Introduction
Under a new law signed by Governor Tony Evers on Wednesday, Wisconsin high school students are now required to complete at least half a credit in personal financial education to graduate. This mandate aims to equip students with essential financial skills such as wealth management, saving, investing, and handling credit and debt. The requirement will take effect starting with the class of 2028.
Enhancing Financial Literacy
Governor Evers emphasized that the new legislation aligns with his goals for improving financial education. “We must ensure our children have the resources and skills to make wise financial and management decisions to prepare for their future,” Evers stated in a news release. “A solid financial education is crucial for setting up our kids for success as adults.”
Legislative Support and Goals
Representative Elijah Behnke, R-Oconto, a co-author of the bill, expressed his satisfaction with its passage. “Had I received financial education in my teens or twenties, I might already be a millionaire,” Behnke said, underscoring the importance of learning how to save and manage money properly. Wisconsin now joins 24 other states requiring at least a half-credit course in financial education, thanks to broad, bipartisan support in the Legislature.
The Need for Financial Education
Representative Alex Dallman, R-Green Lake, highlighted the importance of teaching financial literacy to the next generation. “We need to ensure people are less reliant on government welfare and more capable of managing their finances independently,” Dallman noted. Representative Jenna Jacobson of Oregon added that mandated financial education provides equal access to essential financial knowledge for all students, regardless of their background.
Addressing Financial Inequities
Wendy Baumann, President of the Governor’s Council on Financial Literacy for the past three decades, pointed out the disparities in financial situations among different demographics. “Education can help address these inequities and improve overall community well-being,” Baumann said. “Financial independence reduces reliance on taxpayer dollars.”
Implementation and Long-Term Benefits
The new law gives schools time to develop curricula and train teachers, with the requirement starting for students entering high school in 2024. “It takes time to implement such programs; it doesn’t happen overnight,” said Representative William Penterman, R-Columbus. Proponents believe that financial education will save society money in the long run, as financially literate individuals are less likely to live paycheck to paycheck and more likely to save money.
Current Financial Education Landscape
Although financial literacy is currently taught in some Wisconsin schools, it is not universally required. According to Next Gen Personal Finance, approximately 35% of Wisconsin high school students are enrolled in schools where a standalone personal finance course is a graduation requirement. Darryl Johnson, Executive Director of Riverworks Development Corporation, believes that early financial education can prevent crises such as evictions and debt, and sometimes children can even educate their families.
Conclusion
Wisconsin’s new financial education mandate aims to prepare students for a financially stable future by equipping them with essential money management skills. By implementing this requirement, the state hopes to reduce financial disparities and promote greater economic independence among its residents.