Financial Literacy and Planning

Financial Literacy – Why it Matters

“The ability to understand how money works and how to manage it, is vital to everyone in order to be successful in life. Being equipped with the knowledge to navigate saving, investing, student loans, debt, taxes, retirement, etc, should be mandatory education starting at a young age, not an elective afterthought.”  –  Programmed to Spend

Without the knowledge necessary to make wise financial decisions, people often end up in serious debt trouble that can take a significant toll on their well-being. They may not understand the pitfalls of buying on credit, when you should and shouldn’t borrow money, or how high interest and fees can erode their wealth. If you don’t know the importance of credit scores, emergency funds, or how to make every dollar count, it is critical that you educate yourself. Without goals and some sort of spending plan, there will be no saving or investing for the future. There is a direct correlation between financial literacy and the amount of wealth one is able to accumulate before retirement –  it doubles.

“High school students in America have a financial literacy rate of less than 20%. To add insult to injury, we are witnessing a financial technology (fintech) upheaval, which means the majority of students are lacking all the basics needed for digital financial literacy. This leaves them woefully unprepared for managing in a cashless (or near cashless) world, maintaining online security, navigating digital currencies such as bitcoin, utilizing alternative online banking/lending platforms, or understanding digital wallets, asset and securities tokenization, and a multitude of other new digital technologies. Without digital literacy, they will be unqualified to work in the financial industry. It is already painful to watch so many young people struggle with student debt after graduating with a ‘Bachelor of Nothing Useful’ degree, and without significant change in education policy, things will only get worse.”  Digital Literacy Crisis – The Education System Needs to ‘Get With The Game’

Fraud Prevention – Identity Theft can Drain you Financially and Emotionally

Identity theft is one of the most common crimes committed in Canada. In the United States, someone becomes a victim of identity theft every two seconds. Your personal information is everywhere, including in the hands of every company you interact with...

Your Financial Reputation

The terms credit score and credit rating are tossed around so much, they may be losing their effectiveness. Does the statement "You have a bad financial reputation" get the point across a little better? What does it all mean? Having a good financial reputation may not...

Beware of Pyramids and Other Scams Masquerading as Legitimate Digital Currency Investments

Originally Published on DCEBrief Wherever there is money to be made, there will always be crafty scam artists with complex plans to bilk naive and unsuspecting investors out of their money. Since bitcoin and dozens of other digital currencies are proving...

Introduction to Retirement Plans

Employer Sponsored Pension Plans A lot of people are counting on their workplace pensions to make up the majority of their retirement funding. The most common employer sponsored pensions will fall into one of the following two categories. ⦁ A defined benefit means you...

“Trendy Investments are Especially Ripe For Fraudsters” – SEC Office of Investor Education and Advocacy article on Cryptocurrenies & ICO Tokens

An article by Lori Schock, Director of the SEC's Office of Investor Education and Advocacy, further reiterates the need for accurate cryptocurrency education. The 'fear of missing out' enthusiasm is showing no age boundaries - students, millennials, and...

DNotesEDU Prioritizes Investor Protection in Cryptocurrency Education

Originally Published on Cryptocurrency education platform DNotesEDU has announced a massive upgrade, offering expanded content that provides entry level educational material focusing on cryptocurrency and personal finance. According to...

Investment Allocation by Risk Level

When most people think of investment risk, they may naturally think of the ones with a level of high risk only. All investments involve risk! The greatest risk of so called ‘safe’ investments, is their loss of value due to inflation. Let’s say you found a...

Government Benefits for Seniors in the United States – Social Security

There is a lot of doubt as to the long term viability of the Social Security program, but for now it provides financial security for millions of Americans that are retired or disabled. It can also be an economic lifeline to their family and/or ex-spouses....

Government Benefits for Seniors in Canada – CPP & OAS

Canada Pension Plan (CPP) One of the cornerstones of retirement in Canada is the Canada Pension Plan. It is a public pension plan for all workers that provides eligible contributors with a limited replacement income when they retire or become disabled. It...

Your Retirement & The High Cost of Procrastination

“One third of adults in the United States have no retirement savings at all, and according to, the figure is even worse for people age 18 to 29 (millennials) with 69% having nothing saved. This is very troublesome as it is this age group who...

Why Financial Literacy?

Everyone needs a basic level of financial literacy, or you may find yourself in serious debt trouble, turned down for a job or promotion, unprepared for emergencies, and a myriad of other predicaments such as never being able to rise out of poverty. You have nothing to lose when a course like this is free – even if you don’t pass, you will still walk away with some beneficial financial knowledge.

In 2013, the FINRA Foundation released the results of America’s State-By-State Financial Capability Survey – the findings were dismal at best.

  • Younger Americans, especially those who are 34 and under, are more likely to show signs of financial stress, including taking a loan or hardship withdrawal from their retirement account or making late mortgage payments.
  • Younger Americans are more likely than older Americans to have unpaid medical bills. Of those surveyed, 31 percent of Americans aged 18-34 reported having unpaid medical bills compared to 17 percent for Americans aged 55 or older.
  • Fewer than half (41 percent) of Americans surveyed reported spending less than their income.   
  • Over a quarter (26 percent) of Americans reported having unpaid medical bills.
  • More than half of Americans (56 percent) do not have rainy-day savings to cover three months of unanticipated financial emergencies.
  • Over a third of Americans (34 percent) reported paying only the minimum credit card payment during the past year.
  • On a test of five basic financial literacy questions, the national average was 2.88 correct answers.