Most Teens Can’t Pass These Personal Finance Quizzes. Can you?

Are you smarter than a 10th grader? What about when it comes to financial basics?

National financial literacy test scores show that young Americans struggle to understand introductory money management concepts. Young people aged 15 to 18 scored 64.39% on average, failing to meet the “minimum reading standard” of a 70% grade, according to national results released this month by advocacy group the National Financial Educators Council (NFEC).

“These results underscore how unprepared many young Americans are when it comes to managing money,” said Vince Shorb, the group’s CEO, in a press release. “We cannot compromise. High-quality financial education is essential for the next generation to face real financial challenges.”

NFEC, which advocates for financial literacy to be included as a core subject in grade school, administered 30 questions in the year 2025 to more than 61,000 youth in all 50 states and Washington, DC – and nearly half of them failed with scores below 70%.

While the financial test is designed for teenagers, more than 100,000 Americans of nearly all ages have taken it since 2014, NFEC said.

Generally, the older the defendant, the better the score.

Scores also varied greatly by state. Young people from Washington, DC did the best, scoring over 71%. In second place was West Virginia, with an average score of 69%.

On the other end of the spectrum are Delaware and Arkansas, with average scores of 55% and 56%, respectively.

Can you pass this financial literacy test?

NFEC says it created the test to measure “participants’ ability to earn, save and grow their money.” Finance staff tested and received questions on topics including communication, entrepreneurship, volunteering and goal setting.

Here is a selection of 5 of the 30 questions on the exam, including the two most frequently missed questions, according to NFEC. (Jump below to see the correct answers.)

Sample question 1: Why do I want to improve my credit score?

a. Saving money when buying a car with a loan

b. To get more interest on investment

c. To help you find a job, because many employers check their prospective employees’ credit

d. Both “a” and “c”

Sample question 2: If I invest $100 a month starting at age 21, and that money earns a 7% annual return, how much will I have after age 70?

a. $138,957

b. Between $150,000 and $225,000 depending on life expectancy

c. Over $1.5 million

d. None of the above

Sample question 3: How can understanding risk management topics help me in everyday life?

a. It can help protect your credit and protect you from lawsuits.

b. You can avoid huge medical bills incurred because you don’t have medical insurance.

c. Understanding risk management helps you assess the risks involved in situations you may encounter while driving, hanging out with friends, or otherwise busy.

d. all of the above

Sample question 4: Which option describes the best way to automate your finances?

a. Have your employer deposit your paycheck directly, set up automatic bill pay, set up automatic transfers to your savings account, and track all your finances in one place.

b. Keep track of all your debt payments in a spreadsheet, have a written budget, and set up an account with a bank or credit union.

c. All your credit companies must deduct their monthly payments directly from your checking account.

d. None of the above

Sample question 5: What is the safest first step I can take to start building my credit?

a. Get a credit card or student loan and pay off the debt on time.

b. Create a credit plan that includes a budget, emergency funds, and steps you will take to prove to the credit bureaus that you can repay the loan.

c. Take cash out of a credit card and put the money into savings where it will earn interest.

d. Both “b” and “c”

You can take the complete 30 questions question paper from the NFEC website.

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Correct answers: 1. D; 2. C; 3. D; 4. A; 5. B.