1,500 Schools Add Business Finance to High School Curriculum

High school students across the United States now have a formal academic pathway to learn about stock markets, retirement accounts, and business management. The College Board introduced a new Advanced Placement course titled Business with Personal Finance this academic year. More than 1,500 high schools are offering the class for the first time.

The curriculum moves beyond traditional liberal arts subjects. Students study how political, economic, social, technological, environmental, and legal factors affect business operations. The course also covers personal financial decisions, such as investing and saving. At Hoover High School in Alabama, students discuss how they handle part-time wages. Some allocate funds to index funds like the S&P 500 or QQQ. Others contribute to Roth IRAs or 401(k) plans.

David Coleman, CEO of the College Board, states that the organization created the course in response to student surveys. Students indicated a desire to turn ideas into jobs. Coleman argues that business education is a core part of the liberal arts. He claims this mix of practical and theoretical learning is highly useful in the current environment.

The new AP course sits within a wider trend of financial education in public schools. Thirty-nine states now require a personal finance class for high school graduation. This number is four states higher than it was two years ago, according to the Council for Economic Education. The AP exam allows students to earn college credit, typically reserved for subjects like English, history, and chemistry.

Jennifer Steele, a professor of education at American University, notes that financial literacy improves decision-making. A Federal Reserve paper found that families in states with financial education requirements made better financial choices during the pandemic. These families were more likely to use stimulus checks to pay down credit card debt or refinance mortgages when interest rates were low.

Students report that the AP business class is challenging and can boost grade point averages. AP courses are often weighted more heavily in transcript calculations. Hoover High School, which serves nearly 3,000 students, also offers a four-year business academy. The academy includes classes in accounting and entrepreneurship.

Rachel Deschaine, a senior at Hoover High School, says the lessons apply to daily life. Her father owned a trucking company, and her brother is studying economics. She observes that business principles are present in almost every interaction. Darshan Parmar, a junior in the same class, manages his own investments. He reports placing money into specific index funds without parental assistance for the transactions.