Hands-On Learning to Build Financial Habits - Federal Resources to Encourage School-Based and Youth Savings Programs

Oct 15, 2026

Hands-On Learning to Build Financial Habits outlines why financial capability matters for children and youth, linking early preparation to stronger long-term outcomes such as college completion and national economic strength. It explains the FLEC Starting Early for Financial Success initiative and provides an overview of youth savings program characteristics and implementation approaches. The material highlights school-based account features, experiential learning benefits, and how financial institutions partner with schools. It also addresses regulatory and legal considerations, referencing related federal guidance and frequently asked questions resources.

LanguageEnglish

CategoryResearch & Report

FormatPDF

Pages4

Reading Time10 min

AccessFree to download

Characteristics of Youth Savings Programs

Experiential, school-integrated learning models

Financial Institution Involvement in Youth Savings Programs

Partnerships, program design, and operational costs

Benefits and regulatory considerations

Hands-On Learning to Build Financial Habits: Federal Resources to Encourage School-Based and Youth Savings Programs Mastering financial knowledge and gaining financial skills and habits are important building blocks to help children and youth be better prepared to make important financial decisions. Financial capability establishes a strong foundation for young people to fully participate in the economy and financial system as they enter adulthood. Also, financial capability can help improve their long-term financial and educational outcomes, such as college completion. These outcomes contribute to the overall economic strength of the nation. The federal Financial Literacy and Education Commission’s (FLEC)1 Starting Early for Financial Success initiative was created to help prepare children and young people to be financially prepared throughout their lifecycles. FLEC is providing this document as an overview of youth savings programs and key resources to encourage the development and implementation of programs that expand the financial capability of youth and build opportunities for financial inclusion for more families. Characteristics of Youth Savings Programs Experiential programs magnify the lasting results achieved from various forms of financial education for young people.2 A school-based savings program is an example of providing an opportunity for young people, at an early age, to open savings accounts and make small, regular deposits into those accounts. The accounts have low or no minimum balance requirements, charge no monthly maintenance fees, and explain materials and account terms in an ageappropriate way. These programs are often integrated with the school’s financial education activities, money management courses, and, for older children, career development programs. In some instances, these financial education activities are also available to faculty, school administrative staff, parents, and the larger community. Youth savings programs provide students a safe and relevant setting to experience hands-on learning about spending choices and the value of saving. These programs offer a powerful opportunity to help students develop savings habits at a formative age; and the programs have the potential to promote economic inclusion for entire families and communities. 1FLEC is comprised of 22 federal entities working together to strengthen federal financial education [efforts. Learn more about the FLEC at](efforts. Learn more about the FLEC at www.mymoney.gov)[ ](efforts. Learn more about the FLEC at www.mymoney.gov)[www.mymoney.gov](efforts. Learn more about the FLEC at www.mymoney.gov). 2 See e.g., [http://www.aspeninstitute.org/sites/default/files/content/docs/pubs/Two%20Cheers.pdf](http://www.aspeninstitute.org/sites/default/files/content/docs/pubs/Two%20Cheers.pdf); [http://www.cfs.wisc.edu/briefs/CFS_Research_Brief_2012-5.2.pdf](http://www.cfs.wisc.edu/briefs/CFS_Research_Brief_2012-5.2.pdf). 1 Financial Institution Involvement in Youth Savings Programs Throughout the country, various financial institutions have collaborated with elementary, middle, and high school administrators, and, in some cases, government, non-profit, or private entity partners to administer youth savings and financial education programs. These programs are typically a cooperative effort between a financial institution and school faculty members, administrators, school board members, school district officials, students, and parents. Youth savings programs are often structured as in-school credit union or bank programs that offer students basic savings accounts. During the program, financial institution staff may make informal visits to schools to lead financial education lessons and accept deposits. The costs for a financial institution to establish and operate a school-based savings program depend on program complexity, the size and design of the space used on school grounds, the number of students participating, a

FAQs

Why are youth savings programs considered important for children and youth?

They help students practice spending and saving decisions in a safe, relevant setting and can support the development of savings habits early. The programs may also promote economic inclusion for families and communities.

What features commonly characterize school-based youth savings programs?

They typically provide savings accounts for young people with low or no minimum balance requirements, no monthly maintenance fees, and age-appropriate explanations of materials and account terms. They are often integrated with school financial education activities and related curricula.

How do financial institutions participate in administering youth savings programs?

Financial institutions often collaborate with schools and partners to offer in-school credit union or bank programs. Staff may visit schools to deliver financial education lessons and accept deposits, with costs depending on program complexity, space design, participant numbers, and staffing needs.

Oct 15, 2026

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