“Money may not be the root to happiness but it is definitely the root for survival” reflected a 16-year-old Australian student experiencing financial hardship in the 2024 Impact of Financial Stress on Young People Report. This captures a growing reality for many young people: money may not buy happiness, but it is increasingly shaping their wellbeing, opportunities, and sense of future security.

Rising living costs, housing affordability pressures, online scams, buy-now-pay-later products, cryptocurrency, investment apps and superannuation mean today’s young people must navigate a complex financial landscape. A 2026 Australia’s financial wellbeing report highlights how technology, health and climate change are reshaping financial wellbeing, requiring responses that extend beyond individual knowledge and behaviour.

Yet many young Australians continue to face significant financial challenges. Australia’s PISA 2018 results showed declining financial literacy and socioeconomic disparities, but its non-participation since then leaves a gap in current evidence. The 2023 Mission Australia Youth Survey found that one in five young people experienced financial stress, which was linked to poorer mental health and wellbeing, housing instability, and lower confidence in achieving future educational and career goals. These pressures extend into tertiary education, with serious financial hardship affecting one in three surveyed university students, as reported in most recent research.

Recognising these challenges, and that young people’s financial learning often begins at home where families have varying resources and experiences, Australian governments have increasingly turned to schools as a key solution.

Over the past two decades, financial literacy education has evolved from a collection of isolated initiatives into a national policy priority. Financial literacy is now embedded across the Australian Curriculum through Mathematics, Economics and Business, English, History, Science, Health and Physical Education, Digital Technologies, as well as the Numeracy General Capability. More recently, under the leadership of Australian Treasury, financial literacy was reframed within a broader concept of financial capability, which encompasses the knowledge, skills, attitudes and confidence required to make informed financial decisions throughout life.

But amid all this policy activity, one important question remains largely overlooked: are teachers adequately prepared to teach it?

Current support from the government, industry, and community

Considerable effort has been devoted to supporting financial literacy education in Australian schools. Since the early 2000s, governments have introduced a range of curriculum-aligned programs, including MoneySmart Teaching, Tax, Super + You and Paying It Forward, providing teachers with resources, classroom activities and professional learning opportunities. These efforts have been complemented by contributions from industry, community organisations and researchers, who have developed simulations, workshops and authentic learning experiences to engage students with real-world financial decision-making. Initiatives such as the ASX Sharemarket Game, Talk Money and Economics + Maths = Financial Capability demonstrate the growing role of cross-sector partnerships in advancing financial literacy education.

This collective effort reflects a broad consensus that financial literacy is too important to leave to chance. Yet despite substantial investment, implementation remains uneven.

Many teachers still lack confidence

Teacher confidence and expertise are widely recognised as critical to effective financial literacy education. Yet many teachers report feeling underprepared, particularly as financial literacy is embedded across multiple curriculum areas rather than taught as a standalone subject.

The challenge extends well beyond teaching budgeting or interest rates where heavy mathematical calculations and formula applied. Students are increasingly expected to evaluate financial risks, identify scams, navigate digital financial products, interpret marketing claims, consider ethical dimensions of consumer and business behaviour, as well as make informed decisions in a rapidly changing financial landscape.

While professional learning initiatives have helped many practising teachers develop these capabilities, most support is provided only after they have entered the profession. This raises an important question: are we doing enough to prepare future teachers before they step into the classroom?

The missing piece: pre-service teacher education

More than a decade ago, Australian National Financial Literacy Strategy and research identified pre-service teacher education as a crucial component of the national financial literacy agenda. The 2026 financial wellbeing review renews this call for dedicated financial literacy training in pre-service teacher education.

Yet this remains one of the least developed areas of financial literacy education. Our review of two decades of Australian research found relatively few universities provide explicit preparation in Economics and Business curriculum and pedagogy for future teachers. Even fewer include dedicated financial literacy learning outcomes within teacher education programs. At Monash University, financial literacy education is primarily addressed within secondary humanities teacher education, particularly the commerce method streams. While this provides a foundation for future commerce teachers, it highlights the need to extend preparation to teachers across other curriculum areas who may also be expected to teach financial literacy.

As a result, many graduate teachers across Australia may enter schools with limited preparation for teaching financial literacy despite increasing curriculum expectations.

The issue is compounded by workforce realities within secondary schools. Specialist commerce teachers are often concentrated in senior secondary subjects such as Accounting, Business Management, Economics and Legal Studies, where examination demands are high. Consequently, much of the financial literacy content taught in Years 7-10 may be delivered by teachers without specialised preparation in commerce or financial education.

This creates a gap between policy ambition and classroom reality. Governments have invested significantly in curriculum reform and teaching resources, but comparatively little attention has been given to ensuring future teachers are systematically prepared before they enter the profession.

Universities have an important role to play

So far little attention has been directed towards how pre-service teachers are equipped to teach this content effectively both in practice and research. 

Strengthening pre-service teacher preparation can build future teachers’ financial knowledge, confidence and pedagogical capabilities, enabling them to create meaningful and inclusive financial learning experiences. In turn, these experiences can help young Australians develop the skills and critical judgement to navigate financial decisions and seek support when needed. As emphasised in Ecstra Foundation’s 2026 roundtable discussions, education must be complemented by action on income adequacy, affordability and systemic barriers. Through sustained investment in teacher preparation and research, universities can fulfil their role in preparing capable educators who can translate policy ambitions into classroom practices that contribute to more equitable financial wellbeing for young Australians.