1. FINANCIAL LITERACY AT THE
RESTRICTED
PRESENTATION TO THE SOCIETY FOR FINANCIAL EDUCATION & PROFESSIONAL DEVELOPMENT
FINANCIAL LITERACY AT THE
SA MILITARY ACADEMY
3/10/2017

2. ORIENTATION 2

3. 5/6/2018 3

4. South African Military Academy.
AIM
To brief the Society for Financial Education & Professional Development on Financial Literacy education and financial literacy levels at the
South African Military Academy. 4

5. SCOPE Motto Short History Mandate Programmes Research
Scope and challenges
Adult education

6. ARM YOURSELF THROUGH KNOWLEDGE
MOTTO
DISCENDO ARMEMUS
ARM YOURSELF THROUGH KNOWLEDGE

7. SHORT HISTORY Established on 1 April 1950 Branch of the Army College
University of Pretoria
Loosely based on West Point and Sandhurst models – education and training
Moved to Saldanha in 1953
1st year students initially at Stellenbosch
1961 – faculty in own right
Three year degree
First female students in 1978 7

8. MANDATE
To provide contextualised (MILITARY) Higher Education, Training and Development as required by the DOD to identified members, personnel and other approved clients, using centralised processes in accordance with the requirements specified by the University of Stellenbosch, DOD and legislation.

9. Career Development of an Officer
Doctoral Degree
Functional Courses
JSCSP
ENSP
Masters Degree
Post Grad
Diploma
JCSD
& Below
3rd Year
2nd Year
1st Year
PCMS
Bachelor of Military Science
DORM
HOD
SAS
TEC
TECH & MAN
Bachelor Degree
Adv. Formative 9

10. Bachelor of Military Science
Undergraduate Programmes (SU)
Bachelor of Military Science
BMil in Security and Africa Studies
BMil in Human and Organisation Development
BMil in Technology
BMil in Technology and Defence Management
BMil in Organisation and Resource Management
Public Development Management.
Military Management
Accounting and Auditing
Economics 10

11. Higher certificate in Military Studies
Competency = 12 credits
Personal Finance : 1 credit = 10 periods
Topics:
Planning
Tax
Financing
Investments
Risk management
Financial indicators 11

12. Higher certificate in Military Studies
Lectures
Practical Assignments
Budget
Financial goals
Assets and risks
Open book evaluation
Prescribed book: Randwi$e The Soldier’s Guide to Personal Financial Management
2002
how to …planning, taxes, financing/using debt, investments (home, car, shares), risk management, and financial indicators. 12

13. Financial Literacy Levels
2009 Fin Lit Questionnaire
Knowledge, attitude and financial behavior
Knowledge questions based on JumpStart coalition and FSA questionnaires
Adjusted: 18-24, SA, Military Context
Subjective and objective
134 respondents
Findings
38 (28%) do not survive financially;
38 (29%) have been cheated financially;
25 (19%) have attended some financial literacy course; 13

14. Financial Literacy Levels
Findings (continue)
20 (24%) save nothing compared to 8 (7%) who save more than 30% of their gross monthly salary;
110 (85%) rates following a monthly budget as very important, 44 (33%) has a budget in writing, and 52 (39%) follows a monthly budget;
58 (45%) belief that they will have enough to retire on;
81 (62%) belief that you have to save to be financially successful;
32 (24%) have a credit card, and 21 (16%) have personal loans; 14

15. Financial Literacy Levels
Findings (continue)
108 (81%) do not own shares or mutual funds;
88 (66%) have a will, and 20 (15%) keep financial records for tax purposes;
Group achieved 50.17% for financial knowledge;
Self graded = 60.80%
Investments = 39.37%
Insurance = 42.54%
Inflation = 43.28%
Credit = 49.53% 15

16. Financial Literacy Scope and Challenges
Young people earning salary (banked), full medical, accommodation, and defined benefit retirement;
unemployment (27%) and sending money home;
low economic growth and high inflation;
predatory lending and high banking fees; and
financial products that are not suitable. 16

17. Financial Literacy Adult Education
NIPAM and SSA
SPL and SMDP;
35+;
Fear of calculations;
Financial calculators = interest 17

18. THANK YOU!