Teaching basic cashflow & budgeting to school kids
Discussion
When will the Govt bring this in so that there is a GCSE purely on this - it would benefit the next generation so much bringing them a mindset to plan ahead as much as is possible not spend beyond their means and to save up for things they want to buy.
Understand how HP's, PCP, Loans, Mortgages work & even get as detailed as understanding the tax saving possibilties of the offset account vs normal mortgages & savings.
I'm very sure there is easily enough content for a full GCSE - Im sure this measure would bring a bigger respect to £ and to encourage those who live in areas where generations have lived on the dole to get up and earn to save to buy nice things they want to have pride. To stand on their own two feet not let every other worker pay for them to live/well watch sky all day long drinking sh^t cheap cider & smoking while eating £0.16 Tesco basic fish fingers.
Another GCSE I would like to see would be basic car servicing, not compulsory but this skill I would imagine would increase the overall car safety on the UK roads & reduce traffic deaths.
Understand how HP's, PCP, Loans, Mortgages work & even get as detailed as understanding the tax saving possibilties of the offset account vs normal mortgages & savings.
I'm very sure there is easily enough content for a full GCSE - Im sure this measure would bring a bigger respect to £ and to encourage those who live in areas where generations have lived on the dole to get up and earn to save to buy nice things they want to have pride. To stand on their own two feet not let every other worker pay for them to live/well watch sky all day long drinking sh^t cheap cider & smoking while eating £0.16 Tesco basic fish fingers.
Another GCSE I would like to see would be basic car servicing, not compulsory but this skill I would imagine would increase the overall car safety on the UK roads & reduce traffic deaths.
Mr POD said:
That any self respecting parent would not teach their kids the importance of budgetting.
I learnt by going youth hostelling at 14 with just enough money for a week, and not running out.
Thing is there are countless Hapless parents who dont have a clue about budgeting & cashflow.I learnt by going youth hostelling at 14 with just enough money for a week, and not running out.
Did your parents go into mortgages/loan/HP/PCP/Tax efficient savings/Mortgage offset accounts/Annuities/Pensions/ SAYE / SIP/Guilts/bonds / Equity / Unit tursts / OEIC - open ended investment companies?
Mine were pretty hot on it but even so ISAs were all that was taught as they always paid cash excl mortgage so laons was totally alien to them.
Welshbeef said:
Mr POD said:
That any self respecting parent would not teach their kids the importance of budgetting.
I learnt by going youth hostelling at 14 with just enough money for a week, and not running out.
Thing is there are countless Hapless parents who dont have a clue about budgeting & cashflow.I learnt by going youth hostelling at 14 with just enough money for a week, and not running out.
Did your parents go into mortgages/loan/HP/PCP/Tax efficient savings/Mortgage offset accounts/Annuities/Pensions/ SAYE / SIP/Guilts/bonds / Equity / Unit tursts / OEIC - open ended investment companies?
Mine were pretty hot on it but even so ISAs were all that was taught as they always paid cash excl mortgage so laons was totally alien to them.
it just explains everything that you mention above.. ISA OEIC's etc
Trouble with a GCSE or equiv is not everyone would take it, better to cover in personal & social development or similar subject.
I was amazed to learn recently that parents i know with kids at uni are finding it necessary to give them a weekly allowance as they are incapable of handling their money on a monthly basis.
I was amazed to learn recently that parents i know with kids at uni are finding it necessary to give them a weekly allowance as they are incapable of handling their money on a monthly basis.
Great idea!
It probably won't work.
The reason - Envy and jealousy.
That said, i cannot see anyone below the age of 25 getting credit in future on the back of the current state of affairs...
Actually, that is quite a good thing, it will teach everyone that they HAVE to work for what they want.
MY GOD, WE COULD ACTUALLY TURN THE COUNTRY AROUND!!
It probably won't work.
The reason - Envy and jealousy.
That said, i cannot see anyone below the age of 25 getting credit in future on the back of the current state of affairs...
Actually, that is quite a good thing, it will teach everyone that they HAVE to work for what they want.
MY GOD, WE COULD ACTUALLY TURN THE COUNTRY AROUND!!
AndyAudi said:
I was amazed to learn recently that parents i know with kids at uni are finding it necessary to give them a weekly allowance as they are incapable of handling their money on a monthly basis.
That is more a case of parents not knowing how to say 'No'They will only cock up a monthly allowance a couple of times if the bank of mum and dad only sends frozen dinners, rather than more cash, when they run out.
Skipppy said:
Great idea!
MY GOD, WE COULD ACTUALLY TURN THE COUNTRY AROUND!!
If my plans came into action within 10 years we'd have a whole generation of now young adults who's financail awareness would be vastly improved 2018 thats not far away I'd say it would certainly benefit the UK culture, its too late to try to change people who are too old to listen to others advice so given that start a fresh. MY GOD, WE COULD ACTUALLY TURN THE COUNTRY AROUND!!
Welshbeef said:
Mr POD said:
That any self respecting parent would not teach their kids the importance of budgetting.
I learnt by going youth hostelling at 14 with just enough money for a week, and not running out.
Thing is there are countless Hapless parents who dont have a clue about budgeting & cashflow.I learnt by going youth hostelling at 14 with just enough money for a week, and not running out.
Did your parents go into mortgages/loan/HP/PCP/Tax efficient savings/Mortgage offset accounts/Annuities/Pensions/ SAYE / SIP/Guilts/bonds / Equity / Unit tursts / OEIC - open ended investment companies?
Mine were pretty hot on it but even so ISAs were all that was taught as they always paid cash excl mortgage so laons was totally alien to them.
I work for a national firm of insolvency practitioners (we deal with bankruptcies, liquidations etc) and I think it would be a good idea to teach kids how to manage money.
The amount of numpties I deal with day in, day out who have absolutely no idea of how to stick to a basic budget and have tens of thousands of pounds owing on credit cards which is basically down to living beyond their means.
I also think that people who want to be Company Directors should have to pass a basic course on how to run a business first too - the pathetic excuses you from people when they have completely screwed their business over is ridiculous.
To be fair I don't think I'm ever likely to be out of a job even if people were taught this basic skill but at times like this I wouldn't be so busy and I could leave the office at a respectable time!
The amount of numpties I deal with day in, day out who have absolutely no idea of how to stick to a basic budget and have tens of thousands of pounds owing on credit cards which is basically down to living beyond their means.
I also think that people who want to be Company Directors should have to pass a basic course on how to run a business first too - the pathetic excuses you from people when they have completely screwed their business over is ridiculous.
To be fair I don't think I'm ever likely to be out of a job even if people were taught this basic skill but at times like this I wouldn't be so busy and I could leave the office at a respectable time!
I think the main problem is that unless you have a teacher who happened to first do a degree in economics (Like my sister in law), the current generation of young adults would only make a half stab at teaching this stuff.
That isn't a pop at teachers but anything like this would be tagged onto what they have to do already. I have looked at various ways of doing this kind of teaching and some schemes have been developed by examining bodies and the some banks. These schemes are designed to be used with young people to explain thinks such as Interest, Borrowing, Investments and Savings, Bank Accounts, Their rights in law, Personal Budgeting, How a pay slip is written, 'Benefits', Debt, and generally a ton of useful stuff.
I have 2 slightly different versions of these courses but the amount of teenagers we can get the information to is limited. Schools don't seem interested in investing any money in non GCSE subjects and its a bugger to commit staff to an unfunded project.
But at least the outlines of what the OP suggested exist. If anyone would like to discuss this stuff with me send me a PM.
That isn't a pop at teachers but anything like this would be tagged onto what they have to do already. I have looked at various ways of doing this kind of teaching and some schemes have been developed by examining bodies and the some banks. These schemes are designed to be used with young people to explain thinks such as Interest, Borrowing, Investments and Savings, Bank Accounts, Their rights in law, Personal Budgeting, How a pay slip is written, 'Benefits', Debt, and generally a ton of useful stuff.
I have 2 slightly different versions of these courses but the amount of teenagers we can get the information to is limited. Schools don't seem interested in investing any money in non GCSE subjects and its a bugger to commit staff to an unfunded project.
But at least the outlines of what the OP suggested exist. If anyone would like to discuss this stuff with me send me a PM.
Edited by chris_w666 on Friday 12th September 14:39
Mr POD said:
Welshbeef said:
Mr POD said:
That any self respecting parent would not teach their kids the importance of budgetting.
I learnt by going youth hostelling at 14 with just enough money for a week, and not running out.
Thing is there are countless Hapless parents who dont have a clue about budgeting & cashflow.I learnt by going youth hostelling at 14 with just enough money for a week, and not running out.
Did your parents go into mortgages/loan/HP/PCP/Tax efficient savings/Mortgage offset accounts/Annuities/Pensions/ SAYE / SIP/Guilts/bonds / Equity / Unit tursts / OEIC - open ended investment companies?
Mine were pretty hot on it but even so ISAs were all that was taught as they always paid cash excl mortgage so laons was totally alien to them.
I take it your >18y.o. in which case everything in that list applies to you - although some may not be until you retire but that aside you really should have knowledge of them and what they are used for - if you dont then you could be making incorrect financial decisions.
Also to add credit cards - how to use when to use etc. For me everything should be bought on creditcard total piece of mind purchases but pay it all off every month.
Welshbeef said:
Thing is there are countless Hapless parents who dont have a clue about budgeting & cashflow.
Did your parents go into mortgages/loan/HP/PCP/Tax efficient savings/Mortgage offset accounts/Annuities/Pensions/ SAYE / SIP/Guilts/bonds / Equity / Unit tursts / OEIC - open ended investment companies?
TBF that's pretty silly for schoolkids. What the OP meant was the simple concept that if Peter has 100 pennies, and he spends them all, then Peter doesn't get any sweets or mobile phone time. Value of money, saving up, that's all.Did your parents go into mortgages/loan/HP/PCP/Tax efficient savings/Mortgage offset accounts/Annuities/Pensions/ SAYE / SIP/Guilts/bonds / Equity / Unit tursts / OEIC - open ended investment companies?
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