Helping to Improve Financial Awareness & Financial Literacy

Posted by Valentino Sabuco, CFP®, AEP® on Apr 18, 2018 7:30:00 AM

The Challenge

Managing personal finances today is more complicated, time consuming, and more important than ever. We are living longer, but saving proportionately less. We feel less secure in our jobs, homes, and overall outlooks than previous generations did. We watch, helplessly, as our money evaporates due to exorbitant costs of housing, taxes, education, health care and life’s too many “unexpecteds.” Many people worry about the future, or unfortunately in many cases, they simply try not to think about it. Until “it” happens – a financial catastrophe that could have been avoided by some advanced planning.

Most people are not taught the essential principle to smart personal financial management – the foundation to personal finance knowledge – at home or in school, thus they don’t have the proper tools to address every day money decisions in an informed manner. This jeopardizes their financial and physical wellness, their ability to realistically achieve and maintain their personal and financial dreams and enjoy a financially secure debt free future.

Our research tells us that young people, middle aged and older people know they need ‘financial knowledge’ but are not sure what it is. We strongly believe that most people have not been provided with the ‘foundation to financial knowledge’ we call the essential principles to smart personal financial management. Without this empowerment people do not have the critical tools to make informed everyday money decisions throughout their lives.

This is a large part of the reason why many people and families are:

  • On the verge of running out of money prematurely
  • Burdened with large amounts of student loans and other forms of debt
  • And more than half of our adults in America (120 million – poor to wealthy) do not have nor understand the importance of having an up-to-date financial, estate and gift plans to protect themselves and their families

The lack of financial awareness, along with the financial illiteracy epidemic places a HUGE growing amount of pressure on families and friends, employers, and even nonprofits.

What We’re Doing

The Improving Financial Awareness & Financial Literacy Movement is a broad based media and education initiative built on the strategic campaign venues of National Financial Literacy (April) and National Estate Planning Awareness Month/Week (third week in October).

The plan is to touch the majority of the general public – rich to poor, at least twice a year through these strategic campaign venues, with educational and motivating reminders to get and keep their financial, estate and gift plans in order.

We understand that this is a massive undertaking; but as we move into the 10th year of the Improving Financial Awareness & Financial Literacy Movement it’s being accomplished through thought leading financial service, nonprofit, and charitable gift planning organizations and their professionals, educational institutions, municipalities, employers, the news media, and other concerned organizations and individuals.

For further information, access the Improving Financial Awareness & Financial Literacy Movement Report & Magazine here. This report provides a broad picture of the lack of financial awareness and financial illiteracy epidemic, an overview of the strategy behind the movement and campaigns, and a sampling of community participation.

The National Association of Charitable Gift Planners (CGP) partners with the Financial Awareness Foundation for Financial Literacy Month with efforts to bring attention to the growing lack of financial awareness and financial literacy throughout the month of April. Read more about our organizational efforts for Financial Literacy Month here.


Topics: Financial Awareness Month, Financial Planning