Share This Article
Experts estimate that four out of every ten Americans can’t afford a $400 emergency expense. This pre-pandemic statistic was only exacerbated in the last year as businesses closed their doors and unemployment rates rose. Young Americans Center for Financial Education and proud supporter Janus Henderson Investors are working together to solve this problem by teaching youth about the importance of saving, starting in elementary school.
In a recent article for Planadvisor, Janus Henderson Investors Retirement Director Ben Rizzuto speaks to the importance of saving for an emergency. “The events of the past year have reinforced the importance of being financially prepared for unexpected emergencies and extended periods of work disruption,” he notes. Employers and employees alike are looking for saving options with more liquidity, as directing money to a 401(k) or other savings plan can’t help in the short term if a person finds herself out of work.
One of the biggest values of the Young AmeriTowne program is that students gain hands-on experience in the importance of savings when they are young. They accomplish this in three ways:
- They learn about savings;
- They participate in a budgeting simulation activity where they set aside money for savings; and,
- When they receive their first income, they “pay themselves first” by depositing money into a savings account.
Financial support from Janus Henderson makes these lessons possible both at school and at the beloved AmeriTowne where Janus Henderson sponsors the Towne Hall.
Learning about savings at an early age sets students up for a lifetime of success. “When young people practice financial habits, they have years to master them,” notes Rich Martinez, President and CEO of Young Americans Center, the organization that runs Young AmeriTowne. “Our goal is that by the time they reach their 20s, youth already have the knowledge and skills they need to be financially independent and successful.”
Demesha Hill, Head of Diversity and Community Relations at Janus Henderson Investors and Managing Director at Janus Henderson Foundation, echoes this sentiment. “Janus Henderson invests in innovative programs like Young AmeriTowne because we want to help prepare our youth to achieve academic success and evolve to be the future leaders of tomorrow. We are proud to support this impactful and memorable program.”
Thank you, Janus Henderson, for your continued investment in quality and meaningful financial education at Young Americans Center.