For Immediate Release

April 27, 2005

Contact:      Susan Miller
                    317-816-9760
                    smiller@hickmanassociates.com

Columnist Michelle Singletary Addresses Indiana Educators at Indiana Financial Literacy Conference

(Indianapolis, IN  April 27, 2005)  -- Syndicated columnist Michelle Singletary (The Color of Money), served as keynote speaker at the inaugural Indiana Financial Literacy Conference on Tuesday, April 26.  Approximately 150 Indiana educators convened at the Marriott Downtown to discuss challenges and opportunities educators face in raising a more financially literate youth. 

Singletary began her address by noting that one of the questions she’s most frequently asked is who should be responsible for teaching money management; parents or teachers. “Children learn what they live.  The best time to teach money management is when kids are young and at home,” Singletary commented.  However, Singletary noted that many parents are ill-prepared for the task themselves and that teachers must play a critical role in introducing financial literacy concepts to children from the earliest grades through high school.

Singletary spoke about a society that is becoming increasingly saturated with “’hood rich” messages and a consumption-driven mentality.  She chatted about a generation of 18 to 34 year-olds that is increasingly becoming known as “Generation Broke”, noting that many young people have established a poor credit history before they rent their first apartment.  Singletary cited the media, a steady stream of credit card marketing and a society that has become obsessed with consumption as contributors to poor financial management habits.  She noted that the self-store industry has become one of the nation’s fastest growing industries as consumers focus on acquiring more and more “stuff.”

Raised by her grandmother who never earned more than $13,000 annually, Singletary explained to participants that financial security is not a result of a particular income, but the result of a good “Money Attitude.”  She credits her grandmother with instilling her attitude of frugality and responsibility.   Singletary discussed the importance of focusing on genuine values that can’t be acquired with money; and of course the importance of demonstrating frugality.  She shared a number of anecdotes about her own penny pinching behavior, including purchasing a previously-owned wedding gown, always driving used cars and the fact that her children have just two pairs of shoes each.  She concluded her presentation by encouraging teachers to convey the message, “The greatest wealth you can acquire is to appreciate what you have.”

Indiana Treasurer Tim Berry also addressed teachers during the conference.  He noted that many of the once-popular savings programs for children have largely been abandoned by financial institutions with an emphasis on marketing plastic payment methods.  Like Singletary, he cited personal examples of the challenges parents face daily in demonstrating financially responsible behavior.  “It’s important to talk with children, at the youngest ages about the need to manage finances responsibly.  When a child sees a parent simply inserting a card into a machine and receiving cash, it’s impossible for him to understand the concepts behind that cash availability,” he said.

The conference, presented by Networks Financial Institute and Indiana State University, also provided Indiana educators with a resource fair showcasing materials available to supplement personal financial management in the classroom.  Items on display included the popular “moon jars” that demonstrate how to save, invest, spend and donate as well as educator training materials.  Teachers participated in a number of break-out sessions that included a demonstration of the smartDESKTOP technology resource developed by the Indiana Humanities Council, an overview of standards-based financial literacy education, financial planning, and more.

“A compelling need for financial literacy education was recently demonstrated by a Jump$tart financial literacy study of Indiana high school seniors that resulted in a 62% failure rate,” noted Elizabeth Coit, executive director of Networks Financial Institute.  Coit also stated that teachers are in a unique place to impart money management.  “Financial literacy is important because it’s applicable to any subject, from mathematics to science to the budgeting process taught in middle school consumer and family sciences classes,” she stated.

Networks Financial Institute and Indiana State University expect the conference to be an annual event for the state. 

Networks Financial Institute, an initiative of Indiana State University, was founded in 2003 with a grant from Lilly Endowment.  NFI strives to facilitate broad, collaborative thinking, dialogue and progress in the evolving financial services marketplace, concentrating on the areas of education, outreach and research.  Headquartered in Indianapolis with offices on the campus of Indiana State and outreach in Washington, D.C., NFI’s goal is to become a leader in preparing students for careers in the financial services industry.