Reps. Green, Lucido, Clemente, Farrington, Pagan, Bellino, Elder, Sabo, Chang, Gay-Dagnogo, Wittenberg, Jones, Scott, Allor, Bizon, Brinks, Cochran, Faris, Geiss, Greig, Hammoud, Hoadley, Howrylak, Kelly, Lasinski, Liberati, Marino, Maturen, Phelps, Rendon, Singh, Sneller, Sowerby and Zemke offered the following resolution:

            House Resolution No. 291.

A resolution to declare April 2018 as Financial Literacy Month in the state of Michigan.    Whereas, Financial literacy is the basic knowledge and skills allowing individuals to make educated decisions about their financial resources and plan for a stable economic future; and

            Whereas, Individuals who are proficient in financial literacy possess the capability to create and execute short term and long term budgets, invest in the market, save and plan for retirement, buy a house, pay off student loans, grow a credit score, and manage communications with banks and other financial institutions; and

            Whereas, A 2014 survey conducted by the Global Financial Literacy Excellence Center found only 57% of adults can be described as financially literate. In 2016, only 2 in 5 adults in the United States reported having and tracking a budget. These numbers are shockingly low considering the United States is ranked in the top 10 highest incomes in the world. In order for the state of Michigan to remain economically competitive it is important our citizens are well versed in skills allowing them to build and maintain a successful fiscal future; and

            Whereas, Acquiring the skillset of financial literacy is an important metric of student success and essential for students to learn before they graduate, whether they’re going to college and handling student loans, or immediately entering the workforce. The cost of student loans is increasing every year; over the past 15 years, data shows balances have more than quadrupled. Today, 44 million students collectively owe over $1.4 trillion dollars in loans.  In Michigan, the average student attending a four year university carries a balance of $30,852 and a student earning a two year degree leaves carrying a balance of $13,600; and

Whereas, A strong proficiency in financial literacy is extremely beneficial for young adults embarking into a new era of financial independence. During the years of young adulthood, individuals are required to make important decisions impacting their entire fiscal future; and  

            Whereas, Financial literacy rates are lower for adults older than 50 and lowest among those older than 65 years old. This skill is a necessary asset for residents of Michigan working towards retirement. Establishing local programs for our elderly citizens can help target these alarming rates and assist individuals as they progress through the later stages of life. Providing resources teaching financial literacy can aid working class citizens as they create a satisfactory individualized retirement plan. Assembling a personal retirement savings plan gives  individuals a better chance to achieve economic security prior to leaving the workforce. These stages are arguably the most crucial time of your fiscal life, as they build a foundation for economic security; and

Whereas, Many life events, both positive and negative can drastically change your financial plans. Citizens can unexpectedly face a decline in health, medical expenses, or legal trouble. In instances of legal trouble, individuals returning from correctional facilities are often left with fees, costs, fines, and other financial obligations that many are unable to manage. Implementing financial education programs within facilities can help prepare them for the outside world and help remove barriers hindering them from readjusting back into their communities; and  

            Whereas, A lack of awareness of financial literacy leads to a decrease in economic security. Working families require a living wage and economic security in order to comfortably provide for their family and raise their children. Providing programs to coach families on responsible money management can reduce levels of stress within those households. Equipping citizens with the skill of financial literacy is important for boosting the economic well-being of citizens throughout the community, and thereby boosting the well-being of the community as a whole; and

            Whereas, Acknowledging the importance of financial literacy allows us to develop sustainable economic policies to elevate more Michiganders to the middle class. In addition, understanding the inner workings of bureaucratic financial institutions is essential to navigating banks, credit unions, lenders, realtors and countless services that contribute to a successful fiscal lifestyle. Lowering poverty rates does not simply create more jobs, it strengthens our citizens’ proficiency of financial literacy so they may play an active role in our financial system, move up the economic ladder, and achieve the American Dream; now, therefore, be it

            Resolved by the House of Representatives, That the members of this legislative body declare April 2018 as Financial Literacy Month in the state of Michigan.