State Treasurer Mike Pellicciotti has engaged with thousands of people across Washington during his tenure in office. Not one, Pellicciotti said Thursday, has told him they feel adequately versed in financial education or financial literacy.
“But what really, truly shocks Washingtonians when I talk to them is that financial education is not required in our schools today,” Pellicciotti said during an event at the state Capitol building.
Joined by State Senator Adrian Cortes, a Battle Ground Democrat, Pellicciotti announced that he would again push for legislation to make financial education a requirement for high school graduation. The proposal comes after a similar measure died in the Senate during the 2025 session, despite finding broad bipartisan support in the House of Representatives.
A similar proposal also failed in 2024, indicating persistent legislative obstacles despite apparent support for the concept.
“I have a foundational view that everyone should have access to the economic empowerment that comes through understanding one’s finances,” Pellicciotti said. “And that no one should be reliant on how good their parents are with money as to whether or not they have the tools to be able to navigate the complexities of the world today.”
Some schools in the state already require financial education instruction, including the Pasco, Puyallup, and Richland school districts. These early adopters demonstrate that implementation is feasible within Washington’s education system.
Pellicciotti said it is important that schools have “flexibility” to establish curriculum that meets their needs rather than imposing a rigid statewide program.
“We ask a lot of 18- and 19-year-olds today, sign this, sign that. But we do not explain the difference between a grant or a loan, or how interest rates are good when you are saving money and bad when you are borrowing money,” Pellicciotti said. “These are foundational concepts that if you do not have them as you enter the world, you are setting yourself up where you can get yourself in major debt cycles and huge challenges in your 20s in ways that have lifelong consequences.”
According to the National Endowment for Financial Education, 30 states require students to take a personal finance course to graduate from high school. Washington lags behind this growing national trend toward mandating financial literacy education.
If approved, the requirement would potentially not take effect until 2033, providing an extended implementation timeline for districts to develop curriculum and train teachers.
During the interim period, Pellicciotti said his office had held roundtable discussions with more than two dozen school superintendents about financial education. These conversations aim to build support among education leaders who would ultimately implement the mandate.
Pellicciotti said his office has also partnered with the state board of education as part of a multiyear initiative to update high school graduation requirements in the state. The financial education proposal fits within broader efforts to modernize what students must learn before receiving diplomas.
The repeated failure of similar proposals in the Senate suggests political obstacles beyond simple policy disagreements. Senate resistance may stem from concerns about adding graduation requirements, imposing costs on districts, or competing priorities for instructional time.
The bipartisan House support indicates the concept resonates across political divides. Financial literacy appeals to both progressive concerns about economic inequality and conservative emphasis on personal responsibility.
The 2033 implementation timeline addresses concerns about rushing implementation. Districts need time to develop curriculum, train teachers, and integrate new requirements into existing graduation pathways.
The flexibility Pellicciotti emphasizes recognizes that one-size-fits-all curriculum mandates often fail. Districts vary in resources, student needs, and existing programs, requiring adaptable frameworks rather than rigid prescriptions.
The examples of young adults signing documents they don’t understand highlights real-world consequences of financial illiteracy. Student loans, credit cards, apartment leases, and car financing all involve complex financial terms and obligations.
The distinction between grants and loans represents fundamental financial concepts many students lack. Confusion between money that must be repaid versus money received outright creates debt burdens students don’t anticipate.
Understanding interest rates as beneficial for savers but costly for borrowers represents another basic concept with lifelong implications. Students who don’t grasp this principle make poor decisions about saving and borrowing.
The reference to debt cycles and 20s challenges acknowledges how early financial mistakes compound. Credit card debt, student loan burdens, and poor credit scores created in early adulthood take years or decades to overcome.
The parental wealth gap in financial knowledge perpetuates inequality. Students whose parents understand finances receive informal education, while those whose parents struggle financially lack this advantage.
