We elevate rigorous, innovative and thought-provoking research that focuses on the foundations of the Personal Finance Ecosystem. We are intentionally advancing our research agenda through thoughtful partnerships that inform the field and further influence financial education outcomes.
Initiative Highlights
- Updated NEFE’s Research Funding Priorities to align with a shift in our agenda on measurement, systemic inequality, data and methodological limitations, and a stronger focus on youth.
- Released the findings of 10 completed research projects in the past five years. Since 2006, NEFE has awarded nearly $7 million in total research grant funding contributing to nearly 1,700 peer reviewed citations.
- Conducted more than 20 nationwide opinion polls, in the last five years, to gain a better understanding of U.S. adults’ personal financial well-being.
- Initiated a collaborative two-year scale validation project for cultural relevancy culminating in a special journal issue dedicated to the improvement of scales in the field.
- Launched a Visiting Scholar program to elevate the voices of traditionally marginalized and oppressed communities. To date, two scholars have been featured:
- Chloe B. McKenzie, whose research is dedicated to examining and reforming financial education, specifically advocating for equity and justice among Black women and women of color.
- Stephanie Cote, whose research focuses on historical contexts, present barriers and successes, and future visions for financial education and economic thriving in Native Nations.
- Sponsored the first open access research journal dedicated solely to financial education (Journal of Financial Literacy) to further legitimize and expand the research agenda.
- Formed a Research Advisory Council to provide NEFE with direct access to members’ unique experiences and perspectives. The Council is a critical pathway for NEFE to stay connected to experts in our field.
- Ongoing refinement of the Five Key Factors for Effective Financial Education.
- Created a K-12 Assessment, currently being nationally normed, to give teachers access to a valid and reliable assessment tied to the National Standard for Personal Finance Education.
Research Funding Priorities
In 2020, NEFE released a new set of funding priorities for our grant cycles. The key focus areas are:
- Measurement to strengthen the case for effective financial education. This focus is evident in other research initiatives as well, including the NEFE-hosted Financial Literacy Measurement Forum in September 2020 and the scale validation project to assess whether financial literacy measurement tools are working for all.
- Systemic Inequality to examine how financial education plays a role in driving equity across populations and cooperates with other factors within the Personal Finance Ecosystem.
- Data and Methodological Limitations to examine bias—specifically as it pertains to personal finance—and to help identify knowledge gaps in our field. We want research to give a voice to those who have traditionally been unseen and less heard in data.
- Youth Focus to address the inconsistent foundation for knowledge and skills critical to financial well-being in emerging adults due to widely varying exposure to financial education and family socialization. This focus also helps to drive research measuring the efficacy of state mandates.
Financial Literacy Measurement Forum
NEFE virtually hosted the Financial Literacy Measurement Forum in September 2020. The forum convened more than 20 scholars from across the field of financial well-being research to share expertise and insights through a facilitated discussion about opportunities and barriers related to measurement. Attendees represented universities, government agencies and nonprofit organizations. The goals of the event were to:
- Elevate knowledge of best practices for survey construction.
- Explore validity across various contexts.
- Engage in conversation about the challenges of knowledge-based tests in our field.
- Construct a list of measures and datasets that exist in our field.
- Discuss the importance of measurement limitations.
Research Projects
NEFE has funded and promoted many key research projects to advance our field’s knowledge of effective financial education. Notable projects include:
- “The Effects of K-12 Financial Education Mandates on Student Postsecondary Education Outcomes” from Montana State University
- “Efficient Financial Education: Best State Practices” from Knology
- “Statewide Implementation of Financial Education in Nevada Schools” from RAND Corporation
Explore our other research projects at www.nefe.org/research. Additionally, we have amplified other seminal work in the field not funded by NEFE, including a 2022 meta-analysis by Tim Kaiser, Annamaria Lusardi, Lukas Menkhoff and Carly Urban of economic literature that quantifies the impact of programs on financial knowledge and behaviors.
Opinion Polling
NEFE’s nationwide opinion polling improves relevancy of topics and provides valuable data for NEFE and the broader ecosystem, helping advocate for financial education, attracting media attention and increasing brand recognition. Our polling data are shared with broad audiences across the U.S. Of note is our 2022 poll showing that 88% of Americans support a minimum of one semester of financial education to graduate high school.
Scale Validation
NEFE’s two-year collaborative work on scale validation addresses the lack of rigorous testing for some of the most utilized survey assessments in the financial services industry. A panel of subject matter experts, in collaboration with the NEFE Research team, created a consensus paper with recommendations for strengthening scale validation work in the field, which will culminate in a special issue in the Journal of Family and Economic Issues.
Visiting Scholars
NEFE’s first visiting scholar, Chloe B. McKenzie, was named in 2022. McKenzie produced six papers throughout her fellowship ranging from understanding racial trauma’s impact on financial literacy, to examining limited and nonparticipation as a trauma response and as an indicator of systemic abuse.
NEFE’s second visiting scholar, Stephanie Cote, was named in 2024. As part of her fellowship, Cote completed a seven-part series exploring Indigenous populations titled “Financial Education for the Contiguous United States Native Nations.” Her work features interviews from Indigenous leaders and wisdom imparted by Native peers and elders to support hypotheses on the intersections of the Native American experience and financial education.
Moving Forward
NEFE remains committed to elevating rigorous, innovative and thought-provoking research through current and ongoing initiatives, including:
- Ongoing support of research funding through grant funding and directed research.
- Disseminating findings from NEFE-funded research.
- Amplifying the work of our visiting scholars.
- Continued opinion polling to capture timely sentiments from U.S. adults.
