Imagine turning back the clock and taking just one class that would add six figures to your bank account. A recent study found that students who took a personal finance course in high school ended up with an extra $100,000 in lifetime wealth compared to those who didn’t.
The research comes from Montana State University, where economists tracked the financial lives of students from states that require money management classes. What they discovered was eye-opening. Students who learned about budgeting, saving, and investing made smarter money moves that added up to big bucks over time.
“It’s like compound interest for your financial knowledge,” says financial educator Maya Johnson. “What you learn at 16 or 17 grows and grows throughout your life.”
The study showed three big ways these classes helped students build wealth. First, they borrowed smarter. Kids who took money classes avoided high-interest credit card debt and shopped around for better loan rates. Second, they saved earlier. Even small amounts put away in their 20s had decades to grow. Third, they invested more wisely, avoiding get-rich-quick schemes in favor of steady, long-term growth.
“I wish I’d had this in school,” says Jamal Williams, a 34-year-old who recently paid off $30,000 in credit card debt. “Nobody taught me how credit card interest works or why an emergency fund matters. I learned the hard way.”
The good news is that more states are catching on. Currently, 23 states require students to take personal finance before graduating. That’s up from just 13 states five years ago. Organizations like Next Gen Personal Finance are pushing to make these classes available to all students by 2030.
But what if you’re long past high school? The same principles apply. Learning money basics at any age can help you build wealth. Free courses are available through local community colleges, libraries, and online platforms like Khan Academy and Coursera.
“It’s never too late to learn money skills,” explains Sophia Chen, a certified financial planner. “The best time to start was 20 years ago. The second best time is today.”
The most valuable lessons from these courses are surprisingly simple. Understanding how to create a budget that actually works. Learning the magic of compound interest. Knowing the difference between good debt (like a reasonable mortgage) and bad debt (like high-interest credit cards). These basics can transform your financial future.
Parents can help too. Talking openly about money with kids breaks the taboo that keeps many families financially confused. Simple activities like helping children divide allowance into spending, saving, and giving can build lifelong healthy money habits.
The $100,000 boost found in the study didn’t come from complicated investment strategies or get-rich-quick schemes. It came from making slightly better everyday decisions over decades. A slightly lower interest rate on a mortgage. Starting retirement savings five years earlier. Avoiding fees and high-interest debt.
“Financial education isn’t about becoming a Wall Street wizard,” says economist Thomas Rivera, who co-authored the study. “It’s about avoiding the costly mistakes that drain wealth from ordinary families.”
As schools work to catch up, families can take charge of their own financial education. The rewards – possibly $100,000 or more in lifetime wealth – make it one of the best investments of time you could ever make.
