Graduation Day or Groundhog Day?

Photo by Wikimedia Commons

Graduation season is here across the United States and Canada with millions of high school and college students tossing caps and heading into the next chapter of their lives, the confetti still on their shoulders. For some, it’s a step into college or trade school. For others, it’s straight into the workforce. Either way, they’re stepping into the adult world—and with it, a complex financial reality. 

And yet, here we are again. Another school year ends, another generation of graduates largely unprepared for the everyday money decisions now landing on their doorstep.

It’s almost like a real-world version of Groundhog Day. Phil Connors (Bill Murray’s character), stuck in a time loop, repeating the same run-in with—Bing!—Ned Ryerson (Stephen Tobolowsky) every day until he finally changed his approach. Each year, we celebrate graduates and talk about preparing them for life, but the outcomes suggest otherwise. Unless something changes, the same patterns will repeat—limited financial knowledge, costly mistakes and delayed financial well-being.

Groundhog Day is observed every February 2 in both the U.S. and Canada. While Punxsutawney Phil gets most of the fame in Pennsylvania, Canadians have their own weather-predicting celebrity: Wiarton Willie in Ontario. Whether it’s predicting six more weeks of winter or not, the tradition symbolizes repetition—which makes it a perfect metaphor for the cycle of financial unpreparedness many grads face each Spring.

The reality behind the cap and gown

According to the latest data from the TIAA Institute-GFLEC Personal Finance Index, only 28% of adults aged 18 to 34 could correctly answer basic personal finance questions.

How young adults perform by financial topic:

• Borrowing (managing debt) – 60% correct

• Saving (emergency funds) – 55% correct

• Consuming (budgeting) – 50% correct

• Earning (income sources) – 45% correct

• Investing (stocks, bonds) – 40% correct

• Insuring (insurance policies) – 35% correct

• Comprehending risk (understanding financial risks) – 30% correct

• Go-to information sources (where to seek advice) – 25% correct

Source: TIAA Institute-GFLEC P-Fin Index

The P-Fin Index uses questions like these to assess real-life financial knowledge:

1.  Interest accumulation

Suppose you had $100 in a savings account and the interest rate was 2% per year. After 5 years, how much would you have?

A) More than $102
B) Exactly $102
C) Less than $102
D) Don’t know

2.  Inflation impact

If your savings earned 1% interest annually and inflation was 2%, after one year would your money buy…

A) More than today
B) The same
C) Less than today
D) Don’t know

3.  Risk diversification

True or False: Buying a single company stock is safer than a stock mutual fund.

A) True
B) False
C) Don’t know

These aren’t trick questions. They’re basics. And yet, many young adults don’t know the answers. See the answers at the end of this newsletter. 

From budgeting to borrowing, the gaps persist

It’s not just about budgeting. Financial literacy encompasses credit management, fraud prevention, investing, taxes, insurance and digital banking. Without a solid foundation, young adults face steep learning curves and often financial missteps.

Though more schools are integrating financial literacy into classrooms, delivery remains inconsistent. In the U.S., Next Gen Personal Finance (NGPF) reports that only 30% of high school students currently have guaranteed access to a standalone personal finance course. In Canada, education policies vary by province. For instance, Ontario has introduced a financial literacy graduation requirement as part of the Grade 10 mathematics course, effective September 2025. However, other provinces have yet to implement similar mandates, leading to uneven financial education nationwide.

Surveys reveal that many Canadian students feel unprepared for financial decision-making. A CPA Canada study found that 73% of Canadian high schoolers say they lack the knowledge to make informed financial choices, and only 20% fully understand basic concepts like debt.

Meanwhile, young people are increasingly turning to social media for financial advice—and platforms like TikTok are leading the charge. A 2023 Credit Karma survey found that 56% of Gen Z learn about money primarily from social media, not school. One of the most influential voices in this space is Ashley Lee, creator of the popular TikTok account @hermoneymastery. With nearly 500,000 followers and over 3.6 million likes, Ashley is helping women all over the world take control of their finances. Her content, which ranges from budgeting tips to financial empowerment messages, reflects a growing hunger for accessible, relatable financial education.

While influencers like Ashley play a vital role, the underlying challenge remains: without foundational knowledge, even the best advice can be misunderstood or misapplied. A 2022 FINRA study found that young investors under 35 are the most likely to engage in high-risk investments—and also the least likely to understand the associated risks.

A community-based solution with credit unions

This is where Currency Marketing offers a fresh path forward. Our It’s a Money Thing program helps credit unions deliver high-quality financial education in classrooms and communities. Through animated videos, presentation and lesson plans with interactive activities, it teaches real-life financial concepts in a way that resonates with students.

The program is free for educators and flexible for credit unions to implement. When local branches partner with schools, they offer young people something few institutions can—relevant, trustworthy financial guidance before it’s urgently needed.

Looking forward

Graduation should be a moment of pride and possibility—not the start of a financial guessing game. It’s time to rethink how we prepare young people for the realities of managing money. Credit unions have a unique opportunity to lead the way. With programs like It’s a Money Thing, they can help ensure that next year’s graduates are more confident, capable and financially ready than the last.  

How did you do?

Here are the correct answers to the P-Fin Index sample questions:

• Interest accumulation – A) More than $102

• Inflation impact – C) Less than today

• Risk diversification – B) False

How your score compares to the national average

• 18–34 (young adults) – 48% correct

• 35–54 (mid-career) – 55% correct

• 55+ (pre-retirement) – 61% correct

• All U.S. adults – 53% correct

Source: TIAA Institute-GFLEC P-Fin Index

Scored 2 out of 3 or more? You’re ahead of the curve. Missed them all? You're not alone. That’s exactly why efforts like It’s a Money Thing matter more than ever.

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Tim McAlpine is the Founder & CEO of Currency Marketing. He is best known for developing the It's a Money Thing Financial Education Program that credit unions from around North America are using to connect with new young adult members. He is also a driving force behind CUES Emerge, an emerging leader program that combines online learning, peer collaboration and an exciting competition component.