Increasing numbers of U.S. states are integrating personal finance courses into high school curricula, with several making these classes a mandatory requirement for graduation, according to a recent report by the National Endowment for Financial Education (NEFE). This marks the first time NEFE has conducted a comprehensive evaluation of personal finance education since the organization began issuing report cards in 2013.

The nonprofit reviewed state policies on high school graduation requirements, academic standards for personal finance education, and regulations concerning how these courses are delivered. The findings highlight notable progress in preparing students to manage money matters like credit cards, college financing, and contemporary payment methods such as “buy now, pay later” systems.

In the latest assessment, 10 states earned the highest rating of A. These include Virginia, North Carolina, Iowa, Nebraska, and Missouri. For example, Virginia has mandated a personal finance course or an equivalent for more than ten years as a prerequisite for graduation, demonstrating a long-term commitment. Nebraska recently enacted legislation requiring students graduating in 2024 and beyond to complete a five-credit personal finance or financial literacy course and to fill out the FAFSA form prior to graduation.

Twenty-one states received a B grade, featuring jurisdictions such as Texas, Illinois, and New York. Since 2006, Illinois has mandated consumer education for high school students. The state also requires teachers delivering these courses to hold valid educator licenses and have completed at least three semester hours in consumer education.

Meanwhile, 24 states were assigned a C grade, four states received a D, and another four were given an F. Although California currently earned a failing grade, it is projected to advance significantly in the coming decade. The state plans to require all public and charter high school students to complete a half-year personal finance class by the class of 2031. Importantly, California does not permit personal finance education to be incorporated within other courses, underscoring a move toward more focused instruction.

The added emphasis on personal finance reflects growing concern about youth preparedness to navigate complex financial decisions in an evolving economic landscape. While parents and peers may not always provide accurate or comprehensive financial guidance, educators play a central role in equipping students with essential money management skills.

NEFE’s report serves as a tool for states to benchmark their progress and identify areas needing improvement. The full state-by-state evaluation is publicly accessible for review.

As personal finance education expands, the importance of well-trained teachers and dedicated curricula remains critical to fostering financial literacy and lifelong fiscal responsibility among young people.