High Schoolers Take First AP Business Class Focused on Personal Finance

Students at Hoover High School in Alabama are using a new college-level course to manage their own paychecks.

The Advanced Placement Business with Personal Finance course launched this year at more than 1,500 high schools across the country. It is the first time the College Board has offered a business AP exam. The curriculum covers management and finance, as well as external factors like legal and economic trends that affect companies. AP classes are college-level courses that allow students to earn college credit by passing a standardized test.

Teacher Gerri Kimble leads a seminar where students discuss how they handle income from part-time jobs. Some spend their earnings on gas or beverages, while others save or invest. Junior Darshan Parmar stated that he manages his own index funds, specifically citing the S&P, QQQ, and VOO. Another student in the class allocates 70 percent of his pay into a Roth IRA. A third student contributes to a 401(k), and a fourth buys stocks directly.

David Coleman, CEO of the College Board, explained that the course was created after students in surveys indicated a desire to turn ideas into jobs. Coleman positioned business as a core component of the liberal arts, comparable to math and history. He noted that the class offers a practical alternative to the theoretical approach found in AP economics, which is still taught at Hoover High.

This initiative aligns with a national trend toward financial education. The Council for Economic Education reports that 39 states now require a personal finance class for high school graduation, an increase of four states from two years ago. A Federal Reserve paper found that families in states with such requirements made better financial decisions, including using stimulus checks to pay down credit card debt and refinancing mortgages during periods of low interest rates.

Jennifer Steele, an education professor at American University, observed that young people handle money responsibly when they receive proper instruction. Hoover High, the largest high school in Alabama with nearly 3,000 students, often functions like a college campus. The school also operates a four-year business academy with classes in accounting and entrepreneurship.

Students cite academic benefits as a reason for taking the course. AP classes are typically weighted higher in grade point average calculations. Sophomore Damola Kukoyi described the class as a method to improve her GPA while studying a topic she enjoys. Senior Rachel Deschaine, whose father owned a trucking company, said business knowledge helps people understand financial interactions. She stated that understanding how business works opens up opportunities for individuals.