HELLO, financial literacy has entered the chat! Let’s educate to elevate. Here are 7 tips to build wealth and bridge the financial literacy gap between young and old and everyone in between. Let’s go!
The #RacialWealthGap has been a focal point of our conversations for some time. However, the financial literacy gap within our own community has a simple fix: intergenerational mentorship and coaching!
Financial literacy is the knowledge and skills needed to make informed financial decisions. It includes everything from basic budgeting and saving to more complex topics, like investing and retirement planning.
How can we break the cycle of insufficient financial literacy and start building #GenerationalWealth, you might ask? Here are 7 essential tips for the younger and older generations to consider.
1. Invest in Online Tools
Investing in online tools can take you further! Especially for those who do not have the privilege of immediate access to more experienced teachers.
2. Leverage Your Digital Skills
Leverage your skills to help your family members get up to speed on the newest tools and technologies!
- Budgeting apps and online banking are the best starting grounds for those who are not quite familiar with how to access digital resources.
- Help your family take the newfound technology you introduced them to and digitize their financial paperwork and tax documents. Major plus points on this one!
- Automation is key! Get your family members familiar with handy tools like BillPay and our Automatic Savings Plan.
3. Teach Our Children
It’s important to make financial literacy a family conversation to help our children make good financial decisions. Consider financial literacy children’s books or contests such as our “I Got Bank Financial Literacy Art and Essay Contest” where children can win a $1,000 savings account and all submissions get access to an electronic Black Panther comic book (a collaboration between OneUnited Bank, Marvel Comics and Visa) that teaches the importance of savings.
Digital tools and unlimited access to information won’t solve every issue. Seasoned generations know that building healthy habits is the key to long-term success.
4. A Budget is Essential, Not Old Fashion
Help younger family members understand the importance of creating and sticking to a budget. It’s essential, especially today, and not old fashion. Share your own strategies for saving money and reducing debt.
5. Save for Life
Encourage younger family members to take advantage of employer-sponsored retirement plans and explain the importance of saving for retirement and saving for life early. And just in case they missed the early bird special, save for life anytime. Just save, save, save!
6. Become a Mentor
Offer to mentor or guide family members as they navigate the complex world of personal finance, providing support and advice as they build their financial literacy skills.
7. Share Your Story (The Good, the Bad and the Ugly)
Kick your storytelling skills into action with young family members! Introduce them to your success stories of how you built your own business or achieved financial milestones throughout your life. But also share your financial mistakes and lessons learned. Each one, teach one.
Bridging the financial literacy divide is all about taking small steps individually and helping each collectively by sharing knowledge. Knowledge is power. Let’s change the narrative and #BuildBlack wealth.
Educate to Elevate! #BankBlack
