Assessing a Community-Based Financial Literacy Program: A Case Study in California’s Silicon Valley

2018 ◽  
Vol 29 (1) ◽  
pp. 142-153 ◽  
Author(s):  
Xiaoyan Xu
Keyword(s):  
Low Income ◽  
Financial Literacy ◽  
Positive Impact ◽  
Silicon Valley ◽  
Financial Education ◽  
Well Being ◽  
Literacy Program ◽  
Knowledge Gain ◽  
Community Based ◽  
Behavioral Tendencies

This study presents a community-based financial literacy program offered to low-income families in the heart of Silicon Valley. Leveraging local financial institutions and organizations, it provided financial education and encouraged habit formation, hoping for lasting outcomes toward financial well-being. Program impact was assessed in the areas of financial knowledge gain, behavioral tendencies in financial decision-making, and self-reported personal finances. Participants showed significant improvement in key knowledge areas, with positive impact observed in behavioral tendencies such as financial goal setting. Improvements in financial outcomes were not significant. The results of this intervention illustrate that maintaining long-term impact and applying sophisticated evaluation methods present key challenges for community-based efforts focused on financial education.

scholarly journals Financial Education of Russians: Classification of Target Groups

2020 ◽  
Vol 16 (2) ◽  
pp. 42-50
Author(s):  
Natal’ya V. Alikperova
Keyword(s):  
Financial Market ◽  
Russian Federation ◽  
Low Income ◽  
Financial Literacy ◽  
Financial Education ◽  
Well Being ◽  
Financial Knowledge ◽  
Target Groups ◽  
The Russian Federation

The Object of the Study. The population of the Russian Federation divided into target groups. The Subject of the Study. Financial education of Russians, taking into account the characteristics of various target groups. The Purpose of the Study. Clarification of target groups of Russian citizens for the implementation of the financial education strategy. The Main Provisions of the Article. In today's reality, financial literacy is becoming a necessary skill for personal and social well-being. In the conditions of active development of the financial market, increasing financial literacy of the population provides citizens with the opportunity not only to effectively use various financial products and services, make profitable economic decisions, but also to be full participants in the entire socioeconomic system of the state. However, currently there is a fairly low level of financial literacy of Russians, and this trend is observed from year to year, due to the complexity of the financial market as a whole, an erroneous idea of the essence of certain concepts, and as a result, the construction of financial strategies in accordance with this understanding, and this may indirectly indicate the inefficiency of the current system for improving financial literacy of Russian citizens. To implement the strategy of improving financial literacy of the population, first of all, it is necessary to clearly understand who will receive the training. It is a well-thought-out classification of target groups that is the basis for building a system of financial education, forming a methodological basis, training specialists to broadcast financial knowledge and creating educational channels. According to the author, it is recommended to clarify and supplement the existing classification of target groups, approved by the current strategy for improving financial literacy in the Russian Federation for 2017-2023, by including such categories of citizens as preschoolers, citizens with disabilities, vulnerable segments of the population (orphans, children in orphanages and boarding schools), as well as to clarify the current structure of the "adult population" group, dividing it into low-income citizens and families, and citizens with medium and high incomes (including families). In addition, it is recommended to divide each target group by the level of available financial knowledge and skills, which will allow you to create a targeted, personalized, thoughtful training system that promotes financial literacy, awareness as well as evaluate the results of such training.

scholarly journals The Role of Financial Literacy in Retirement Planning and Wealth Accumulation Among Self-employed Thai Workers

2020 ◽  
Vol 29 ◽  
pp. 177-194
Author(s):  
Praewpailin Janposri ◽  
Keyword(s):  
Financial Literacy ◽  
Positive Impact ◽  
Financial Education ◽  
Well Being ◽  
Retirement Planning ◽  
Ordinary Least Squares ◽  
Influential Factors ◽  
Wealth Accumulation ◽  
Probit Regression ◽  
Net Worth

This paper explores the effect of financial literacy on retirement planning and wealth accumulation among self-employed Thai workers. Self-employment is expected to show a significantly increasing trend soon, raising concerns about saving for retirement due to a lack of social security and pension provision. Therefore, planning and saving for retirement becomes the responsibility of the self-employed themselves to maintain their well-being in retirement. Financial literacy has been found to improve such financial decisions and wealth accumulation. This paper adopts the financial literacy criteria of the Organisation for Economic Co-operation and Development with a dataset provided by the National Statistical Office. This study employed Ordinary Least Squares and Probit regression. Financial literacy analysis results show that the three components of financial literacy are influential factors in enhancing the probability of planning for retirement among self-employed workers. Moreover, although financial knowledge and financial behavior are also reported to have a positive impact on increasing net worth across all levels of employment status, financial attitude is insignificant. Finally, this study suggests that policymakers should formulate various financial education programs and financial seminars to comply with the needs of people with different characteristics and living conditions.

Living beyond one’s means: evidence from Malaysia

2015 ◽  
Vol 43 (1) ◽  
pp. 2-18 ◽  
Author(s):  
Yiing Jia Loke
Keyword(s):  
Low Income ◽  
Financial Literacy ◽  
Financial Distress ◽  
Financial Management ◽  
Practical Knowledge ◽  
Financial Education ◽  
Financial Knowledge ◽  
Content Type ◽  
Explanatory Variables ◽  
Financial Behaviour

Purpose – The purpose of the paper is to identify the determinants of the probability of living beyond one’s means. The paper also explores the coping mechanisms of those financially distressed as well as the debt taking behaviour of consumers. Design/methodology/approach – The study uses data obtained from the OECD International Network on Financial Education pilot study on Measuring Financial Literacy in 2010 for the case of Malaysia. A logistic regression model is used to identify the main determinants of the probability that a consumer will live beyond his/her means. The analysis is carried out by using a set of socio-economic factors and the individual’s financial behaviour and attitudinal characteristics as explanatory variables. Findings – The findings indicate that low income and seasonal income earners are more vulnerable to financial distress. Furthermore, having a higher education, higher financial knowledge and prudent financial behaviour and attitude do not necessarily translate into better financial management. Family and friends provide the main source of financial assistance in times of need. Research limitations/implications – The assessment of financial knowledge should go beyond individual’s knowledge on financial concepts and theories. Practical knowledge on financial and cash flow management should be assessed. Practical implications – The study reiterates the importance of financial education. It is imperative to include financial education as part of the schools’ curriculum and also to be incorporated as part of the Continuous Professional Development modules for working adults. Originality/value – The study is based on the first nationwide study of consumer finances in Malaysia. It contributes to the literature by integrating financial behaviour and attitudinal factors into the analysis of the ability of individuals to live within their means. The findings also show the limitations of the existing self-assessment of financial behaviour and attitude and the assessment of financial knowledge.

Financial Inclusion through Financial Literacy

2022 ◽  
Vol 13 (1) ◽  
pp. 0-0
Keyword(s):  
Financial Literacy ◽  
Uttar Pradesh ◽  
Secondary Data ◽  
Financial Education ◽  
Well Being ◽  
Financial Inclusion ◽  
Financial Decisions ◽  
College Curriculum ◽  
Financial Exclusion ◽  
The Government

Financial literacy is a means to tackle the problem of financial exclusion. It is a combination of awareness, skills, knowledge, attitude and behaviors necessary to make sound financial decisions and achieve financial well being. Objective of this study is to analyze current policy, practices and evidences on financial literacy. The study has been carried out on the basis of review of literature and secondary data collected from a range of sources. It is found that the government of India, RBI and other regulatory bodies are running financial literacy campaigns through diverse mediums. Financial literacy centers (FLCs) are contributing for enhancement of financial literacy. However, they need to be strengthened by enhancing resources. Inclusion of financial education in school and college curriculum has also been recommended. Scope of the study is limited to Ghaziabad district of Uttar Pradesh in India. The study might be valuable for policymakers in enhancing financial inclusion.

scholarly journals PRESIDENTIAL SYMPOSIUM: HARNESSING SOCIAL NETWORKS TO OPTIMIZE ENVIRONMENTAL CONTEXTS FOR DIVERSE AGING EXPERIENCES

2019 ◽  
Vol 3 (Supplement_1) ◽  
pp. S583-S583
Author(s):  
Philip A Rozario ◽  
Emily Greenfield ◽  
Nancy Kusmaul
Keyword(s):  
Older Adults ◽  
Social Networks ◽  
Social Relations ◽  
Low Income ◽  
Disaster Preparedness ◽  
Urban Areas ◽  
Well Being ◽  
Community Based ◽  
Cross Sectional ◽  
Senior Housing

Abstract Social networks provide opportunities for engagement with others and structure the receipt and provision of emotional, instrumental, informational and appraisal support. Indeed scholars in this field have documented the importance of having strong social networks in influencing older adults’ well-being and quality of life. The three papers in this symposium draw on the convoy model of social relations and ecological model to examine and better understand the micro, mezzo, macro contexts that shape and influence how older people engage with and benefit from their networks in three areas: low-income senior housing communities, urban areas specifically targeting older Latinos with dementia, and disaster preparedness in micropolitan counties in eastern Iowa. The first paper, a cross-sectional study focusing on social connections in senior housing communities, examines levels of social networks, engagement, support and loneliness and their relationship with well-being outcomes. The second paper, a community-based participatory research project, reports an intervention that seeks to train natural helpers in a predominantly Latino urban neighborhood to identify and refer older Latinos with dementia to bilingual assessment services. The third paper, synthesizing findings from interventions targeting network building at the individual and state levels as well as a community-based network analysis, presents ways to strengthen networks at the mezzo and macro levels as well as environmental contexts that enable better disaster preparedness for community-based older adults. These papers will consider practice, policy and research implications in strengthening social networks and engagement to optimize older adults’ well-being in various settings.

scholarly journals APPLYING THE DIME APPROACH TO A FINANCIAL LITERACY PROGRAM

2019 ◽  
Vol 3 (Supplement_1) ◽  
pp. S580-S581
Author(s):  
Lisa M Brown
Keyword(s):  
Low Income ◽  
Financial Literacy ◽  
Well Being ◽  
Financial Resources ◽  
Financial Security ◽  
Diverse Populations ◽  
Knowledge And Skills ◽  
Culturally Adapted ◽  
Professional Research ◽  
Peer Counselling

Abstract Financial literacy is defined as “the ability to use knowledge and skills to manage financial resources effectively for a lifetime of financial well-being.” The Money Smart Peer-to-Peer Program (MSP) was developed by the FDIC for use with diverse populations. MSP was culturally adapted for use in Jamaica using the Johns Hopkins DIME process. Peer counselling programs consistently demonstrate that they are acceptable and effective with adults who have limited education and low-income by overcoming barriers that are typically encountered when people attempt to access unfamiliar services or guidance from a professional. Research conducted with the MSP program reveals that program participants were more likely to open and save using deposit accounts, use and adhere to a budget, and have increased confidence in their financial abilities 6 to 12 months after completing the course. Implementation of MSP increases the likelihood that people can retire with dignity and financial security.

Subjective financial knowledge, prudent behaviour and income

2019 ◽  
Vol 37 (4) ◽  
pp. 934-950 ◽  
Author(s):  
Leonore Riitsalu ◽  
Rein Murakas
Keyword(s):  
Financial Literacy ◽  
Financial Education ◽  
Well Being ◽  
Financial Knowledge ◽  
Future Research ◽  
Objective Knowledge ◽  
Content Type ◽  
Subjective Knowledge ◽  
Subjective Financial Knowledge ◽  
Behaviour Score

Purpose The purpose of this paper is to study how subjective and objective knowledge of finance, behaviour in managing personal finances and socio-economic status affect financial well-being. Design/methodology/approach The financial well-being score is constructed in quantitative financial literacy survey data from Estonia as the arithmetic mean of four statements on a five-point scale. Four hypotheses are tested in multiple regression analysis. Findings Subjective knowledge has a stronger relation with financial well-being than objective knowledge. Financial behaviour score and income level correlate with financial well-being. Research limitations/implications The paper contributes to literature on financial literacy, subjective financial knowledge and financial well-being. In future research, psychological factors and future orientated financial well-being should be included, and their relationship to subjective well-being could be analysed further. Practical implications The results highlight the importance of subjective knowledge and sound behaviour for improving financial well-being. Providers of financial services should address these more in the design of their services and communication. Social implications Policymakers developing national strategies for financial education need to address subjective financial knowledge for increasing financial well-being in society. Originality/value Knowledge, behaviour and subjective knowledge have not been used simultaneously in the analysis of financial well-being in Europe before.

The Argument for Teaching Financial Literacy at Higher-Education Institutions

2016 ◽  
Vol 43 (3) ◽  
pp. 349-365 ◽  
Author(s):  
SHERI GEDDES ◽  
TODD STEEN
Keyword(s):  
Higher Education ◽  
Postsecondary Education ◽  
Financial Literacy ◽  
Higher Education Institutions ◽  
Financial Education ◽  
Well Being ◽  
Academic Programs ◽  
Human Flourishing ◽  
Substantial Impact ◽  
Financial Decisions

ABSTRACT Evidence suggests that financial decisions have a substantial impact on human flourishing. This paper examines the arguments for higher-education institutions to take a role in the provision of financial education for their students, families and alumni, who often incur substantial debt and make other sacrifices to obtain a postsecondary education. It also analyzes the current state of financial education at 322 higher-education institutions. While many postsecondary institutions have embraced some aspects of financial education, other higher-education institutions appear reluctant to infuse this multidisciplinary topic into their academic programs. Colleges and universities should consider developing robust programs that boost financial literacy and improve lifelong economic well-being.

Teaching Financial Problem Solving: A Curriculum Model From a Pilot BSW Course

2018 ◽  
Vol 23 (1) ◽  
pp. 1-10 ◽  
Author(s):  
Thomas E. Smith ◽  
Kristin V. Richards ◽  
Lisa S. Panisch ◽  
Victoria M. Shelton
Keyword(s):  
Social Work ◽  
Problem Solving ◽  
Social Workers ◽  
Financial Literacy ◽  
Financial Education ◽  
Integrated Approach ◽  
Well Being ◽  
Environmental Stability ◽  
Financial Problem ◽  
Curriculum Model

Social work clients need financial literacy skills. Many clients are faced with the task of overcoming increasingly complex and challenging financial obstacles that can take a dire toll on their physical and environmental stability and mental well-being. Social workers who lack skills in financial literacy are at a disadvantage when helping their clients overcome economic hardships. Financial therapy is an emerging intervention that merges techniques of psychotherapy with financial education. This integrated approach can be used by social workers in generalist settings to promote financial problem solving. Few baccalaureate social work (BSW) programs provide students with education about financial problem solving from this angle. A curriculum model and overview of a pilot course introducing BSW students to a manualized form of this approach is presented. Overall, students found the course beneficial and expressed interest in using this intervention in practice. Student feedback is reviewed, along with directions for further study.

Enhancing Links between Research and Practice to Improve Consumer Financial Education and Well-Being

2015 ◽  
Vol 26 (1) ◽  
pp. 94-101 ◽  
Author(s):  
Billy J. Hensley
Keyword(s):  
Financial Literacy ◽  
Meta Analysis ◽  
Financial Education ◽  
Well Being ◽  
Collective Impact ◽  
Research Protocol ◽  
Education Programs ◽  
Financial Behaviors ◽  
Research And Practice ◽  
Influence Behavior

A recent meta-analysis of the effect of financial literacy and financial education on downstream financial behaviors has shown a weak collective impact of the work of financial education. While the findings are not stellar, they do not support a dismantling of financial education programs and funding. This paper examines the findings of the meta-analysis and discusses the implications for the field. In this discussion, a more thoughtful consideration of the ways to provide financial education and the manner about how to influence behavior is highlighted. In addition, this article proposes a systematic examination of why timely educational approaches should coexist with longer-term financial education programming. The field also needs a more rigorous examination of factors that impact intervention effectiveness, including a call for improved research protocol and evaluation and a plea for greater visibility between researchers and practitioners.

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