As high school math teachers, we often hear this comment from our students: “When will I ever need to use math?” That’s a fair question. Here are a few compelling reasons we can offer our students (and adult friends). See what you think. Notice that the level of math required increases as you move down the list.

The most important reason to learn math during high school is for future employment opportunities. A basic numeracy test is the most used screening tool in the private sector. If you’re good at algebra, these instruments will be a walk in the park.

Employment

I worked ten years in the private sector prior to teaching. I was an accountant at a bank, a retail manager for a regional sporting goods company, and the owner and operator of a successful ad specialties business. In all those years, I probably interviewed for 4 or 5 various positions. Some resulted in offers, some did not. But one screening instrument that was consistent across the board was a math test.

Students say, “What!?” That’s right. The number one employment screening tool is a math test. Being able to demonstrate basic math competencies is more valuable to prospective employers than being able to identify all the states’ capitals. Note: These math tests are usually used to screen for career-type positions. If an individual is applying for a minimum wage job, the employer will probably be happy if he or she has a track record of showing up on time and can pass a drug test.

Having said that, my daughter had to take a math competency test when she applied to Subway.

Banking

Once you have a job, you will need to visit a bank to open a deposit account and establish a banking relationship. To evaluate the various choices, you will need basic math skills. Once a checking account is established, math skills are also needed in order to maintain it. Balancing a checkbook may only require grade school arithmetic skills, but it’s amazing how many people screw it up. It takes practice to become proficient. (Sound familiar? Sort of like math practice…)

In any event, simple arithmetic skills can save hundreds of dollars in bank overdraft charges as well as aid in choosing investments. (See below.)

Shopping

Who doesn’t love shopping? In our culture, we usually just pay the price listed on the tag. However, what about high ticket items like appliances, furniture, or even a car? The prices of these items are often negotiable, so having basic math skills can help you keep more money in your pocket. How? In my experience, a strong math sense helps you negotiate better.

I recently purchased some furniture. When the salesperson asked my profession, I said that I was a high school math teacher. True story, she said, “I may as well go straight to the last pricing column.” More than anything, understanding some basic math will at least increase your confidence during negotiations, and you will get a better deal. (Don’t be bashful!)

Utilities

Related to shopping is the procurement of your household utilities. As a result of deregulation, you get to choose choose your cable company, who carries your wireless phone calls, and even who supplies your gas and electricity. Should you choose ABC’s cable service which costs $50 a month plus $10 per premium channel, or is XYZ a better deal at just $40 a month but $12 per premium channel? Can you say systems of linear equations?

Students must at least be able to ask the right questions to compute the various totals. How many premium channels do you want? What is included in basic cable? What are the taxes? Are there discounts for automatic EFT payments? And so on…

Investing

This is probably the most important reason to understand math, exponential growth models in particular. Yep, we’re talking about compound interest. In a country with a stock market that as averaged almost over 8% returns since there has been a stock market, all students should be taught they they can easily retire one day with dignity.

In fact, every Americans ought to be able to retire a millionaire. Youth is on the high schooler’s side. Just $100 a month (about one Starbucks a day) invested into a stock market mutual fund (like VFIAX) will increase to in excess of a million dollar nest egg. The catch is that it takes about 40 years for compounding to really work it’s magic. The sooner you start, the better off you’ll be. Patience is a virtue, but learning about exponential growth can be instrumental in teaching young people how it is possible to invest and retire millionaires. Students should be allowed to graduate high school unless they can explain how compound interest works.

Insurance

What do money in the bank, a car, a home, an income, and investments all have in common? They need to be insured. Students must have the capacity to understand insurance products, and numeracy plays a large roll here as well.

We need to insure the biggest wealth-producing asset we have — our income. That means life insurance, health insurance, dental insurance, vision insurance, and long-term disability insurance.

You will also need to protect your “stuff” with car insurance, renters insurance, homeowners insurance, and flood insurance. It’s enough to make your head spin. Now imagine you are a recent graduate who didn’t try hard in math class.

Moral of the Story

According to Dave Ramsey, colleges and universities lose more students to credit card debt than to bad grades. Students can become overwhelmed by the real world, throw their hands in the air and just give up. No one intentionally embarks on a path to bankruptcy. I think it’s my job as math teacher to let my students know the “real” reason to learn math… and it’s not just to do well on the Keystone Exams.

We math teachers must encourage our students. Doing the things others will not… this is what will make them successful, not just in their personal financial lives, but in all areas of life.