FPA goes back to school

Australian high school students could find themselves studying financial planning alongside their other subjects by 2004, following a major push by theFinancial Planning Association(FPA) to include financial planning education in the Australian school system.

FPA chief executive, Ken Breakspear today launched the FPA Financial Education in Schools project, which will examine possible ways of implementing a financial planning education program on a nationwide basis in Australia for students ranging from years 7-10 in high school.

To help implement the program, Breakspear says the association has established the FPA Financial Education in Schools Project taskforce. He says the taskforce was developed because of Australia has a poor saving culture and climbing levels of debt. At the same time consumer appetites are at present very healthy and rather than saving for something, they are more inclined to buy now and pay later.

Among the members of the project taskforce are financial planning veteran Gwen Fletcher, authors Paul Clitheroe and Vivienne James and journalist David Koch.

Breakspear says the proposed FPA Financial Education in Schools Program taskforce will finish its needs analysis in August this year, while still working closely with key stakeholders such as the Education Department, the Minister for Education, and the Teachers Federation.

Breakspear says the taskforce will also work with stakeholders and financial planners in September this year to develop a suitable program that may be a stand alone course or part of existing curriculum such as the commerce subjects.

A proposed pilot program will be in operation in February 2003, with further assessment of the pilot program to take place in mid 2003. If successful, the taskforce will offer the program nationwide through all secondary schools in 2004.

The project will encourage students to identify and prioritise their personal money management goals, develop a personal spending and savings plan, and track their income and spending to stay within their budget. It also hopes to help students understand the cost of using credit, protect their assets as they begin to accumulate money and comprehend the impact of time on the value of their money.