Folks in a “Frenzy” at First Nations L.E.A.D. Conference

First Nations Development Institute held its 19th Annual Leadership and Entrepreneurial Apprenticeship Development (L.E.A.D.) Conference at the Tulalip Resort Casino on Sept. 24-26 this year. Over 175 participants came to learn more about a range of topics related to economic development on Indian reservations. One conference track was dedicated to Youth Development and featured many innovative youth programs that support youth employment, education and financial empowerment.

Shawn Spruce

On Friday, Sept. 26, financial educator Shawn Spruce conducted a “Spending Frenzy” training workshop that was designed to help tribal colleges, CDFIs (Community Development Financial Institutions), internship programs, and Boys and Girls Clubs offer financial education programs.

The Spending Frenzy is designed for youth and provides participants with a pile of play money and lets them go on a spending frenzy where they can make a series of financial decisions related to buying a car, buying a home, and paying for life’s expenses. Participants travel between stations where they are asked to make a payment using the play money and record that payment in a ledger. The goal is to finish the workshop with all the bills paid and some money left over. The first stop is at the Big Money Bank, but people are often disappointed when they learn they also have to visit the IRS and pay taxes on their income.

Shawn plays the "taxman" at the IRS stop

“People have been asking us to offer a training so they can learn how to conduct this workshop in their home community,” said Shawn, who is a financial educator and a First Nations consultnt. “There is a lot of demand for financial education that is interactive, fun and relevant to the lives of Native youth. Kids love to learn in a hands-on setting, and the Spending Frenzy offers that.”

More than 30 practitioners from programs across North America participated in the training. Staff from First Nations and Chief Dull Knife College helped work at the stations and conduct the workshop.

A participant studies her expenses

“We are honored that so many people are interested in this interactive financial education program,” said Sarah Dewees, senior director of research, policy and asset-building programs at First Nations. “We look forward to hearing more about how our partners implement this program in their home communities.”

Seneca in a “Frenzy” While Northern Cheyenne Goes “Crazy”

 

Seneca students during their $pending Frenzy

Wouldn’t it be nice if financial education was offered in a dynamic, interactive format where individuals can try out the skills that they are learning and gain confidence to manage their money?  These workshops, often referred to as “financial simulations,” give youth (and adults) the chance to practice managing their money in a safe environment.

On June 30, 2014, First Nations Development Institute (First Nations) offered an interactive workshop specifically tailored to Native American youth receiving minor’s trust payments.  Four certified financial literacy trainers from the Seneca Nation of Indians – together  with experts from First Nations – hosted the “$pending Frenzy” for Seneca Nation youth. This workshop provided the youth with play money in the amount of a tribal annuity payment to learn about a range of spending and investing options.  Students were asked to make a series of budgeting decisions over a two-hour period.  The model was developed in response to demand from certain tribes who were struggling with how to prepare their youth for this once-in-a-lifetime event.

Seneca students getting their "cash" to budget and spend

The $pending Frenzy workshop is based on experiential learning principles – the belief that youth learn by doing.  Students learn to use a bank to cash their check, and then are asked to make decisions about buying a car, buying a home, and balancing their wants and needs while budgeting their money.  Unexpected emergencies and opportunities were presented to the youth in the form of “Cards of Fate,” which helped them learn to plan for unforeseen life events.

Justin Schapp, assistant to the Seneca Nation of Indians’ treasurer, coordinated the event and said the $pending Frenzy was well-received by the students.   “People need to be educated as to how long you really can make money last” was the thought of one participant.  Another student noted that “budgeting it out so it will last me a long time” was one of the biggest challenges or hardest parts about handling a large sum of money.

The $pending Frenzy is similar to “Crazy Cash City” events that First Nations has hosted, mirroring the belief that learning by doing is the most effective approach for helping youth develop financial skills.  The Crazy Cash City workshop is a 90-minute reality fair in which students have to navigate a series of simulated financial tasks designed to teach basic budgeting and banking skills.  It is designed to be fun — since they are spending play money and not really buying things — but it is also informative and highly interactive.  All participants are given a folder containing a fictitious family profile that listed what their income is, the income of a spouse, the ages of any children, and any outstanding debt they have or benefits they receive.  The youth then visit about 10 booths that provide various choices for housing, transportation, child care and more, and are asked to make smart financial decisions based on their family profile.

Pondering financial options at Chief Dull Knife

In early June, First Nations conducted a Crazy Cash City workshop in coordination with the Chief Dull Knife College cooperative extension service for youth on the Northern Cheyenne Indian Reservation.

“There is tremendous demand for effective financial education for Native youth,” said Sarah Dewees, First Nations’ senior director of research, policy and asset-building programs. “We are honored to have worked with so many tribes and Native nonprofits to help provide financial education in their communities.”

By Tawny Wilson, First Nations Program Officer

Purchasing decisions being made at Chief Dull Knife