Teen Discovers Financial Literacy and Personal Philanthropy

By: Ella
Ella is a participant in Allowance for Good's Winter 2015 Emerging Leaders in Philanthropy: Explorers class.

When I signed up for the ELP Explorers class, one of the words that jumped out to me in the course description was “financial literacy”. I had heard it before: it’s a “buzzword” often used in news articles or on talk shows, but not everyone knows what it means (I didn’t). But people often claim that it is severely lacking from our education system, and that teaching it may be the secret to preventing a good amount of our financial troubles. It turns out that financial literacy can mean a myriad of different things to different people, but fundamentally, it is the ability to understand financial matters, and how money works in general. However, many people don’t possess this understanding, as a 2008 survey shows that only 34% of parents have taught their child how to balance a checkbook.

In the most recent ELP class, we began to learn financial literacy by tracking our weekly spending and comparing it to our weekly earning. Many of us were surprised, and realized how little we think about spending money as teenagers. Financial literacy ties into personal philanthropy because it teaches us how to properly allocate and transfer funds. Also, keeping in mind my own spending highlights how severe needs are in the areas where we are trying to direct our aid to, and provides a sense of urgency to our personal philanthropy. For example, I will usually spend 7 or 8 dollars on food when I go out with my friends without a second thought. However, 2.7 billion people worldwide are struggling to survive on less than $2 a day, or a fourth of that amount. We also learned about AFG’s global affiliates, many of which combat similar situations: There’s the Liger Learning Center, based in Phnom Penh, Cambodia, a progressive school that provides opportunities for bright children living in poverty. There’s the Adonai Child Development Centre in Uganda for kids living among AIDS, war, and poverty. Finally, there’s Spark Ventures, which is Chicago-based and had a representative come in and educate us about their partnerships, such as Hope Community School. This is located in Zambia and provides the impoverished children of Twapia with an education. In future ELP classes, I’d be interested to learn more about what we can do to get involved with our global affiliates and how we can fundraise for them.


Ella writes, "I am a Catalyst for Good because no matter who you are or where you come from, you can make a difference."