Why Financial Literacy Month is Ineffective
Financial literacy month is an annual event in Canada that aims to raise awareness and promote education about personal finance. Since its launch in 2011, financial literacy month has featured various activities, resources, and initiatives, such as workshops, webinars, podcasts, and social media campaigns, to engage Canadians of all ages and backgrounds in improving their financial knowledge and skills. However, despite these efforts, some critics argue that financial literacy month is not effective in achieving its goals and addressing the root causes of financial insecurity and inequality in Canada.
In this article, I will explore some of the reasons why financial literacy month may not be effective and suggest some alternative approaches that could complement or replace it. We will also include a YouTube video titled "What is Money Time Coaching," which you can watch here https://youtu.be/acQptYbmoSE , that explains how subscribing to the Money Time Coaching Channel can be a powerful tool for improving financial literacy and well-being.
Your 1 Stop Shop for Financial Literacy →https://www.youtube.com/@moneytimecoaching
One reason why financial literacy month may not be effective is that it often focuses on individual behaviour and choices rather than systemic issues and structures that affect people's financial opportunities and outcomes. For example, financial literacy month may offer advice on budgeting, saving, and investing, but it may not address the underlying factors that make it difficult for some Canadians to access affordable housing, secure employment, or adequate social services. Financial literacy alone cannot solve poverty, inequality, or discrimination, which require broader policy solutions and collective action.
Another reason why financial literacy month may not be effective is that it may assume a one-size-fits-all approach to financial education that ignores the diversity of people's needs, backgrounds, and experiences. For instance, financial literacy month may use jargon, terminology, or examples that are not relevant or accessible to some Canadians, such as newcomers, Indigenous peoples, or people with disabilities. Financial literacy needs to be culturally responsive, inclusive, and empowering, which requires a nuanced and personalized approach that recognizes and respects people's differences.
A third reason why financial literacy month may not be effective is that it may not provide ongoing and meaningful support to Canadians who want to improve their financial literacy and well-being. For example, financial literacy month may offer a range of resources and activities during a limited time frame, but it may not follow up with participants or provide feedback, coaching, or mentorship that can help them apply what they have learned and overcome challenges. Financial literacy needs to be a lifelong journey that involves continuous learning, reflection, and adaptation, which requires ongoing and personalized support that meets people where they are.
As a financial coach and educator, I believe that financial literacy is important, but it is not enough. That's why I created Money Time Coaching, a holistic and personalized approach to financial coaching that helps Canadians improve their financial literacy, mindset, and behaviour. Through Money Time Coaching, I work with clients to develop customized plans that align with their values, goals, and circumstances, and provide ongoing support and accountability to help them achieve financial freedom and security. Whether you want to pay off debt, save for a home, or retire comfortably, Money Time Coaching can help you overcome obstacles, build confidence, and take control of your financial future.
In conclusion, financial literacy month is an admirable initiative that aims to promote financial education and empowerment in Canada, but it may not be effective in addressing the complex and systemic issues that contribute to financial insecurity and inequality. To complement financial literacy month non-profit government organizations must work with AFCC® (accredited financial counsellors Canada) financial coaches to ensure people are not only financially literate for the month, but for a lifetime.