Mental Health has been at the forefront of popular discussion for quite some time now.
As it should be.
The Bell Let’s Talk campaign comes to mind as an example of how Canadians are starting to have this conversation. The statistics show that in any given year 1 in 5 Canadians will experience a mental health or addiction problem. By the time, Canadians hit 40 years of age, 1 in 2 will have, or have had at some point, a mental health issue.
There are many contributors to mental health problems including, but not limited to: discrimination, childhood neglect or the death of someone close to you.
However, Money is the largest contributor of stress, yet so many people do not understand how money works, or how to make it grow.
Perhaps the reason that there is a lack of Financial Literacy is that Investing can be very complex for the average person to understand.
But Financial Literacy and Personal Financial Management is the key to allowing the average person to effectively chart the financial course of their own lives.
It is critical for Canadians to know that if they work, and save, they will get ahead. Both themselves, and their families, will have a better life.
Financial Literacy statistics show that most Canadians do not understand:
This is a serious problem, given that many of the tools for a better life are right in front of Canadians, and yet not being utilized.
This lack of Financial Literacy links directly to the situations that cause mental health problems, such as:
Financial pressures also lead indirectly to situations causing mental health problems, such as:
Now, 34% of Ontario students indicate a moderate to serious level of psychological distress.
Therefore, incorporating Financial Literacy early into a child’s education can help alleviate some of their stresses and give them hope for a brighter future.
The Ontario government recently mandated Financial Literacy into Ontario’s curriculum.
Students now have a chance to take practical real world classes that will make a real difference in their future.
But what about those who have exited the school system and are now into the workforce? How do we help them with Financial Literacy and improve their mental health?
As a Financial Educator, with a “Very engaging program”, I can tell you that these people are very hard to reach.
People are very busy, and then there are also those who think they are too busy, yet have the time for everything except important life skills.
It is key that employers incorporate Financial Literacy into the workplace. It is perhaps the only way to reach all of those who have been missed by the school system.
When employees have a proper grasp of money management:
Money stress can lead people to try things that they would never otherwise other do.
For example, when a pop-up comes up on your browser, saying make $20,000 in one-month risk-free through our proven strategy.
Likely, this is a scheme to lose all your money.
But stressed out individuals, who have bills to pay, can be lured in by the promise of a better life. Desperate people can take desperate measures.
A main component of Financial Literacy is not only knowing what to do with your money, but also knowing what not to do with your money!
Basic financial concepts like Risk & Return, Risk Profile and knowledge of basic investments, will ensure that it is much harder for someone to fool you.
Have you experienced, or heard about, either of the following situations:
Given the link between Financial Literacy and mental well-being, we hope that you can:
1 - Get Educated: about Financial Literacy: Take some classes, read some books and watch some videos. These topics are notoriously complex but making the effort now will lead to a better life! A little bit of effort for a lifetime of gains.
2 - Get Organized: Once you’ve done some learning and understand this field, the next step is sitting down, making a budget and creating some financial goals.
3 - Take Action: Whether on your own, or with the help of a Financial Advisor, start achieving your short & long term financial plan.
Financial Literacy leads to a more educated, confident and happier populace. One that has both higher financial outcomes, and also better mental health.
Have we convinced you to start becoming financially literate - to start investing and take some time out of your busy life?
Well ready, set, go!
Valista Education
