Average financial intelligence?

[Julia]

Without a social safety net, Hong Kong offers its citizens a top personal income tax rate of 17% and corporate tax rates of 16.5%. Unemployment is a low 3.4%, inflation 4.7% and the growth rate still respectable at over 4%. Government debt is moderate and although there is still poverty, the family unit is very much intact and social welfare is largely unknown.

There's more to it than that. I heard an enlightening ABC radio discussion on Mr Hockey's speech soon after he delivered it, and one of the participants made the interesting point that most of the Asian nations referred to have a very stringent compulsory savings scheme, perhaps equivalent to our compulsory Super contribution.

The compulsory figure he referred to for at least one of these countries was 30% of salary.
Try getting that happening here!

 

[Starcraftmazter]

There's more to it than that. I heard an enlightening ABC radio discussion on Mr Hockey's speech soon after he delivered it, and one of the participants made the interesting point that most of the Asian nations referred to have a very stringent compulsory savings scheme, perhaps equivalent to our compulsory Super contribution.

The compulsory figure he referred to for at least one of these countries was 30% of salary.
Try getting that happening here!

Sounds interesting. According to this:
http://www.mpfa.org.hk/english/abt_mpfs/abt_mpfs_fms/abt_mpfs_fms_con/abt_mpfs_fms_con.html

The amount seems to be 5% of your salary by you, and 5% on top of your salary by the employer - if I am understanding correctly.

All in all it doesn't sound like an amount much different than here - especially because the government wants to lift super requirements to 15%.

So again, why can't we be like HK? I think we should.

 

[Tyler Durden]

Sounds interesting. According to this:
http://www.mpfa.org.hk/english/abt_mpfs/abt_mpfs_fms/abt_mpfs_fms_con/abt_mpfs_fms_con.html

The amount seems to be 5% of your salary by you, and 5% on top of your salary by the employer - if I am understanding correctly.

All in all it doesn't sound like an amount much different than here - especially because the government wants to lift super requirements to 15%.

So again, why can't we be like HK? I think we should.

I don't think they have the equivalent of Medicare.

 

[Tyler Durden]

This is what I'm talking about:

MORE than a third of Australians are missing out on at least $5 billion in lost interest.

They don't understand the difference between a transaction account and a savings account, a survey has found.

The RAMS Saving Satisfaction Survey found 38 per cent of Australians were depositing their funds into low-interest transaction accounts.

Australians who have a high-interest savings account are generally savvier with their money, saving on average 29 per cent more than their counterparts without a savings account.

http://www.news.com.au/money/banking/b-savings-going-down-the-drain/story-e6frfmcr-1226365305675

 

[prawn_86]

This is what I'm talking about

It's not taught anywhere so how would the average Joe know or learn about it?

Basic budgeting and finances should be taught even just for one semester in early high school if you ask me. In fact i would love to take part in rolling something like that out to school curriculums, but maybe later in my life as it means taking the route of academia

 

[McLovin]

It's not taught anywhere so how would the average Joe know or learn about it?

Basic budgeting and finances should be taught even just for one semester in early high school if you ask me. In fact i would love to take part in rolling something like that out to school curriculums, but maybe later in my life as it means taking the route of academia

Year 8 commerce, iirc (and it was a while ago!), had something very similar to this. Explaining interest rates, how to do a budget etc.

Agree with you though, it should be compulsory for anyone. Far more valuable to know how to run a family budget than to calculate the area of a triangle.

 

[CanOz]

We don't even teach the difference between NEEDS and WANTS.

I see they're advertising on the Bloomy now for a website for kids in the US to learn about basic finance. I'll post a link when my thick head lets ne recall the name of the website or i hear it again on the radio.

I wonder how many people here listen to or watch Bloomberg radio or TV? Perhaps i should start a poll. I've been so lucky to be able to get the radio on my iPad. I love Bloomberg radio and when i am not litening to Peak FM from Vancouver then its on the Bloomy.

CanOz

 

[Julia]

Some high schools are including financial info, but it's definitely not part of any national curriculum. Rather, the initiative of individual teachers.

One such I know designed her own course and included having her class play the ASX stockmarket game.

 

[Starcraftmazter]

There was a finance elective in my highschool in years 9-10 which I did. I don't even remember what they taught though.

IMO It is pointless ever forcing someone to learn something - especially in highschool, especially in junior years where they will simply forget it all.

 

[prawn_86]

IMO It is pointless ever forcing someone to learn something - especially in highschool, especially in junior years where they will simply forget it all.

Totally disagree. If it is useful it wont be forgotten, even if its years down the track people still remember/recall the basics when prompted

 

[Julia]

Totally disagree. If it is useful it wont be forgotten, even if its years down the track people still remember/recall the basics when prompted

+1.

 

[McLovin]

We don't even teach the difference between NEEDS and WANTS.

Funnily enough, that was the first thing you learnt in year 8 commerce!

We had a pretty cool stock market game too. I think I bought Anaconda Nickel, among others.

 

[Starcraftmazter]

Totally disagree. If it is useful it wont be forgotten, even if its years down the track people still remember/recall the basics when prompted

The fault with your reasoning is that you are assuming those students will understand that it is useful at that time. The vast majority if not all will not, and thereby it will go out the other ear.

The best possible attempt would be to make it mandatory in year 12.

 

[Glen48]

Think most have been brained washed into spending on b/card, buy a house and party hard.