The Importance of Teaching Financial Literacy to Youth

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

"Being kids, they threw out the most imaginative answer, which I've never heard before," Thomas tells Professional Planner. "They said babies."

While technically not incorrect, the correct answer is women.

"I explained that women retire with half the amount of superannuation that men do," Thomas says. "They were shocked and I asked them if they thought that was fair. They replied with a resounding 'No!'"

This presentation by Thomas and Horizon Group of Companies financial advisers Remo Venditti is part of a program aimed at teaching high school students about budgeting, financial goals, compounding, investing, and superannuation.

Addressing the Financial Literacy Gap

The Financial Advisers Association of Australia (FAAA) recognizes the importance of educating young people about financial literacy, according to FAAA general manager Anne Palmer.

"Teaching financial literacy to young people is incredibly important," says Palmer. "It sets them up for success in the future, not just financially but in every aspect of life. The foundation of any financial plan is understanding cash flow and budgeting."

Thomas agrees, emphasizing that even children can benefit from understanding their cash flow and budget. Starting the practice of saving for things instead of relying on debt at an early age is key.

"If they understand the benefits of long-term investing, it's really the world's their oyster," Thomas says. "Young people right now can give themselves a good start by equipping themselves with the tools to save and invest wisely."

The Talk Money Program

In response to the decline in youth financial literacy, Ecstra launched the Talk Money program in 2022, aimed at teaching children about financial literacy. Since its inception, the program has reached over 230,000 students through workshops conducted in schools across Australia.

Roadshows make up 17% of Talk Money bookings, allowing for concentrated time in regional areas across the country. While online workshops are available, the organization prefers face-to-face interactions for better student engagement.

About 24% of bookings in 2023 were repeat bookings, indicating the value that schools see in financial literacy education. External facilitators like Ecstra provide teachers with the confidence to have conversations about money in the classroom.

Ecstra is actively reviewing and improving the Talk Money program based on feedback received from schools and students, showing their commitment to evolving and meeting the needs of young learners.

Emphasizing Financial Literacy as a Life Skill

Anne Palmer and Tracey West, manager of the Ecstra Foundation, both believe that teaching financial literacy is a crucial life skill.

"It's one of the most important subjects young people will ever learn," says Palmer. "It sets them up for success not just financially, but also in all aspects of life."

West adds, "Financial literacy is a key skill that empowers individuals to make informed decisions about their finances and future."

By teaching young people about budgeting, saving, and investing, we equip them with the knowledge and tools to build a more secure and prosperous future.

Published:Friday, 17th Nov 2023
Author: Paige Estritori

Please Note: We do not endorse any specific products or companies. Some content is sourced from third parties, including press releases, and may not be independently verified for accuracy or completeness.

Share this news item:

Finance News

Clear

Tax Debt Pressure Is Reshaping Small Business Borrowing

16 Sep 2026: Paige Estritori

Small business finance is again in focus as more Australian operators look for ways to manage tax debts, supplier bills and uneven cash flow. Recent finance sector commentary points to a practical shift: lenders are still willing to consider funding requests, but they are looking more closely at whether a business can realistically service new repayments while existing obligations remain under pressure. - read more

Loan Complaints Put Borrower Treatment Back Under the Microscope

09 Sep 2026: Paige Estritori

Fresh financial complaints data has kept Australia’s lending sector under pressure, with consumer credit issues remaining a major concern for households already dealing with higher everyday costs. While the figures cover a broad range of products, the message for borrowers is clear: the way a lender assesses, explains and manages a loan can matter just as much as the advertised rate. - read more

Why Cash-Flow Data Is Changing Loan Assessments

02 Sep 2026: Paige Estritori

Australian lending is continuing to shift towards faster, data-led assessment, with more providers using bank transaction history, income patterns and real-time affordability checks to understand whether a borrower can manage repayments. For people who have been knocked back by a mainstream bank, this is an important development because it can reduce the emphasis on a single credit score and place more weight on what is happening in the borrower’s finances today. - read more

Hardship Support Moves Higher on the Lending Watchlist

26 Aug 2026: Paige Estritori

Australia’s credit sector is facing renewed pressure to treat financial hardship as a core borrower protection, not a back-office process. The latest lending market focus is on how quickly and fairly credit providers respond when customers say they are struggling, especially as household budgets remain stretched by rent, utilities, groceries and existing debt commitments. - read more

Buy Now Pay Later Rules Are Changing for Australian Borrowers

19 Aug 2026: Paige Estritori

Australia's buy now pay later sector is moving into a more regulated era, with providers being brought closer to the consumer credit framework that already applies to many personal loans and credit products. For borrowers, the practical message is simple: short-term convenience is being matched with stronger scrutiny around affordability, hardship support and responsible lending. Find out now if you qualify and compare rates, offers and options from multiple lenders - without a credit check! - read more

Why Personal Loan Pricing Is Still Uneven for Australians

12 Aug 2026: Paige Estritori

Recent personal loan market updates suggest Australian borrowers are seeing more competition in some parts of the lending market, but the benefits are not being shared evenly. Secured borrowers with stable income and strong repayment histories may find sharper advertised rates, while people applying for unsecured loans, short term loans or specialist bad credit loans still face a more complicated pricing picture. - read more

Why loan affordability matters as rate pressure lingers

04 Aug 2026: Paige Estritori

Recent personal lending updates from Australia’s loan comparison market suggest borrowers are still facing a mixed environment. While some advertised rates have become more competitive, unsecured personal loan pricing remains uneven, especially for applicants who do not fit a mainstream bank profile. For Australians with limited credit history, casual income, self-employment or past repayment issues, the headline rate is only one part of the decision. - read more

Debt Consolidation Demand Rises as Households Juggle Repayments

28 Jul 2026: Paige Estritori

Debt consolidation is moving back into focus as Australians continue to balance higher living costs, credit card balances, buy now pay later commitments and personal loan repayments. Recent finance sector commentary suggests more borrowers are looking for ways to simplify their debts, not necessarily to borrow more, but to make existing obligations easier to manage. - read more

ASIC’s Private Credit Warning: What It Means for Borrowers

21 Jul 2026: Paige Estritori

Australia’s fast-growing private credit market is again under the regulatory spotlight, with ASIC warning that borrowers, investors and superannuation members may be more exposed to private lending risks than many realise. The latest concern centres on a sector that has expanded as banks have become more selective, especially in areas such as property development, construction finance and specialist business lending. - read more

HSBC Penalty Puts Scam Protection Back in the Spotlight

23 Jun 2026: Paige Estritori

HSBC Bank Australia has been ordered to pay a $35 million penalty after admitting serious failures in how it protected customers from scams. The case is significant because it moves beyond warning consumers to be alert and places stronger focus on the systems banks use to detect, prevent and respond to unauthorised transactions. - read more

Click for more Finance News