Financial Literacy Education Becomes Mandatory in More States

Seven states in the US, including Alabama, Iowa, and Virginia, have received an "A" grade for requiring high school graduates in the class of 2023 to take a personal finance course before graduation. By 2028, 23 states are projected to earn an "A" as more laws and policy changes are implemented. The increase in states requiring financial literacy education is partly due to the Covid-19 pandemic, which highlighted the financial vulnerability of many Americans. Studies show that personal finance education can significantly improve young adults' financial behaviors. However, four states, including California and Massachusetts, received failing grades for having "virtually no requirements" for personal finance education. Advocates in these states are working to change the laws to ensure all students receive financial education.