I’m glad to see that public schools are taking personal finance seriously. Thirty-nine states now require personal finance as a high school graduation requirement, either as a standalone class, or integrated into another class, like economics.

For decades, students sat through economics classes learning about monetary policy, supply and demand curves, and gross domestic product. Those topics are interesting, and they certainly help explain how the world works. But when I look back on what would have made the biggest difference in my own financial life, it wasn’t understanding the Federal Reserve. It was understanding my own money.

As someone who retired early, I can’t help but applaud the shift. I was fortunate enough to get a tattered copy of Jane Bryant Quinn’s Making The Most of Your Money from a library book sale when I was in high school. It”s certainly one of the most valuable purchases I ever made!

How different would it be if every 18-year-old understood compound interest, credit scores, debt management, investing, and how to avoid lifestyle inflation? A teenager who learns how a credit card balance grows at 25% interest may save thousands of dollars before turning 30. A young worker who starts investing in a Roth IRA at age 22 has a huge advantage over someone who waits until 32.

Those lessons aren’t theoretical. They’re life-changing.

Economics still matters. Understanding markets and incentives helps explain why the world operates the way it does. But if schools only have room for one course, I’d rather see students learn how to manage their first paycheck than memorize the components of GDP.

The FIRE movement has always been built on financial literacy. The more young people understand money, the more options they’ll have later in life. And options, in my experience, are one of the greatest forms of wealth.

When did you first start learning the ins-and-outs of personal finance?

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