Gaps in the financial knowledge of young Hessians - State offers workshops - Hesse's Young Adults Struggle with Financial Literacy Despite Saving Habits
A new study from Goethe University in Frankfurt has revealed worrying gaps in financial knowledge among young people in Hesse. While many prioritise saving, basic financial skills remain uneven across different groups. The findings come as digital tools and regional programmes aim to improve financial literacy for those aged 18 to 27.
The research highlights that 43% of young adults in Hesse already invest in the stock market. Yet, despite this engagement, many struggle with core financial concepts. Those with lower education levels and young women scored particularly poorly in assessments.
Financial stress is widespread, with high rents, debt, and poverty fears weighing on the age group. Most rely on family, friends, or personal experience for money advice, followed by social media and online sources. However, the study warns that many lack the skills to judge whether digital financial information is reliable.
Across Germany, similar initiatives are expanding. Bavaria's FinanzFit Jugend (2021) and Berlin's Finanzcoaching Young Adults target young adults with workshops and funding. Hamburg's MoneySkills 18+ and Saxony's Zukunftskapital Jugend follow the same approach. In Hesse, the Future Days programme—originally from North Rhine-Westphalia—has spread to Baden-Württemberg and Bavaria, with plans for Lower Saxony and Rhineland-Palatinate to join by 2027.
Digital solutions like neobrokers, AI chatbots, and robo-advisors could bridge some gaps. But the challenge remains: ensuring young people can spot trustworthy advice in an overwhelming online landscape.
The study shows a clear demand for better financial education in Hesse. Over 87% of young adults see saving as crucial, and more than half save regularly. Yet, without stronger support, many may continue to face financial insecurity—despite growing access to tools and programmes.
