Managing your finances can be challenging but is ultimately a necessary part of daily life. Everything you spend money on, from the pack of gum you buy on your way to work to the rent you pay each month, has to be noted and collated into a plan for how far your income can get you.
Things like getting a car, traveling or buying a home can be daunting without having a good handle on your income and your outgoings first. While most of us weren’t taught quite how to do this when we were younger, we all learn on a steep curve and hope that we’ll be able to make this task a little bit easier for the next generation.
What sounds like a chore can be made far easier with the implementation of modern tech to take the weight off our shoulders.
For youth, in particular, who already live in a state of change and often experience a fair amount of pressure, financial planning apps, blockchain tech, and artificial intelligence can not only make managing their finances easier but also improve their understanding of financial literacy and everything that comes along with it.
Even something as easy as playing slots online with no registration requires financial know-how. Let’s take a look.
What Is Financial Literacy?
“Financial literacy is the ability to understand and effectively use various financial skills, including personal financial management, budgeting, and investing.
When you are financially literate, you have the essential foundation for a smart relationship with money. This can help start a lifelong journey of learning about the financial aspects of your life. The earlier you start to become financially literate, the better off you’ll be because education is the key to a successful financial future.”– Investopedia.
Why is it so important to be financially literate?
- Having a good grasp on your finances removes unnecessary stresses that can negatively impact your lifestyle and your mental health.
- Understanding your financial situation gives you space to find ways to improve it if necessary or to make wise investments if it is already in good shape.
- Financial literacy can help you prepare for the unexpected, providing coverage in the event of tragedy or unforeseen incidents.
What Does the Youth of Today Face?
Young people in 2024 are a group under enormous pressure and face incredibly complex and long-lasting financial issues. Student loans offer an enormous amount of money to young people, often at aggressive rates and sometimes without ensuring that these young customers are properly prepared to deal with that financial responsibility.
The Financial Times reports that around 2.8 million bank accounts in the UK are currently held by individuals under the age of 18, with around 750,000 new accounts being opened yearly. That’s a huge number of young people with money coming into a bank account.
Unfortunately, most young adults, from teens to around 21 years old, lack basic financial skills and a proper understanding of the importance of managing their finances wisely. “Easy credit” that is not actually so easy may look appealing to young people without a guiding voice to help them and can lead to years of financial issues.
Thankfully, even for those who do not have parents or other older adults to turn to for guidance, there is a way to improve financial literacy for young adults.
How Tech Can Help?
In today’s digital world, technology offers countless ways to make learning about finances easier and more accessible. Here’s a look at some of the best tools and resources that can boost financial literacy for young people in 2024.
Apps
The information age has a lot to offer if you know where to find it. A simple Google search can point out a plethora of financial literacy apps that help young people (there are even some dedicated to teaching kids the real value of money…why not start them off early?) understand the often scary and murky world of finances and their place in managing their own. These seven apps are the top-rated financial literacy apps in 2024.
| World of Money | Best Financial Literacy App Overall |
| Zogo | Best financial literacy app for learning bit by bit |
| RoosterMoney | Best for pocket money management |
| Investment | Best financial literacy app for investing in education |
| FamZoo | Best financial literacy app for families |
| Savings Spree | Best financial literacy app for games |
| Penny | Master Your Money | Best financial literacy app for audio lessons |
Gamification of financial literacy through the use of an app is an excellent hook for young people who are busy or easily distracted.
Blockchain
Blockchain (a system in which a record of transactions, particularly those made using cryptocurrency, is maintained across computers that are linked in a network) has made a massive difference in the safety of unregulated financial transactions.
It’s a surprising asset in expanding financial inclusion, and this can benefit younger generations who may previously have been left out of the financial process and education around it, as well as developing areas.
The integration of blockchain into traditional banking, which is becoming increasingly likely, can be helpful in a number of ways.
● Transactions that may have taken days could take minutes or seconds.
● Transactions will truly be operational at any time of day or day of the week without processing time or banking employees being part of the equation.
● Transacting across borders will become easier, opening up new areas of investment.
Anything that makes life simpler, safer and easier for the user is a welcome addition to the process.
Artificial Intelligence
AI is used in the financial industry in many ways, but there are a few applications of this growing tech that can drastically improve financial literacy among youngsters.
- Personalized financial education. Part of the issue with the current educational process is that it is “one size fits all.” AI can tailor financial education to suit individuals’ interests, pursuits, and finances.
- Interactive financial tools. AI data collection is used in apps to help drive the management of finances and future planning.
- Advice in real-time. Chatbots and virtual assistants can help a generation used to instant online responses get the answers they need, no matter what time of day or night.
Start Now
It’s never too early or too late to begin educating or re-educating yourself on financial literacy, no matter what your age. The earlier our youth, who already lean into the technology they have grown up with, can begin to understand their finances and plan for the future, the better their success will be.
Disclaimer:
CBD:
Qrius does not provide medical advice.
The Narcotic Drugs and Psychotropic Substances Act, 1985 (NDPS Act) outlaws the recreational use of cannabis products in India. CBD oil, manufactured under a license issued by the Drugs and Cosmetics Act, 1940, can be legally used in India for medicinal purposes only with a prescription, subject to specific conditions. Kindly refer to the legalities here.
The information on this website is for informational purposes only and is not a substitute for professional medical advice, diagnosis, or treatment. Always seek the advice of your physician or another qualified health provider with any questions regarding a medical condition or treatment. Never disregard professional medical advice or delay seeking it because of something you have read on this website.
Gambling:
As per the Public Gambling Act of 1867, all Indian states, except Goa, Daman, and Sikkim, prohibit gambling. Land-based casinos are legalized in Goa and Daman under the Goa, Daman and Diu Public Gambling Act 1976. In Sikkim, land-based casinos, online gambling, and e-gaming (games of chance) are legalized under the Sikkim Online Gaming (Regulation) Rules 2009. Only some Indian states have legalized online/regular lotteries, subject to state laws. Refer to the legalities here. Horse racing and betting on horse racing, including online betting, is permitted only in licensed premises in select states. Refer to the 1996 Supreme Court judgment for more information.
This article does not endorse or express the views of Qrius and/or its staff.
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