Talking about finances and savings with parents is key to success for youth.
Canadian students exceeded the OECD average in performing tasks associated with advanced levels of financial literacy. Compared to the OECD average of 78 percent, 87 percent of Canadian students performed tasks associated with at least the minimum level of financial literacy required to participate fully in modern society. Overall, Canada ranked second, tied with Belgium, out of all 15 countries and economies participating in the PISA financial literacy assessment.
Canadian youth are forming good saving and spending habits early in life, which correlates to positive behaviour in young adulthood and beyond. For instance, the majority of Canadian students reported saving money regularly.
The survey focused on knowledge and skills gained, for the most part, in schools. However, the results also indicate extracurricular factors that help strengthen financial literacy. Students with experience handling their own money matters—for example, those who work odd jobs or have their own bank account—demonstrated stronger financial literacy skills.
Notably, the PISA findings indicate that discussing money matters with parents is associated with higher financial literacy. Canadian students who did so once or twice a week scored highest. Encouraging discussions between parents and their children is an important element of FCAC’s financial literacy efforts.
May 24, 2017 from Financial Consumer Agency of Canada