Transcript Slide 1

Module 1: An introduction to
financial education and where
‘Manage money’ exists in the
national curriculum in Wales
Module objectives
• Information on the rationale and purpose of
financial education.
• An indication of where financial capability sits
within the school curriculum in Wales, and the
importance of coordinating delivery between
different subject areas within the school.
• Opportunities to look at the development of skills
as outlined in the ‘Manage money’ element of the
numeracy component of the National Literacy
and Numeracy Framework (LNF).
Rationale and purpose of
financial education
• Schools and colleges have a unique opportunity to
instil positive attitudes towards finance at an early
age and to reach all sections of society, including
many individuals who may later become far harder
to reach.
• Financial education aims to equip learners with the
skills, knowledge and confidence to manage their
money well. It also explores attitudes, emotions and
behaviours towards money.
• Financial education encourages learners to make
informed choices on topics such as needs and
wants, budgeting, borrowing, saving and best
value for money.
Financial capability
Financial capability can be divided into three interrelated
themes:
• financial knowledge and understanding: having
knowledge and understanding of the nature of money
and insight into its functions and uses
• financial skills and competence: being able to
apply knowledge and understanding of financial
matters across a range of contexts in
order to deal with day-to-day money
management issues and to begin to think
about planning for the future
• financial responsibility: developing a
good sense of judgement as to how money
can be used effectively or wasted.
Points to consider when
planning to deliver financial
education in schools
• At the start of the planning process, school staff
should consider the nature of the school community
and the needs and backgrounds of its learners.
• Differences in background and experience will
affect learners’ experience of money and finance.
• Some learners’ experience of money is still very
much within a cash economy.
• Cultural diversity can give learners varying/different
experiences about money.
Delivering financial education
across the curriculum can:
• provide relevant, challenging and engaging
learning opportunities for all learners to link
learning to life outside school
• develop learners’ problem-solving skills in a
real-life context
• encourage learners to make connections between
different subjects in the curriculum
• encourage transference of skills and develop
literacy and numeracy skills.
‘The equation is simple: no finance
education equals poor financial
decisions, equals personal debt plus
worry, plus ill health which equals a
national, socio-economic problem.’
(pfeg*, November 2009)
*pfeg (Personal Finance Education Group) is a UK financial education charity. More
details can be found at www.pfeg.org
Children and money . . .
some research findings
Eight years old is
the average age
for UK children to
get their first
mobile phone.
Research carried out by pfeg: ‘Money on our Minds – a student consultation project’ (2009)
www.pfeg.org/projects-funding/projects/money-our-minds-student-consultation-project
Children and money . . .
some research findings
Ten years old is
the average age at
which children
begin to purchase
items online.
Research carried out by pfeg: ‘Money on our Minds – a student consultation project’ (2009)
www.pfeg.org/projects-funding/projects/money-our-minds-student-consultation-project
Children and money . . .
some research findings
1 in 5 children have
used their parents’
or older siblings’
card to purchase
items online.
Research carried out by pfeg: ‘Money on our Minds – a student consultation project’ (2009)
www.pfeg.org/projects-funding/projects/money-our-minds-student-consultation-project
Children and money . . .
some research findings
Over 75% of
7 to 11-year-olds
are already saving
for the future.
Research carried out by pfeg: ‘Money on our Minds – a student consultation project’ (2009)
www.pfeg.org/projects-funding/projects/money-our-minds-student-consultation-project
Children and money . . .
some research findings
54% of 17-year-olds
say they are in debt
to family and
friends.
Research carried out by pfeg: ‘Money on our Minds – a student consultation project’ (2009)
www.pfeg.org/projects-funding/projects/money-our-minds-student-consultation-project
Children and money . . .
some research findings
90% of teenagers
say they worry
about money on a
daily basis.
Research carried out by pfeg: ‘Money on our Minds – a student consultation project’ (2009)
www.pfeg.org/projects-funding/projects/money-our-minds-student-consultation-project
Children and money . . .
some research findings
51% of teenagers
say they would like
to learn how to
control their
spending.
Research carried out by pfeg: ‘Money on our Minds – a student consultation project’ (2009)
www.pfeg.org/projects-funding/projects/money-our-minds-student-consultation-project
Children and money . . .
some research findings
26% of teenagers
think that credit
cards or overdrafts
are for ‘overspending’.
Research carried out by pfeg: ‘Money on our Minds – a student consultation project’ (2009)
www.pfeg.org/projects-funding/projects/money-our-minds-student-consultation-project
Children and money . . .
some research findings
93% of teachers and
parents/carers think
that personal finance
education should be
taught in schools.
Research carried out by pfeg: ‘Money on our Minds – a student consultation project’ (2009)
www.pfeg.org/projects-funding/projects/money-our-minds-student-consultation-project
Money Matters: the provision of financial
education for 7 to 19-year-olds in primary
and secondary schools in Wales
Estyn’s 2011 Money Matters report presents seven
best practice case studies of approaches taken by schools to
develop financial education. It draws on evidence gathered
from visits to 20 schools and reports on findings in relation to
financial education based on the following:
• learners’ financial skills, knowledge and
understanding
• planning and delivering financial education
• partnership working
• staff development and resources
• leadership.
www.estyn.gov.uk/english/docViewer/200955.3/money-matters-the-provision-of-financial-education-for-7-to-19-year-olds-in-primary-andsecondary-schools-in-wales-june-2011/?navmap=30,119,196,
Curriculum opportunities to
deliver financial education
Specific elements of financial education have been
included in the following Welsh Government resources:
• Foundation Phase: Framework for Children’s Learning
for 3 to 7-year-olds in Wales (2008)
• National Literacy and Numeracy Framework (LNF)
(2013)
• Mathematics in the National Curriculum for Wales (2008)
• Personal and social education framework for 7 to
19-year-olds in Wales (2008)
• Careers and the world of work: a framework for 11 to
19-year-olds in Wales (2008).
Foundation Phase: Framework for Children’s Learning for 3 to 7-year-olds
in Wales
Mathematical Development
Range: Measures and money
Children should be given opportunities to:
• understand and use money
– develop and awareness of the use of money and its value, initially through
role play
– recognise, sort and use coins; find totals and give change.
Mathematics in the National Curriculum for Wales
Key Stage 2 Programme of Study
Range: Measures and money
Pupils should be given opportunities to:
2. understand and use money
 know and use the conventional way to record money
 find approximate solutions to, and use the four operations to solve,
problems involving money
 understand a calculator display in relation to money, e.g. that a display
of 21.4(pounds) means £21.40
 be aware of currencies.
Mathematics in the National Curriculum for Wales
Key Stage 3 Programme of Study
Range: Measures and money
Pupils should be given opportunities to:
2. understand and use money
 understand and use the conventional way of recording money
 calculate with money and solve problems relating to budgeting, saving and
spending, and currency exchange rates
 interpret a calculator display in relation to money.
Mathematics in the National Curriculum for Wales
Key Stage 4 Programme of Study
Range: Measures and money
Pupils should be given opportunities to:
2. understand and use money
 understand and use the conventional way of recording money
 calculate with money and solve problems relating to budgeting, saving and
spending, profit and loss, discount, hire purchase, best buys, household
bills, compound interest and currency exchange rates
 interpret a calculator display in relation to money.
Personal and social education framework for 7 to 19-year-olds in Wales
Key Stage 2 learning outcomes
Range: Preparing for lifelong learning
Learners should be given opportunities to understand:
 that money is earned through work and can buy goods and services
 the importance of looking after their money and the benefits of regular saving.
Personal and social education framework for 7 to 19-year-olds in Wales
Key Stage 3 learning outcomes
Range: Preparing for lifelong learning
Learners should be given opportunities to understand:
 the economic and ethical consequences of personal financial decision-making
as a consumer, e.g. Fairtrade
 how to become competent at managing personal finances and recognise that
saving provides financial independence.
Personal and social education framework for 7 to 19-year-olds in Wales
Key Stage 4 learning outcomes
Range: Preparing for lifelong learning
Learners should be given opportunities to understand:
 their rights as consumers and their responsibilities in terms of managing a budget
 the importance of planning for their financial futures and how to access financial
advice.
Careers and the world of work: a framework for 11 to 19-year-olds in Wales
Key Stage 3 learning outcomes
Range: Understanding the world of work
Learners should have the opportunity to:
 explore the attributes of entrepreneurs and the role of enterprise in wealth
creation.
Careers and the world of work: a framework for 11 to 19-year-olds in Wales
Key Stage 4 learning outcomes
Range: Understanding the world of work
Learners should have the opportunity to:
 explore the role of enterprise/wealth creation and develop their own ability to act
in entrepreneurial ways.
The National Literacy and
Numeracy Framework (LNF)
The National Literacy and Numeracy Framework
(LNF) focuses on four strands of numeracy:
•
•
•
•
Strand 1: Developing numerical reasoning
Strand 2: Using number skills
Strand 3: Using measuring skills
Strand 4: Using data skills.
Numeracy component
of the LNF
Strand: Using number skills
Elements:
• Use number facts and relationships
• Fractions, decimals, percentages and ratio
• Calculate using mental and written methods
• Estimate and check
• Manage money
Numeracy component
of the LNF
Take a closer look at the skills outlined in the
‘Manage money’ element of the numeracy
component of the LNF.
Where in your school curriculum or in your
teaching are there opportunities for learners
to deliver these skills?
LNF learner outcomes
The following tables show the learner outcomes as
specified in the numeracy component of the LNF.
The focus here is on the ‘Manage money’ element.
LNF Foundation Phase
learner outcomes
Manage money
On-going task: think about the opportunities in
your teaching to develop the following skills and
add them to the ‘Manage money planner’.
Manage
money
Learners are able to:
Reception
• use 1p, 2p, 5p and 10p coins to pay for items.
Year 1
• use different combinations of money to pay for items up to 20p
• find totals and give change from 10p.
Year 2
• use different combinations of money to pay for items up to £1
• find totals and give change from multiples of 10p.
learning.wales.gov.uk/resources/nlnf/?skip=1&lang=en
LNF Key Stage 2 learner
outcomes
Manage money
On-going task: think about the opportunities
in your teaching to develop the following
skills and add them to the ‘Manage money
planner’.
Manage
money
Learners are able to:
Year 3
• use different combinations of money to pay for items up to £2 and
calculate the change
• order and compare items up to £10
• record money spent and saved.
Year 4
• use money to pay for items up to £10 and calculate the change
• order and compare items up to £100
• add and subtract totals less than £10 using correct notation,
e.g. £6.85 – £2.76
• manage money, compare costs from different retailers and determine
what can be bought within a given budget.
Year 5
• order and compare the cost of items up to £1 000
• add and subtract totals less than £100 using correct notation,
e.g. £28.18 + £33.45
• plan and track money and savings by keeping accurate records
• realise that budgeting is important.
Year 6
• use the terms profit and loss in buying and selling activities and make
calculations for this
• understand the advantages and disadvantages of using bank
accounts
• make comparisons between prices and understand which is best
value for money.
LNF Key Stage 3 learner
outcomes
Manage money
On-going task: think about the opportunities
in your teaching to develop the following
skills and add them to the ‘Manage money
planner’.
Manage money
Learners are able to:
Year 7
• use profit and loss in buying and selling calculations
• understand the advantages and disadvantages of using
bank accounts, including bank cards
• make informed decisions relating to discounts and special
offers.
Year 8
• carry out calculations relating to VAT, saving and
borrowing
• appreciate the basic principles of budgeting, saving
(including understanding compound interest) and
borrowing.
Year 9
• calculate using foreign money and exchange rates
• understand the risks involved in different ways of saving
and investing
• describe why insurance is important and understand the
impact of not being insured.
Extension
• use and understand efficient methods of calculating
compound interest
• understand and demonstrate the real-life process of
foreign exchange
• understand and calculate income tax.
Routes to learning in the LNF
Manage
money
Learners are able to:
A steps
• give a coin in exchange for an item after observing others
do so in role play shop (may have no notion of coin’s value
but will engage in the social interaction).
B steps
• point to choice of item from two or three in role play shop
then give coin(s) in exchange
• find coins from a limited collection which are the same as
ones shown by the adult.
C steps
• give money in exchange for an item in a real shop when
coins and choice are prepared in advance
• sort coins according to one attribute, e.g. colour, size or
shape.
If applicable for your learners, are there opportunities in your teaching
for the above skills to be developed? Add your ideas to the ‘Manage
money planner’.
Financial capability
What might a financially
capable learner in a
primary school look
like?
What might a financially
capable learner in an
11–19 setting look like?
The guidance document Financial education for 7 to 19-year-olds in Wales
can aid with the above questions.
Cross-curricular opportunities
The guidance document Financial Education
for 7 to 19-year-olds in Wales, identifies
some opportunities to develop financial
education across the curriculum (pages
27–28). Schools can use the guidance in
conjunction with the numeracy component of
the LNF to support the development of
learners’ financial skills as outlined in the
‘Manage money’ element.
The other modules in this learning
pack take a close look at specific
topics and provide ideas for use
in the classroom.