High School Hero

 

This spring Pocomoke High School principal Annette Wallace was named Maryland High School Principal of the Year, and subsequently chosen by the Maryland Association of Secondary School Principals to represent the state in the National Association of Secondary School Principals National Principal of the Year competition this coming fall. We had the pleasure of speaking with her about her work in furthering financial literacy among her student population.

 

As our JA Hero, you have made efforts to promote financial literacy, entrepreneurship, and/or workforce readiness in the community. How did you become involved? What is your specific involvement? Why do you feel there is a need to promote this effort?

 As a principal of a school where nearly 75% of the student population is estimated to live at or below poverty level, I saw the growing need to provide students with increased financial literacy skills.  Over the summer a team of teachers from Pocomoke High School developed a Consumer and Personal Finance curriculum that all freshman at Pocomoke High School were enrolled in this past fall.  Pocomoke High School is very proud to be the flagship school in Worcester County that is providing financial literacy to all students.

 

What can our community members do to be mini Heroes? How do you feel they can affect change in their immediate circle? In the community as a whole?

Soft skills do not develop in a vacuum.  Financial literacy and entrepreneurial skills cannot flourish in a closed system.  Truthfully, there aren’t many things that develop and grow without outside influences.  Educating 20^th Century Learners must be purposeful with the goal to be college and career ready.  And when it comes to financial literacy and stability, as a community, we must teach these skills, model these skills, and encourage these skills in the next generation of students.  Our children need to learn about income and careers, planning and money management, credit and debit options, saving and investing, and the need for insurance.  Junior Achievement provides wonderful opportunities for community members to get involved by volunteering his/her time in local classrooms. 

 

How does your involvement with youth financial literacy, work readiness, and entrepreneurship efforts affect our area as a whole? How does it affect future citizens and the future of the Eastern Shore? 

Through Junior Achievement programs at Pocomoke High School students learn to focus on the end result; becoming citizens who contribute positively to society both economically and socially.  The end result for many of my students can be so much better than the cycle they are living in now. Modeling behaviors and teaching social responsibility, JA programs help students break the cycle of poor choices.

 

Do you have a story to share with us? Any times where you saw the impact of your work in action? Anything to illustrate why this is such important work?

The staff of Pocomoke High is excited to witness the results within our freshman upon completion of the Consumer and Personal Finance class.  The dividends of our efforts are difficult to capture but as we look forward to the future and to new partnerships that we hope to develop through this educational opportunity.   Pocomoke High is very encouraged, ultimately believing that our students are our future and without sound financial literacy and a sense of entrepreneurship our future won’t be quite as bright!

 

Is there anything else you would like to share with us?

Unless the students of Pocomoke High are provided with positive visions beyond the bounds of their current situations, they cannot transcend barriers to realize the dreams my staff has for them.  Junior Achievement programs help lift the veil and provide students with a vision of things to come.  Financial literacy will empower the future generation and Junior Achievement is helping students in Worcester County realize their dreams through financial stability and entrepreneurial opportunities.

 

Biography: 

Worcester County is my heritage and my home- I am a Worcester County Public Schools graduate and have been a proud resident of Worcester County for my entire life! I earned my Bachelors of Science in Mathematics with a Concentration in Secondary Education from Salisbury University and upon graduation began my teaching career at Stephen Decatur High School where I taught mathematics and coached softball and soccer.  During my time at Stephen Decatur pursued an MA and earned my graduate degree in School Leadership from Wilmington College.  I have also served as Assistant Principal at Pocomoke High School for two years, during which time I began my doctorate studies at the University of Maryland Eastern Shore.  In the spring of 2012, I was named Principal of Pocomoke High School and in the spring of 2015 I graduated with an Ed.D in Educational Leadership. During my personal time, I enjoy volunteering in my community with the United Way and I love teaching Sunday School at Spence Baptist Church.  I serve on the United Way Board of Directors and on the Atlantic General Hospital Corporate Board of Directors and am a former Salisbury University Varsity Club Board member.

Planning the Battle Against Financial Illiteracy

The Junior Achievement Financial Literacy Summit 

presented by The Talbot Bank, Wye Financial & Trust, and sponsored by Atlantic Financial Group , Wells Fargo Advisors, and Chesapeake College)

We all know managing our money is important. And we know possessing the tools to do so is the foundation for success. Does it matter, however, if someone else is drowning in credit card debt? Is about to lose their house? Is living one paycheck away from financial ruin? Does the financial precipice upon which they teeter have anything to do with us? It absolutely does.

Poor individual financial choices and increased personal debt lead to higher incidences of bankruptcy and foreclosure. The cost from unpaid medical bills is passed on to everyone through rising costs and fees. The same is true for lenders regarding foreclosures. It takes approximately fifty-five paying households to make up for one bankruptcy, according to methodology outlined in The Rise in Personal Bankruptcy: Causes and Impact, Feldstein, 1998.

Financial illiteracy is a universal concern, and it needs to be addressed.

This was the message presented at the Junior Achievement Financial Literacy Summit held on April 21 at Chesapeake College. Numerous distinguished guests, including Maryland Comptroller Peter Franchot, Maryland Director of Homeland Security, Pete Landen; and host Geoff Oxnam, CEO of American Microgrid Solutions spoke and listened to the obstacles and opportunities Maryland faces. During the summit two panels of experts tackled the two halves of the issue. The first group: Eric Brotman of Brotman Financial Group; Mindy Schaffer of Chesapeake College; and Dr. Sarah Guy of Salisbury University BEACON, discussed the current need for financial literacy education. The second group: Deborah Owens of Owens Media Group; Ed Grenier, of Junior Achievement of Greater Washington; and Joanna Smith-Ramani of Aspen Institute theorized means of solving the problem.

“Happiness is not from income,” declared Comptroller Franchot in his opening remarks. He went on to declare that financial stability does, however, contribute to mental well-being. Expanding on that statement, guest speaker Mindy Schaffer of Chesapeake College said that college  is not a conversation happening in poor socioeconomic situations anymore. And while this trend of non-education is occurring, most careers at present require some sort of higher education or training. Securing a career means securing one’s financial future, and “Once you take financial instability off the table,” said Schaffer, “you can work on finding things that make you happy.”

Panelist Brotman called the current lack of financial literacy an epidemic, stating, “If we had as many people reading illiterate in this country as financially illiterate, it would be front page news.” The issue, he states, is not the information, which is everywhere, but rather the digestion and comprehension of that information. Brotman noted college students can obtain high loans and credit cards before they are even allowed to drink. Students are starting life at a negative, many up to $500,000 in loan debt because of a lack of critical understanding of finances. At Chesapeake College, Schaffer sees many students who have made smart decisions to attend the lower-cost community college for two years and transfer to finish their four-year degree, or enter a career directly after receiving their associate degree. For each one of these students, however, there are countless others who “want what they want” in regard to a university and will sign for a loan without knowing the contents or considering their future income-to-debt ratio after graduation. Leaving college with a hefty debt can spiral students from financial instability into financial ruin.

Financial instability, in turn, can lead to poor decision making regarding credit. Those with no savings are forced to turn to credit to help them out of a car repair bill or a period of unemployment—compounding their financial instability. Dr. Guy noted the average Maryland household credit card debt is $6,500, and the foreclosure rate is 19%–over double the national rate of 8%. Maryland Comptroller Peter Franchot stated, “It is easier to get rid of your fingerprints than get rid of bad credit.”

Comptroller Franchot kicked off the “Addressing the Need” panel with the declaration, “Let’s get real!” Understanding the financial literacy crisis and finding ways to address it have been and remain a key concern. Panelist Deborah Owens stressed empowering average people to take control of their finances.

“Knowledge isn’t power. Knowledge correctly applied is power.”

Owens encouraged training people to apply knowledge to get their expected outcome, and to help them learn in non-judgmental, safe environments. Ramani of the Aspen Institute noted national studies show that putting adults in traditional classes does not help them learn, and more immersive, experiential lessons will help convey the knowledge. Removing judgment and promoting accountability support in education will go a long way toward encouraging people to become financially responsible.

From the summit came the universal agreement that there needs to be an increase in financial literacy education at all age levels and all stages of life. Programs like Junior Achievement begin this education early, and continue through middle and high school—crucial years for building sound financial literacy practices. Currently 50% of millennials feel debt is a top concern. 40% of them worry weekly that they will not be able to meet their debt obligations. Helping the next generation learn to understand the whole of their finances, income potential, and higher education costs now will keep them, and the rest of the economy in a positive and prosperous situation.