American teens can’t read a pay slip

[Anti Federalist]

American teens can’t read a pay slip

http://www.marketwatch.com/story/american-teens-cant-read-a-pay-slip-2014-07-09/print?guid=60FB29B6-079A-11E4-B07D-00212803FAD6

PISA test finds only 9.4% perform at top level in financial literacy

By Angela Johnson

Fewer than 30% of U.S. teens understand their paycheck, according to the financial literacy portion of a test administered by the Organization for Economic Co-operation and Development.

More than one in six 15-year-olds is unable to make even simple decisions about everyday spending, and only one in 10 can solve complex financial tasks, according to the test.

Among the seemingly simple questions that American teens struggled with was determining how much money was going into a bank account from a theoretical month’s pay.

The pay slip for the month of July listed four numbers: Gross pay, deductions, net salary and gross salary year to date.

Only 28.8% could correctly say how much money was automatically deposited into the worker’s bank account. By comparison, 74.8% of students in Shanghai got the right answer. Americans also performed below the OECD average.

Overall, only 9.4% of American 15-year-olds were among the best performers in the financial-literacy test, as opposed to 43% of the Shanghai students.

The lackluster U.S. showing has been consistent with previous reading and math studies conducted by the Program for International Student Assessment, or PISA. Math and reading skills are closely related to financial literacy.

On the bright side, American teens did do better than those in Colombia, Italy and France, among others.

How well would you score? Take the 5-question test here

[Anti Federalist]

The test.

http://www.oecd.org/pisa/test/financialliteracytest/

My Score: 100%

[heavenlyboy34]

Wow. These kids' futures are fail if they're that bad.

[donnay]

*SIGH* Very sad.

[specsaregood]

Wow. These kids' futures are fail if they're that bad.

Its not like you need to know how to read a paycheck if you can't find a job.

[tod evans]

But, but.....

The American kids can tell you what's on the TV, all 753 channels as well as which rap star got arrested for what...

[heavenlyboy34]

But, but.....

The American kids can tell you what's on the TV, all 753 channels as well as which rap star got arrested for what...
Kinda interesting aside-I know an aspiring rap star who got both his legs crushed in a car wreck this year.

[jclay2]

https://www.youtube.com/watch?v=fJIjoE27F-Q

[Scrapmo]

Ahh, briliant. Ensuring the next generation remains docile and obsequious by thier inability to determine how much of thier income is stolen.

[presence]

100% That was easy. Sad.

[DamianTV]

Its not like you need to know how to read a paycheck if you can't find a job.

Officially, BLS reports Teen Unemployment in the 20% range... Too much truth in your statement.

Schools: Students are taught to be Obedient and expect Govt will solve all their problems. They are not taught math, not taught to read, and certainly not taught to understand anything but Obedience.

[roho76]

If it matters....I can't understand pay stub either. And I'm a robotics engineer. It should say (Hours worked) x (rate per hour) = my money. But somehow there's all this gobilly gook that subtracts shit. I'm confused.

[dannno]

Job security :confused:

:(

[amy31416]

No reason to brag about getting 100% on a quiz that is incredibly easy. Isn't it most of us who've raised these kids to be such nitwits?


Give the quiz to your kids--then you can brag a bit--if they do well. If they don't....

[heavenlyboy34]

If it matters....I can't understand pay stub either. And I'm a robotics engineer. It should say (Hours worked) x (rate per hour) = my money. But somehow there's all this gobilly gook that subtracts shit. I'm confused.

Or [(hours worked)(RPH)]-government theft at all levels (taxes)=my money; depending on your profession, home state, etc.

[MelissaWV]

It's easy to get 100%, but it's also easy to ignore that there are things obviously wrong with each question/problem.

1. Invoice. I don't accept invoices from companies that do not list their contact information in the form of at least a phone number (email and fax are optimal). I am also wondering how they are calculating shipping AFTER they calculated taxes. An actual order would read:

Order Summary

Items: $24.99
Shipping & handling: $13.96

Total before tax: $38.95
Estimated tax to be collected: $0.00

2. Shipping. I don't know how much the company is charged (which how the question is phrased). I only know what they are charging me.

3. Stocks. This one's correct, though the quiz did not display whether or not the second part of the question was answered correctly.

4. Paystub. I don't think the company deposited anything into Jane's bank account on 7/31. She was still working. The paystub and the directions clearly state that this is her stub for the month of July. How on earth did they process her payroll on the last day of the pay period AND get into her account during banking hours? She is a Manager and has no time off, no benefits? That pay slip is awful.

5. Loans. Yay! I'm supposed to be excited about this lady refinancing for a larger principle because she gets to keep some cash and will get a lower interest rate. Her monthly payments are still the same, though. She will be making those payments for longer (at the time of the refinancing she owed 7400, having paid 600 in one year... now she's starting over with 10000...). I would say she should have negotiated the interest rate down without rolling it all over.

[chudrockz]

No reason to brag about getting 100% on a quiz that is incredibly easy. Isn't it most of us who've raised these kids to be such nitwits?


Give the quiz to your kids--then you can brag a bit--if they do well. If they don't....

Well, I didn't get 100%. I missed the first question, but mostly because it was late last night when I was "taking" it and misread it and answered too quickly. And I'm too smart to ever have children. (Kidding!) :)

[kcchiefs6465]

It's easy to get 100%, but it's also easy to ignore that there are things obviously wrong with each question/problem.

1. Invoice. I don't accept invoices from companies that do not list their contact information in the form of at least a phone number (email and fax are optimal). I am also wondering how they are calculating shipping AFTER they calculated taxes. An actual order would read:

Order Summary

Items: $24.99
Shipping & handling: $13.96

Total before tax: $38.95
Estimated tax to be collected: $0.00

2. Shipping. I don't know how much the company is charged (which how the question is phrased). I only know what they are charging me.

3. Stocks. This one's correct, though the quiz did not display whether or not the second part of the question was answered correctly.

4. Paystub. I don't think the company deposited anything into Jane's bank account on 7/31. She was still working. The paystub and the directions clearly state that this is her stub for the month of July. How on earth did they process her payroll on the last day of the pay period AND get into her account during banking hours? She is a Manager and has no time off, no benefits? That pay slip is awful.

5. Loans. Yay! I'm supposed to be excited about this lady refinancing for a larger principle because she gets to keep some cash and will get a lower interest rate. Her monthly payments are still the same, though. She will be making those payments for longer (at the time of the refinancing she owed 7400, having paid 600 in one year... now she's starting over with 10000...). I would say she should have negotiated the interest rate down without rolling it all over.
This.

[fisharmor]

I'll always remember a bit I saw on Def Comedy Jam back in the 90s.
"What is FICA? It should say fuckya, 'cause that's what it does."

He may not have had all the details, but he knew how to read it.....

[Philhelm]

If it matters....I can't understand pay stub either. And I'm a robotics engineer. It should say (Hours worked) x (rate per hour) = my money. But somehow there's all this gobilly gook that subtracts shit. I'm confused.

I'm of the same opinion. It confuses me when a third party makes several claims on my money.

[oyarde]

Not likely a 15 yr old can read a pay stub from first job unless they have been taught by parent or boss .When I was that age there was an elective class you could take that taught practical things like that , balancing checkbook etc for kids who needed it .The real problem I have always seen is , why are kids under 18 paying any tax in the first place ? They cannot vote. The govt steals from people they call children .

[Pericles]

Ahh, briliant. Ensuring the next generation remains docile and obsequious by thier inability to determine how much of thier income is stolen.

The plan is working splendidly.

[jbauer]

Its not like you need to know how to read a paycheck if you can't find a job.

Who needs a job when "the guberment" will give you food, clothing, shelter, transportation, utilities and an obamaphone.

[heavenlyboy34]

Not likely a 15 yr old can read a pay stub from first job unless they have been taught by parent or boss .When I was that age there was an elective class you could take that taught practical things like that , balancing checkbook etc for kids who needed it .The real problem I have always seen is , why are kids under 18 paying any tax in the first place ? They cannot vote. The govt steals from people they call children .

To get condition them for a life of servitude to all levels of government.

[Anti Federalist]

No reason to brag about getting 100% on a quiz that is incredibly easy. Isn't it most of us who've raised these kids to be such nitwits?

Give the quiz to your kids--then you can brag a bit--if they do well. If they don't....

Not bragging, simply pointing out just how easy it was.

And I did.

Both got 90%.

[Spikender]

Honestly, I expected this test to be way harder than it really was.

I was shocked at how easy the questions were on this...

How can people anywhere be scoring as low as they did? Even my brother, who hasn't done much money management, answered all of these right.

Seriously people.

[Anti Federalist]

Honestly, I expected this test to be way harder than it really was.

I was shocked at how easy the questions were on this...

How can people anywhere be scoring as low as they did? Even my brother, who hasn't done much money management, answered all of these right.

Seriously people.

http://img2.wikia.nocookie.net/__cb20130427215001/mylittlebrony/images/d/df/Derpy_Hooves.jpg

[AuH20]

Honestly, I expected this test to be way harder than it really was.

I was shocked at how easy the questions were on this...

How can people anywhere be scoring as low as they did? Even my brother, who hasn't done much money management, answered all of these right.

Seriously people.

People have been programmed not to think. Frankly, they are scared of thoughts.

[Zippyjuan]

Most teens have only had whatever financial training their parents gave them. There is only one number which matters on their paycheck- "How much did I get"?

[Anti Federalist]

Most teens have only had whatever financial training their parents gave them. There is only one number which matters on their paycheck- "How much did I get"?

And that is exactly what they could not figure out.

[Philhelm]

Most teens have only had whatever financial training their parents gave them. There is only one number which matters on their paycheck- "How much did I get"?

I thought the issue was that they couldn't figure even that out, and aren't familiar with important terms such as "gross" or "net." Going a step further, even being unfamiliar with those terms, anyone with even the smallest lightbulb lurking within their domes would realize that the smaller number is what they get to pocket.

[Carlybee]

Part of my job is payroll and trust me there are adults who can't figure out a pay stub or how federal withholding works for that matter.

[bunklocoempire]

The plan is working splendidly.

The quiz results were spun today, some highlights:


http://bigstory.ap.org/article/us-students-middle-pack-financial-knowhow
-Associated Press/Jennifer C. Kerr

In an increasingly global economy, just 1 in 10 teenagers around the world is able to make some key - but complex - financial decisions, including choosing among various loans or analyzing invoices and pay slips.


Reacting to the study, U.S. Education Secretary Arne Duncan said average isn't "good enough" and American schools can do better.

"Our economy is changing so much and the idea of young people going into the world of work, staying with one job for 40 years, having secure pension and retirement, those jobs are basically gone," Duncan told reporters Wednesday. Young people need to have a "level of financial literacy that 20 or 30, 40 years ago, maybe wasn't applied. But today it's an absolute necessity."

:rolleyes: IMO that continues to scream treat the symptom. :mad:

For years the "global economy" and technology have been made out to be the problem. :mad:

[KCIndy]

I got 100% and yeah, it's an easy test.... IF you've been out in the world for a while.

But seriously - did anyone get taught this in school? I've been out of school for over a quarter century, but even back in the "good old days" we were never taught "real world" stuff like

* how to read a check stub

*how to balance a check book

*what a ledger sheet looked like

*how to calculate interest rates

*the difference between fixed and variable interest

And on and on. We had to bust our asses learning quadratic equations (which I have NEVER used since) but almost all the real world stuff was completely ignored. Like so many other things that should have been taught in school, learning the important and truly useful stuff was a matter of sink-or-swim in the real world after graduation. :(

[Spikender]

http://img2.wikia.nocookie.net/__cb20130427215001/mylittlebrony/images/d/df/Derpy_Hooves.jpg

http://i0.kym-cdn.com/photos/images/newsfeed/000/232/296/812.gif


I got 100% and yeah, it's an easy test.... IF you've been out in the world for a while.

But seriously - did anyone get taught this in school? I've been out of school for over a quarter century, but even back in the "good old days" we were never taught "real world" stuff like

* how to read a check stub

*how to balance a check book

*what a ledger sheet looked like

*how to calculate interest rates

*the difference between fixed and variable interest

And on and on. We had to bust our asses learning quadratic equations (which I have NEVER used since) but almost all the real world stuff was completely ignored. Like so many other things that should have been taught in school, learning the important and truly useful stuff was a matter of sink-or-swim in the real world after graduation. :(

I disagree on that first point. My brother, as I mentioned, has no money management experience. He has nothing but a GED.

I asked him to take this test after I did, and he told me was scared he'd fail it because he has never had to manage money.

He scored 100% on the test.

The problem is a dumbed down populace with no common sense, which has been a problem that has plagued humanity since the very beginning.

I agree that this sort of stuff should be taught in school, but my brother has never been shown how to do any of this stuff, hell, he's never even had to look at a pay stub before, yet he was able to score 100% on this test. I think that speaks volumes about the successful dumbing down of the American populace.

[Anti Federalist]

Heh heh...Derpy straightens out

[angelatc]

I am also wondering how they are calculating shipping AFTER they calculated taxes. An actual order would read:

Order Summary

Items: $24.99
Shipping & handling: $13.96

Total before tax: $38.95
Estimated tax to be collected: $0.00

Depends on what state you live in. SHipping and /or labor isn't / aren't taxed everywhere.

[MelissaWV]

Depends on what state you live in. SHipping and /or labor isn't / aren't taxed everywhere.

Which still means the format is bullshit.