Is there a lack of financial education in the UK from family and schools?

lincroft1710

Anyone who has read Charles Dickens' "David Copperfield" will probably have gained a wealth of financial wisdom

"Annual income twenty pounds, annual expenditure nineteen pounds nineteen shillings and sixpence, result happiness. Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery".

Jemma01

I think we should teach it regardless of ppl's comprehension, it's like saying don't teach maths because many ppl struggle with it. There are still things from school that I remember, and like wise things that I never understood. The problem with any subject is the teaching style, simplifying concepts, making them relevant to the every day, and fun. I loved geography because our teacher made it fun, hated history because the teacher made it a misery.

I've done A level maths, I got A in pure maths, I have no idea why we did integrations or differentiations, or binomials or what they are or how they relate to my life. The one formula that I use every day in my life was taught to me by my dad 💘, we had a real life problem, and he showed me how to solve it, and it stuck with me for life. 

Vitor

People's knowledge of finance is lamentable. Of course, some say that goes back to the elite wanting workers to be sufficiently numerate and literate to work in factories and offices but not clued-up enough realise being a wage-slave and saving pennies will never make them wealthy. 

twopenny

When I started working I hadn't a clue how to check my pay slip.
What level of national insurance, tax or if my pension was being paid in and how to check it.

There is more information now with the internet but if you don't know how to check or what to look for that's of little help.

I think it was probably easier to check a pay slip on paper than it would be online - if that's how it happens now.

I thought back in the 70s it should be taught in the last year and I'm still thinking it should.
Along with how/options to save.
I was lucky with that. I had a grandmother who saved, played the stock market and lent private mortgages through the bank. She used to love it.

onomatopoeia99

Jemma01 said:

I've done A level maths, I got A in pure maths, I have no idea why we did integrations or differentiations, or binomials or what they are or how they relate to my life. 

I also got an A in maths A level (local exam board didn't split it into pure and applied) though sadly only a 2 in the S level  , and certainly used calculus in my undergraduate engineering degree afterward. Had I gone down a different career path after graduation I would have continued to use it but with the field I specialized in I didn't.  Couldn't have graduated without it though. 

If you travel in a car, bus, train, aeroplane etc calculus will have been used in its design. If a building is constructed, calculus will have been used in ensuring it doesn't fall down. So much engineering and science depends on integral and differential calculus and so much of our lives depend on things done with it, even if we don't do them ourselves.

mlz1413

I think just changing maths questions in school to be based in reality would help!
As in, how many hours do you need to work at NMW to buy all your mates drinks on a Friday night.
Or buy the latest phone at £1000. Or buy a new pair of trainers.
Would is the best phone contract. Etc.

This would be soooo much more relatable than a bath is dripping at X and your bucket holds Y.
Or when will bus A and bus B cross paths.

I mean just say a plumber earns £100ph and you earn £20ph when can you afford to call the plumber.

The questions could really engage students rather than bore them!

I did a talk for a group of Level 3 City And Guilds students in one particular college. 
I spoke of being employed and payslips, how to check NMW, employment law that 16 to 70 yo needed to know.
I then switched to being self employed and how to invoice a customer,  record income and payments and getting an accountant.
Then I mixed it up and said about employing people (linking back to the payslips and NMW that were so important) 
Far too many of the students already worked and had no idea of many of the things I spoke of.  

I wanted to do this talk for free in my local college and was told there wouldn't be time in their study groups. So disappointing. 

Silvertabby

I know we weren't flush growing up, but my late mum and dad's financial 'advice' was always  'save money by buying the cheapest'.  Unfortunately, they just wouldn't consider the best value option - it was always 'cheapest is best'

Two rolls of loo paper for £1 or a special offer pack of 20 rolls for £2?  The pack of two, of course, because £1 is cheaper than £2. 

badmemory

I think leaving this until 17/18 is too late.  It needs to catch the 16 yr olds.  Even if only to point out the future consequences of living beyind your means.  I think that the conversation about pensions beyond the "never opt out" type would be over their heads though.  But a parent who is in a lot of debt is possibly not sending out the signals a new starter needs.  Knowledge is power & we should give our young people as much as they are ready for.  So not pensions 301.  More how not to get in debt.

osmarks

mlz1413 said:

I think just changing maths questions in school to be based in reality would help!
As in, how many hours do you need to work at NMW to buy all your mates drinks on a Friday night.
Or buy the latest phone at £1000. Or buy a new pair of trainers.
Would is the best phone contract. Etc.

This would be soooo much more relatable than a bath is dripping at X and your bucket holds Y.
Or when will bus A and bus B cross paths.

You can only write simple arithmetic questions like this, not any interesting, nontrivial mathematics. In any case, I think most people's problems with mathematics education run deeper than you can fix by reskinning questions slightly.

horsewithnoname

Vitor said:

People's knowledge of finance is lamentable. Of course, some say that goes back to the elite wanting workers to be sufficiently numerate and literate to work in factories and offices but not clued-up enough realise being a wage-slave and saving pennies will never make them wealthy. 

This exactly 👍