The importance of improving accounting-based financial literacy for underserved youth in Utah

This paper is focused on exploring the importance and impact of accounting-centered financial education on youth populations from historically underserved communities in Utah. The paper will analyze reports from data on financial literacy assessments administered by the OECD and reports from the CFPB on youth financial literacy in the United States to create a basis for several assumptions. Analysis of the Utah State Auditor report regarding the financial literacy course requirement in the state of Utah will also be used to make suggestions for improvement specifically pertinent to the state. Additionally, the study will review the financial literacy course requirements for Alabama and Virginia to serve as a point of comparison for the state of Utah. The Utah State Auditor report indicates that underserved communities of youth in Utah reflect lower proficiency rates due to various socio-economic situations. Modifications to Strand 4 and Strand 5 of the Utah General Financial Literacy requirement that focus on basic accounting and finance concepts will help to simplify the content and aid in better overall proficiency. Finally, recommendations regarding program staffing, oversight, and examination procedures will guarantee better data collection and program efficiency to further aid the state in measuring proficiency and identifying gaps. A continuous effort to improve and adjust Utah's financial literacy program is needed to ensure all students can obtain maximum benefit from the program.