We Can't Solve Financial Literacy Without Talking About Money #MySavingsTip

Money. It’s one of the most universally loaded words in the dictionary. As writer, media pioneer, and brand expert Natalie Zfat puts it: 

"People don't like talking about money. People who have it don't want to talk about it, and people who don't have it certainly don't want to talk about it.” - Natalie Zfat

It makes sense. Money can be hugely emotional, challenging, and even overwhelming to discuss. I certainly don’t love talking about debt, bills, supporting my parents and siblings, or even my money habits. Even if I wanted to discuss it, it would likely lead to an awkward and uncomfortable conversation for everyone. Many people feel this same discomfort, and the natural impulse becomes to ignore all conversations about until it becomes absolutely critical. Otherwise, do we really need to discuss it?

It should come as no surprise then, that only 17 states require a course about money prior to high school graduation. That’s 1/3rd. Hopefully the alarm bells are ringing now.

In a country with the world’s greatest student debt epidemic, widespread credit card struggles, and massive national debt, only 1/3rd of our states require a single course about money to graduate high school and enter the workforce. That’s not even talking about the quality of those courses or the resources given to those teachers and schools for teaching financial literacy. For a problem that is so top of mind nationally, there is very little in place to prevent further perpetration of these trends.

Here’s where shying away from discussing money becomes problematic. Natalie continues: “The harsh truth is that 60% of adults don’t have a safety net in case of emergencies.”

That needs to change, and how better than improving financial literacy for our youth. But change is inconceivable if we are unwilling to talk about it, something Natalie has picked up on as well: "We need to change the conversation. Talking about saving might be uncomfortable, but it's so very important. “

Natalie’s passion for empowering young people through financial literacy, led her to The Council for Economic Education (CEE). CEE is an organization committed to " teaching personal finance and economics to K-12 kids by providing training and classroom resources to their teachers”, according to Council for Economic Education CEO, Nan Morrison.

CEE recognized that change will start with our youth. If we are to improving savings and reduce average household debt, we need to prioritize financial literacy in schools. New comers to the workforce need to have a high baseline level of financial literacy and be equipped with the tools to think about their future.

Nan has quite the vision for the change CEE can bring in raising the standard of financial literacy:

"I would like to reach and teach every K-12 child. That means giving access, training, and tools to every K-12 teacher to integrate personal finance lessons into the everyday life of their classroom.” - Nan Morrison

Nan learned the importance of personal finance well before she joined CEE:  "I had great lessons from my parents – they were both depression-era babies who grew up without a lot so knew the value of money. When I was very little, I would go with my dad to the radio station he owned. We would empty the change in the soda machine and I would help to roll the coins and take them to the bank with dad. My “pay” was an Orange Crush soda (not allowed at home) and eventually a small deposit into my own savings account. Work – reward – save.”

Now coming full circle Nan is looking to help cultivate those values and raise the standard of financial literacy in schools across America. This April CEE has launched the #MySavingsTip campaign with the support of icons like Mark Cuban and Randi Zuckerberg. The concept is simple according to Nan: 

"We want kids to listen, and know that the path to a good life is built one step at a time -  it is always easier to heed advice and counsel from someone you admire or think is cool or successful.”

Nan is right, we need our kids to listen and in reality, we all need to listen. If we are to work through the complexity of money and set our future workforce up for success, we need to lean into the uncomfortable conversations. We need to discuss our challenges and our solutions, openly and constructively with one another. If you’re looking for somewhere to get started, participate in CEE’s #MySavingsTip Campaign. Share your tips, learn from others, and spread that knowledge. What is your #SavingsTip

This is a bit of an unusual interview piece but was a blast to put together especially around a cause near my heart. I had the pleasure of connecting with CEE and Nan Morrison, through my good friend Natalie Zfat. I was fortunate enough to get some time with both of them to learn more about CEE's vision for financial literacy, their personal finance stories, lessons learned, the impact of technology of savings, and more. Check out the full interview excerpts below:

Samir // Nan

SG: As CEO, you could have any number of job descriptions, how do you describe your job?

NM: Being CEO is like being the chef/owner of a great restaurant. My job is to create a menu of programs and services that meet evolving market needs yet stay true to our mission and what we do best – teaching personal finance and economics to K-12 kids by providing training and classroom resources to their teachers. Once that direction is set, my staff can cook it up. 

SG: What lead you to shift away from the private sector (consulting, M&A) etc. to the non-profit world?

NM: I got hooked on education doing a special project for Joel Klein when he was Chancellor of the NYC Department of Education- so when this job came along I jumped. It was about education and helping people to make good decisions to be able to create financial stability and opportunity for themselves, their families and their communities.

SG: What is your personal finance story, what makes this issue resonate for you?

NM:  I had great lessons from my parents – they were both depression-era babies who grew up without a lot so knew the value of money. When I was very little, I would go with my dad to the radio station he owned. We would empty the change in the soda machine and I would help to roll the coins and take them to the bank with dad. My “pay” was an Orange Crush soda (not allowed at home) and eventually a small deposit into my own savings account. Work – reward – save.

SG: What is your vision for CEE moving world? Where would it be in the perfect world?

NM: I would like to reach and teach every K-12 child. That means giving access, training, and tools to every K-12 teacher to integrate personal finance and economics lessons into the everyday life of their classroom. 

SG: What do you see as the biggest challenge to getting there?

NM: Education in the US is local. We need individual outreach to every school in every district, and that takes money. Even in the 17 states where  there is state-wide legislation requiring a course, we need to make sure that the teachers are prepared to teach it.

SG: How did you and the team come up with the #MySavingTip campaign OR why this campaign? 

NM: We want kids to listen, and know that the path to a good life is built one step at a time -  it is always easier to heed advice and counsel from someone you admire or think is cool or successful. And those successful folks are doing the same simple things that anyone can do.

SG: Have there been any influencer stories around personal finance and savings that have really surprised you? Which ones/why?

NM: I am always surprised to hear how close people come to having absolutely nothing. Says a lot about our country’s ability to create safety nets, access and education.

SG: What is something you've learned about personal finance since joining CEE?

NM: How hard access to basic banking services is for so many families and kids. 

SG: Do you see any technologies or innovations that you think will massively transform financial literacy.

NM: Mobile services can vastly improve access – and if companies add simple tools to help people  save and budget, the learning and doing experience will become easier, cheaper and more engaging.

SG: What can people do to help CEE with this campaign and in general to be a champion for youth financial literacy?

NM: Three things. 1. Get the word out– you never know who is listening. 2. Knock at the door of your local school or your kid’s classroom and introduce the educator to CEE – we can provide free training and resources across the country, online and offline. 3. Donate to our Spring Campaign, so we can keep our resources relevant and extend our reach.

Samir // Natalie

SG: What is your personal finance story? Why does this CEE campaign strike so close to home for you? 

NZ: My parents are immigrants who moved to the U.S. in the eighties with almost nothing to their names. They worked hard and taught me from a young age the importance of saving - and later investing - money. But the harsh truth is that 60% of adults don’t have a safety net in case of emergencies. Through this savings campaign, CEE is hoping to fix that. 

SG: How did you wind up getting involved with CEE in the first place? 

NZ: I met CEE's CFO Sally Wood at a charity event a few years ago and was floored by the organization's mission and Sally's personal dedication to the cause. I'll never forget what she told me that night: Only 5 states require high school students to take a class about money before graduation. I thought: This organization can save the future workforce from financial failure. 

SG: What do you see as the biggest challenge in teaching economic education today? 

NZ: People don't like talking about money. People who have it don't want to talk about it, and people who don't have it certainly don't want to talk about it. We need to change the conversation. Talking about saving might be uncomfortable, but it's so very important. 

SG: What is your vision for change in personal finance? What does the world look like with a successful CEE "My Savings Tip” 

NZ: Society puts a huge emphasis on spending - and not nearly enough on saving. Talking about the importance of saving and smart ways to get started give us a chance to get students on the right track.

SG: What you learned from working on the "My Savings Tip" Campaign. 

NZ: No two stories are alike. You have economists like Jeffrey Lacker urging the importance of saving for retirement while former Seventeen editor Ann Shoket suggests skipping impulse purchases. It's a great reminder that everyone carves their own path to success - no path is wrong or right (even if you started on the wrong foot).

SG: What trend in personal finance or economic education should we be paying more attention too? 

NZ: Technology and particularly the internet are helping so many people save money. From sites like Work Market, which help people manage payees (and get paid) to sites like Credit Karma for keeping track of your credit score to Learnvest for investing, there are no lack of online resources, many of which are free.

SG: Whats next? How do you plan to build on this campaign? 

NZ: This was my second year working with the Council for Economic Education on Financial Literacy Month, and I'll continue to work with them until talking about saving is no longer taboo.

A huge shout out to Nan Morrison and Natalie Zfat for taking the time to chat. For more on the Council for Economic Education check out their website here, #MySavingsTip campaign here, and Nan's #SavingTip Video below.