By: Neda Ghomeshi / Assistant Opinion Editor
Understanding the concept of saving and applying this principle to one’s lifestyle is a common struggle, especially amongst college students. Creating a financial plan is not the most desirable practice for most incoming freshmen, let alone the most considered. To help students understand the necessity of financial planning and developing a saving habit, I think that a course specializing in managing personal finances should be part of the University Core Curriculum.
According to the University, the UCC provides the “broad, well-defined curriculum that enables graduates to think critically, analytically, and creatively.” To me, money management is a concept that students should be required to think about during their time at the University. In order to ensure that students are not ignoring the importance of money management, a course needs to be incorporated into the UCC.
With today’s tough economy, students need to be better educated about the benefits of saving versus constant spending. Courses should be mandatory to encourage and teach students about the different possible ways of saving.
In general, the benefits of saving for the future is not a concept that most Americans are well informed about . According to a 2010 survey conducted by Harris Interactive of the National Foundation for Credit Counseling, “34 percent of Americans (77 million people) gave themselves a grade of C, D or F on their knowledge of personal finance.” Due to these disappointing and quite embarrassing statistics, we need to start spreading this knowledge at an early age to help the society as a whole.
Ben Baker, who teaches an annual personal finance workshop at Davidson College said, “I will never understand why our education system puts so little value on practical things…an understanding of finance and personal responsibility has a direct impact on the quality of life of everyone.”
Baker’s statement solidifies my belief that universities need to take a more active role in educating our pupil and mandate personal financing courses, starting at the University. Understanding the importance and relevance of personal finances is not innate and needs to be taught.
Researchers at the University of Wisconsin concluded that “Barely one-third of them [students] had taken a college course that included personal finance content.” Basically, most college students graduate without ever taking a course about finances. This reality should be a concern for FIU.
Marilyn Landrum, a student assistance associate with the Missouri Department of Higher Education, said universities should “require personal finance courses.” Also, Michelle Singletary, a staff writer for the Washington Post said, “College students shouldn’t be handed a degree without having taken personal finance classes.” All of these examples exhibit the importance of implementing a mandated course on personal finances and the values of saving for all University students.
After graduation, our students should understand the basic fundamentals of personal financing. It is the University’s responsibility to provide the tools and education for its students on this basic knowledge.
Econ with Neda is an economics op-ed column. Look for it every other Monday.
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