Financial Awareness Month: Mending Your Spending

Every April, the United States recognizes Financial Awareness Month, a time to educate yourself on financial wellness. Everyone has their own specific economic situation, and April is the perfect time to reassess your finances. And while you’re scanning over your current accounts and goals, it’s also a fantastic time to learn new things about the world of finance, such as your mortgage or credit.

In part, Financial Awareness Month is a time for young people to familiarize themselves with fiscal matters, but it’s much more than a government marketing effort. Anyone and everyone should take the time in April to learn more about where their money goes and why. But first, let’s look at how Financial Awareness Month came to be.

Financial Awareness Month’s Origin

The U.S. Began observing Financial Awareness Month every April in 2004. The month was originally an offshoot of the National Endowment for Financial Education’s (NEFE) Youth Financial Literacy Day, but they eventually transferred responsibility to the Jump$tart Coalition, a Washington, D.C.-based organization of 51 state coalitions that share a commitment to advance youth financial literacy.

On March 9, 2004, Senator Daniel K. Akaka from Hawaii introduced and sponsored Senate Resolution 48, which called for April to become Financial Awareness Month. The Resolution passed unanimously without amendment. At the time, eight states’ governors already declared April as a Financial Awareness Month for youth, but Resolution 48 made the observance nationally recognized.

When speaking on the unanimous approval, Dara Duguay, executive director of Jump$tart, said, “We’re ecstatic about the significant increase in financial education legislation introduced this year. This demonstrates a widespread conviction of the necessity of having personal finance education taught in schools in order to reverse a declining financial literacy rate.”

While it’s important for high schoolers to comprehend financial terminology, the month has never been solely directed toward young Americans.

So...What is it?

Financial Awareness Month is for the betterment of everyone’s economic education. In 2005, Congress stated the month’s goal is to “raise public awareness about the importance of financial education in the United States and the serious consequences that may be associated with a lack of understanding about personal finances.”

The idea behind the month is to promote self-care for all Americans so they can live comfortably and, hopefully someday, reach all their greatest financial goals. However, that will require an ever-improving understanding of your own finances.

Ways to Prepare for the Month

One way to prepare for Financial Awareness Month is to reflect on your situation. Make sure you’re open to learning new things and possible change. Your research might clash with things you learned in the past or how you’ve always handled your money, but just remember, the economy changes all the time, and new ways of budgeting or saving money arise constantly.

You could also gather all your financial documents, such as your credit report, income statements, or your budget, so they’re readily available when you conduct your research. A lot of articles use examples with nice round numbers in whatever they’re discussing, so being able to easily substitute your numbers is a gamechanger.

And while Atlantic Bay Mortgage Group® specializes in mortgages, we care deeply about the financial health and wellness of our borrowers, the communities we lend in, and beyond. If you ever have questions about setting yourself up for future homeownership, reach out to one of our certified mortgage professionals today.

Financial Awareness Month doesn’t have to end in April. You can continue learning and growing all year. Evolving your financial literacy and comprehension doesn’t have a time limit!