April Financial Literacy Month: An Aussie’s Guide to EOFY

What is Financial Literacy Month?

Financial literacy is the set of skills and knowledge that allows you to make informed and effective decisions with your financial resources. In simple terms, it’s about understanding how to earn, manage, invest, and donate money to live a stable and fulfilling life. Developing these skills helps you build a solid foundation for your financial future.

While April is globally recognised as Financial Literacy Month, largely driven by its designation as National Financial Literacy Month in the United States, it holds a special significance in Australia. Here, many financial organisations and educators use this month to promote financial awareness and encourage proactive money management. This timing is particularly strategic, as it serves as a crucial lead-up to the end of the financial year (EOFY) on June 30.

The core goal of the month-long initiative is to empower individuals to improve their financial capability. This involves everything from creating a budget and reducing personal debt to boosting savings and making smarter investment choices, ultimately aiming for long-term financial security.

The History: How Did April Become National Financial Literacy Month?

You might wonder, how did April become National Financial Literacy Month in the US? The origins trace back to the National Endowment for Financial Education (NEFE), which started an initiative called Youth Financial Literacy Day. Its success prompted a wider movement, and in the early 2000s, the U.S. Senate passed a resolution officially designating April as National Financial Literacy Month to raise public awareness about the importance of financial education.

This American observance quickly gained traction and has since influenced a wave of global financial literacy campaigns. While not an official government-designated month in Australia, the momentum from the US initiative has prompted local organisations—including major banks, super funds, and educational institutions—to launch their own awareness drives during April. It has become a de facto period for promoting financial health across the country, leveraging the global conversation to engage Australians on money matters.

Why April is Crucial for Australian Financial Planning

For Australians, the timing of Financial Literacy Month in April is exceptionally practical. While the US observance aligns with their tax season, April marks the beginning of the final quarter before Australia’s End of Financial Year (EOFY) on June 30. This makes it the perfect time for a “pre-EOFY” financial health check.

Think of April as your final pit stop before the financial finish line. It’s the ideal month to review your superannuation contributions to see if you can make extra concessional or non-concessional payments. It’s also a prime opportunity for proactive tax planning, like organising receipts, prepaying expenses, or assessing capital gains, so you’re not left scrambling in the last weeks of June.

Top April Financial Literacy Month Ideas for 2025

Ready to get involved? April is the perfect time to take action. Whether you’re focusing on your own finances, encouraging your workplace to participate, or teaching the next generation, here are some practical ideas for 2025.

Global Context: Why Does the Financial Year Start in April?

Have you ever wondered why does the financial year start in April in some countries? The answer is historical and dates back to the British tax system. Originally, the tax year in Britain started on Lady Day, March 25. However, when Britain switched from the Julian calendar to the more accurate Gregorian calendar in 1752, 11 days were “lost”.

To ensure no loss of tax revenue, the Treasury extended the tax year by 11 days, moving its start to April 5. It was later adjusted to April 6, where it remains for the UK. This system was inherited by several Commonwealth countries.

🇬🇧 UK & 🇳🇿 New Zealand

The financial year begins in early April, following the historical British system.

🇦🇺 Australia

Australia chose a different path. Our financial year runs from July 1 to June 30, which aligns more neatly with the four quarters of the calendar year.

Frequently Asked Questions (FAQ)

When is Financial Literacy Month observed?

Financial Literacy Month is celebrated globally throughout the month of April. However, it’s important to remember that financial education is a year-round priority, and many organisations offer resources and support continuously.

What is the difference between financial literacy and financial wellness?

Think of it this way: financial literacy is the knowledge, while financial wellness is the state of being. Literacy is knowing what an interest rate is and how it works. Wellness is the feeling of security and control you have over your finances, resulting in low financial stress. You need literacy to achieve wellness.

Is there a National Financial Awareness Day?

Yes, while April is a month-long focus, there are other specific touchpoints. For example, National Financial Awareness Day is often observed in August in the US and has inspired similar awareness days globally. It provides another excellent opportunity to check in on your financial goals.

How can I get involved in the National Financial Literacy Campaign?

In Australia, you can get involved by looking for local events or online workshops hosted by libraries, community centres, and major banks. Following communities inspired by figures like the Barefoot Investor can also provide practical tips. For reliable, unbiased information, government websites like Moneysmart.gov.au are an excellent starting point for tools, calculators, and free resources.