By YOUNG MONEY Staff
13 September 2010

Citing the recent financial crisis, the Obama Administration unveiled a new program that will give high school students a better grasp of the basic concepts of personal finance.

The Financial Capability Challenge includes a voluntary exam and a toolkit for teachers to help students learn about how to save, budget and invest their money, borrow safely and navigate the sometimes-baffling world of finance. Teachers can register at www.challenge.treas.gov beginning today, and the test will take place in March 2011.

"Financial literacy is essential not only to the financial security of millions of American families, but also to the economic health of our nation as a whole," said Treasury Secretary Tim Geithner. "Ensuring that young people have the skills they need to make wise financial choices today and into adulthood will help us build a stronger foundation for our nation's economic future."

Last year, the program saw 2,500 educators and over 75,000 students participate; the administration's goal is to bump those numbers up by 15 percent.

The importance of financial literacy for young students and workers cannot be overstated - it's important for schools to foster an understanding of the financial tools available to young people, so that they don't end up being taken advantage of by those very tools.