products too.
In order to be effective, financial education at work needs to be more than just an information session which outlines the features of the workplace savings plan and instructions on how to complete the necessary paperwork. This type is common but does little to address the fact that, what most employees are desperate for is reliable information which provides them with the knowledge and confidence to manage their personal finances and plan for retirement.
Rather than just offering “benefit education” that focuses solely on how to enroll in the plan, what employers need to offer is a more comprehensive financial education program which covers a variety of personal finance concepts, such as money management, debt management and retirement planning. Lusardi’s study shows that workplace programs offering multiple sessions are far more effective, especially when it comes to groups that traditionally have the lowest levels of financial literacy such as women and those in the poorer socio-economic groups.
So, we are not repeating the great benefits again about our online systematic financial education programs. Just enjoy it anytime, anywhere, and its juicy benefits in the rest of your life. Cheers!