TITLE:
Fostering Early Financial and Tax Understanding: Integrating Concepts into Education
AUTHORS:
Georgia Manolakou
KEYWORDS:
Early Financial Education, Financial Literacy, Adolescent Financial Competence, Tax Awareness
JOURNAL NAME:
Open Journal of Social Sciences,
Vol.12 No.10,
October
28,
2024
ABSTRACT: This paper explores the integration of financial and tax literacy into the educational process, emphasizing early exposure to these concepts. Modern states rely heavily on tax revenue for their sustainability, making it crucial for citizens to understand both financial management and tax compliance. However, tax literacy is often overlooked as a core component of financial education. This study examines the development of financial literacy in Greece, highlighting significant gaps across regions, age groups, and genders, with particular focus on adolescents and women. The findings suggest that socio-economic factors and education play key roles in shaping financial behaviors. Incorporating tax literacy into financial education from an early age is vital to fostering a culture of responsible financial behavior and voluntary tax compliance. Through a meta-analysis of global research and a review of Greek financial competence, the paper identifies age 12 as an optimal starting point for formal financial education. It also advocates for a comprehensive approach that includes teacher training and adapting successful international practices. By embedding financial and tax education into school curricula, young people can be better equipped to manage their finances responsibly and contribute positively to national economic systems.