The California Governor’s Office has announced that future high school students in the state will soon be required to take a financial literacy class in order to graduate.
a invoice The bill, introduced by state Assemblyman Kevin McCarty (D) and supported by a bipartisan group of Republicans and Democrats, aims to incorporate a semester-long personal finance course into the curriculum by the 2027-2028 school year and make it mandatory in the 2030-2031 school year.
AB 2927 would allocate $300,000 from California’s general fund to a state board to develop and recommend a curriculum that would then be adopted by schools across the state.
Governor Gavin Newsom (Democrat) Announced He voiced his support for the plan on Thursday.
“We need to help Californians prepare for their financial future as soon as possible,” the governor said in a statement. “Saving, investing and spending wisely for the future are lifelong skills that young people should learn before they enter the workforce, not after.”
The move was welcomed by Senate President Pro Tempore Mike McGuire (D-Calif.), who said “financial literacy is a critical tool that can provide lifelong benefits.”
“There’s a wealth of data on the benefits of learning these valuable lessons in high school, from improved credit scores and reduced default rates to improved odds that future generations will maintain a three-month savings for emergencies and have at least one type of retirement account,” Maguire added.
State Assembly Speaker Robert Rivas (D) added that the bill’s provisions “are the culmination of many lively and productive conversations we have had with stakeholders across the state about how to most effectively incorporate financial literacy into high school curricula.”
Senator McCarty, who introduced the bill in the Assembly, said financial literacy skills are “critically important for young people.”
“After two years of advocating for student personal finance, I’m thrilled that #AB2927 has now reached the Governor’s desk and will be signed into law,” he wrote on X. “I’m proud to be the lead author of this important policy and will help students make smart money decisions that will benefit them for the rest of their lives.”
After two years of advocating for student personal finance, I’m excited #AB2927 It’s now on the Administration’s desk and set to be signed into law. I’m proud to be the lead author of this important policy, helping students make smart money decisions that will benefit them for the rest of their lives. pic.twitter.com/6xJvX4AIA4
— Asm. Kevin McCarty (@AsmKevinMcCarty) June 27, 2024
Meanwhile, State Senate Minority Leader Brian W. Jones (R-Ill.) pointed out the irony of Newsom’s own fiscal policy.
“Newsom and his Democrats [Politician] “California would not be facing a $62 billion budget deficit if our peers hadn’t taken financial literacy classes,” the Republican wrote to X.
If Newsom and his Democratic colleagues had taken financial literacy classes, California might not be facing a $62 billion budget deficit. #FixCalifornia pic.twitter.com/VtMTbAdwSK
— Brian W. Jones (@SenBrianJones) June 27, 2024
