Financial Literacy
Understand and effectively use various financial skills
We will teach our mentees the importance of saving and investing and how to use the tools of compound interest and passive income to increase their money and to build long term wealth. We will work with the student and his family to establish a saving account. Our participants will learn the dangers (and appropriate use) of credit. Our students will be introduced to the stock market, utilizing tools such as Investopedia’s stock market simulator. Students will research and select investments and track them for the entirety of the program.
Appropriately use
Credit
The Importance of
Saving
Building
Long Term Wealth
The Importance of
Investing
The Issue
Without financial literacy, our financial decisions and the actions we take—or don't take—lack a solid foundation for success.
- 1/3 of minority households do not have a savings account.1
- Black people hold $6 of assets for every $100 owned by Whites 2
- White households account for 80.4% of real estate holdings3
- African Americans held only 1.6% of corporate stock and mutual fund shares compared to almost 91.6% by White investors as of March 31, 2020. 4
For these reasons and a myriad of others, we felt that early education in financial literacy fundamentals is an integral part of altering the path of the young men that we mentor.
How We Deliver
Students will learn the importance of saving and how to use the tools of compound interest and passive income to increase their money and build wealth. We will assist the student in opening a bank account and to understand budgeting. They will learn the dangers (and appropriate use) of credit and bad debt. They will be taught that there is dignity in work, that there are benefits to delaying gratification and how to use the resources they earn to grow their money over time. The students will be introduced to the stock market, utilizing tools such as Investopedia’s stock market simulator. Students will be introduced to various apps designed to help them learn about money, earn, save and spend responsibly.
The Result
Early intervention will help students develop a good understanding of money and how to put it to work. Students will receive the fundamental building blocks that will assist them on their journey toward financial responsibility and success.
