PHOENIX — Arizona has consistently struggled in education rankings, coming in dead last in a 2024 nationwide survey. But one new online school hopes to change that – by combining artificial intelligence with practical life skills like financial literacy.

Novatio, a private virtual school that launched in Arizona earlier this year, aims to equip students with real-world knowledge and confidence. The school already operates in other parts of the country and is now bringing its innovative model to a state many say is overdue for educational reform.

One of Novatio’s students, 10-year-old Tyiir from Buckeye, is already putting what he’s learned into practice.

“I’m working on a T-shirt business right now,” he said. “I thought of the business, and I invited my cousin, and he said yes.”

Tyiir, who hopes to become an engineer, is learning how to run a business through the school’s focus on financial literacy. His curriculum includes worksheets on profit margins and startup costs – real lessons for a real business.

“We’re also doing financial literacy workshops, so he’s learning skills for the future,” said Michael Goto, head of school at Unbound Academy, the public charter school version of Novatio.

Goto said what sets Novatio apart is its dual-support system. Students have a live teacher and an AI tutor that adapts daily lessons to their individual needs.

“We want students to show twice as much growth as they would in a traditional setting,” Goto said. “They’re getting individualized instruction every day.”

This unique approach is welcome news to Sharon Lechter, chair of the Arizona K-12 Financial Literacy Task Force. Lechter has been pushing for financial literacy to be a required semester-long class for Arizona high schoolers — a move already adopted by 27 other states.

“Arizona’s being left in the dust,” Lechter said. “These kids are being left behind. They end up in debt before they even graduate college — if they get there at all, because they don’t understand how to make, manage, or grow money.”

Lechter says Arizona technically requires financial literacy education as part of economics, but she doesn’t think that’s good enough. She sees Novatio as a step in the right direction, especially with the added power of AI and online flexibility.

“With AI and online platforms, we no longer have to worry so much about not having qualified teachers,” she said. “The students can still get the right information.”

Novatio offers students a morning session focused on core academic subjects with both live teachers and AI tutors, followed by an afternoon devoted to life skills like budgeting, entrepreneurship, and business planning. Every student also completes a “passion project,” where they turn a personal interest into a potential business model.

“Is there a business you can create? A podcast? An app?” Goto said. “If you can do that, you can start talking about budgets and monetization. Real-world skills.”

Enrollment is currently around 100 students at Unbound Academy, which has a cap, while Novatio has unlimited enrollment. The school is free to students who apply through Arizona’s Empowerment Scholarship Accounts (ESAs).

Unbound, the public charter version of the school, opens this August and is now accepting students. Summer workshops will be available to families who want to try it out for free.

Arizona is a school-choice state, giving families the freedom to pick the educational model that works best for their children. For Novatio, the focus is simple: real growth, real skills, and a real love for learning.

“I think it’s fun,” Tyiir said with a smile.