scholarly journals Predictors of Financial Well-Being among Malaysian Employees: Examining the Mediate Effect of Financial Stress

2013 ◽  
Vol 1 (3) ◽  
pp. 61 ◽  
Author(s):  
Mohamad Fadzli Sabri ◽  
Leila Falahatib Falahati
Keyword(s):  
Financial Literacy ◽  
Financial Stress ◽  
Sampling Technique ◽  
Well Being ◽  
Financial Behavior ◽  
Financial Problem ◽  
Financial Capability ◽  
Public And Private ◽  
Policy Makers ◽  
Multi Stage

Financial well-being and its impact on the quality of life among employees have received considerable attention from researchers, consumer and financial educators, practitioners and policy makers. The purpose of this study is to examine the determinant factors of employees’ financial well-being in Malaysia. The results of this study can be used for better understanding of the relationship between and among determinants of financial well-being by highlighting the relationships among financial literacy, financial behavior, financial capability, financial problem, and financial stress. Samples were selected using multi-stage sampling technique among employees in public and private sectors. A total of 2,000 completed questionnaires were analyzed using path analysis to identify direct and indirect effects on financial well-being. The results identified that financial well-being determinants were financial literacy, financial behavior, financial capability, financial problem; and financial stress had either a direct and indirect effect on financial well-being. The findings indicated that financial stress partially mediate the effect of factors on predicting financial well-being.

Financial Well-Being among Young Employees in Malaysia

2015 ◽  
pp. 221-235 ◽  
Author(s):  
Mohamad Fazli Sabri ◽  
Nurul Farhana Zakaria
Keyword(s):  
Significant Influence ◽  
Financial Literacy ◽  
Central Zone ◽  
Sampling Technique ◽  
Well Being ◽  
Demographic Characteristics ◽  
Financial Capability ◽  
Multi Stage ◽  
Long Run ◽  
Money Attitude

The purpose of this study is to identify the levels of financial literacy, money attitude, self-esteem, financial capability and financial well-being of young employees, to explore the differences in financial well-being based on demographic characteristics of young employees and to identify the determinants of financial well-being among young employees. The sample consists of 508 of young employees aged 40 and under in central zone of Malaysia, which selected through multi stage sampling technique. Data were collected through self-administered questionnaires. Financial literacy, domains in money attitude and financial capability had significant influence toward financial well-being whereby financial capability become a major contributing factor to the financial well-being. By understanding more about the determinants of financial well-being, it is hoped to help young employees to become financial prudence and in the long-run could decrease the number of young employees declared bankruptcy.

scholarly journals MEASURING FINANCIAL WELLNESS OF THE MALAYSIAN EMPLOYEES

2020 ◽  
Vol 4 (1) ◽  
pp. 1-22
Author(s):  
Rossazana Ab Rahim
Keyword(s):  
Financial Literacy ◽  
Response Rate ◽  
Sampling Technique ◽  
Education Level ◽  
Financial Behavior ◽  
Public And Private ◽  
The Public ◽  
Financial Wellness ◽  
Multi Stage ◽  
Public And Private Sector

The purpose of this paper is to assess the determinants of financial wellness among employees in Sarawak. Samples are selected using multi-stage sampling technique among employees work at Kuching City and regression analysis is applied to examine the impacts of financial literacy, financial stress, and financial behavior towards the financial wellness among employees. A total of 300 questionnaires was distributed to the public and private sector employees with a response rate at 71 per cent. Generally, the results suggest that all determinants significantly affect the financial wellness of the workers. Additionally, education level is found important to the financial wellness among employees in Kuching, Sarawak.

scholarly journals Financial Homo Ignorans: measuring vulnerability to behavioral biases in household finance

2020 ◽  
Author(s):  
Kinga Barrafrem ◽  
Daniel Västfjäll ◽  
Gustav Tinghög
Keyword(s):  
Financial Literacy ◽  
Household Finance ◽  
Well Being ◽  
Financial Behavior ◽  
Policy Makers ◽  
Total N ◽  
Behavioral Biases ◽  
Finance Management ◽  
Item Questionnaire ◽  
Application Potential

Understanding systematic differences in sound financial behavior between individuals is a key area for public policy and the possibility to tailor interventions to promote financial well-being. In this paper we develop and validate a concise 12 item questionnaire measuring individual’s vulnerability to behavioral biases in household finance – the Financial Homo Ignorans (FHI) Scale. We conduct two studies with general population samples (total N=2508) and show that the FHI scale can predict behavior in financial tasks such as consumer purchases, loan choices, or investment decisions, also when controlling for demographics, financial literacy and other related constructs. In addition, we show that consumer heterogeneity as assessed by the FHI scale explains the variation in household finance management and financial well-being. The FHI scale has application potential as it can be used by researchers, policy makers, and financial institutions to study the psychological underpinnings of financial behavior and design interventions by targeting individuals who are particularly vulnerable.

scholarly journals Analysis of Factors Affecting Financial Well Being Millennial Generation in Batam

2020 ◽  
Vol 2 (1) ◽  
pp. 33
Author(s):  
Yandi Suprapto
Keyword(s):  
Financial Literacy ◽  
Millennial Generation ◽  
Negative Relationship ◽  
Financial Stress ◽  
Well Being ◽  
Financial Behavior ◽  
Financial Socialization ◽  
Factors Affecting ◽  
The People ◽  
Socialization Agents

The purpose of this study is to determine whether financial behavior, financial socialization agents, financial attitude,  financial stress, and financial literacy can influence financial well being in millennial generation in Batam City. Financial well being is described when a person is able to prosper in the field of financial finance. Welfare is reflected in the ability to meet and manage all needs and desires. While millennial is the most current generation so that it can be a hope and reflection of a country. This research method begins with the distribution of questionnaires to the people of Batam city aged 15-19 years. Data were collected as many as 300 respondents then processed with multiple regression research models using SPSS. Variable financial literacy, financial attitude and financial socialization agents provide a significant positive relationship to financial well being. Meanwhile financial stress has a significant negative relationship with financial well being. Then for financial behavior variables show no significant relationship to financial well being.

Financial education and financial satisfaction

2017 ◽  
Vol 35 (5) ◽  
pp. 805-817 ◽  
Author(s):  
Jing Jian Xiao ◽  
Nilton Porto
Keyword(s):  
Financial Literacy ◽  
Financial Education ◽  
Well Being ◽  
Financial Behavior ◽  
Future Research ◽  
Financial Satisfaction ◽  
Financial Capability ◽  
Data Set ◽  
Content Type ◽  
Mediating Factors

Purpose The purpose of this paper is to investigate roles of financial literacy, financial behavior, and financial capability as mediating factors between financial education and financial satisfaction. Design/methodology/approach Data are from the 2012 National Financial Capability Study, a large national data set with detailed information on financial satisfaction, education, literacy, behavior, capability, and related variables. Mediation analyses are used to answer research questions. Findings Financial education may affect financial satisfaction, a subjective measure of financial well-being, through financial literacy, financial behavior, and financial capability variables. Results show that subjective financial literacy, desirable financial behavior and a financial capability index (a sum of Z-scores of objective financial literacy, subjective financial literacy, desirable financial behavior, and perceived financial capability) are strong mediators between financial education and financial satisfaction. Research limitations/implications The study has used cross sectional data that can only document associations between financial education and satisfaction and the mediators between them. Future research could use relevant longitudinal data to verify multiple benefits of financial education. Practical implications The findings have implications for financial service professionals to take advantages of multiple benefits of financial education in content acquisition, confidence in knowledge and ability, and action taking when they communicate with their clients. Social implications Policy makers on consumer financial education may use the information to advocate and promote effective education programs to improve consumer financial well-being. Originality/value This study is the first of this kind to examine the association between financial education and financial satisfaction and several financial capability variables as mediating factors.

What drives working adults to be better prepared for their retirements?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Soo Ming Chua ◽  
Phaik Nie Chin
Keyword(s):  
Financial Literacy ◽  
Descriptive Analysis ◽  
Multiple Logistic Regression Analysis ◽  
Well Being ◽  
Retirement Planning ◽  
School Curriculum ◽  
Financial Behavior ◽  
Policy Makers ◽  
Content Type ◽  
Working Adults

PurposeThis study aims to understand the drivers that help working adults to be better prepared for retirement, by examining the relationship between financial literacy (FL), financial attitude (FA), financial well-being (FWB), financial behavior (FB) and retirement preparation (RP). RP includes multidimensional measures, which are retirement confidence, retirement planning, long-term financial planning and private retirement schemes (PRS) participation.Design/methodology/approachThis was a quantitative study adopting non-probability sampling with self-administered questionnaire distributed to all working adults. Descriptive analysis was used to examine the 294 useable data, and the multiple logistic regression analysis was adopted for hypothesis testing.FindingsThe empirical results show that FB is positively associated with RP and then followed by FWB on retirement confidence. Although insignificant influence is found on FL and FA, better FL and FA will still improve individuals' RP.Research limitations/implicationsThe study provides insights to working adults that practicing positive FB and good FWB will improve RP. Besides, for financial institutions, income level is the main determinant for consumers to participate in PRS; for policy makers, to incorporate financial attributes knowledge as part of the school curriculum since early school years.Originality/valueThis study is one of the few studies in Malaysia that explored FL, FA, FB and FWB on retirement planning, respectively.

Financial Fragility, Changing Face of Academia and Their Role in the Dissemination of Financial Literacy

2021 ◽  
pp. 51-68
Author(s):  
Muhammad Akhtar ◽  
Syed Muhammad Ziyad Hameed ◽  
Rehan Aftab
Keyword(s):  
Curriculum Design ◽  
Financial Literacy ◽  
Sampling Technique ◽  
Well Being ◽  
Financial Fragility ◽  
Educational Institutions ◽  
Teaching Methodology ◽  
Public And Private ◽  
The Road ◽  
Financial Decision

Financial decision making is affected by financial literacy, having its implications spread across communities, countries and the societies in general. The importance and fragility of financial literacy has been the subject of previous studies. However, current study dived deep into public and private universities to find their contribution. Longitudinal survey approach employed withmultistage stratified random sampling technique, clustered to respondents' demographics. Financial literacy is evaluated based on simplicity, relevance, brevity and capacity of differentiation. Finding reveals that the students of the private sector became more capable of processing financial information after studying finance courses. Similarly, students having finance courses before joining universities were more financially literate as compared to others. Irrefutably, the study recommends improvement in curriculum design, teaching methodology and assessment. Higher educational institutions must improve curriculum and improvise teaching pedagogies. The findings of the study have paved the road for the dissemination of financial literacy for the growth of individuals, society and the economy Keywords: Financial literacy, Financial fragility, Financial well being, Academia.

Pengaruh Literasi Keuangan, Financial Technology, dan Gaya Hidup terhadap Perilaku Keuangan Guru Taman Kanak-Kanak

2021 ◽  
Vol 4 (2) ◽  
pp. 290-307
Author(s):  
M Iqbal Zarkasyi
Keyword(s):  
Financial Literacy ◽  
Sampling Technique ◽  
Total Sample ◽  
Teaching Profession ◽  
Point Of View ◽  
Financial Behavior ◽  
Public And Private ◽  
Teacher Qualification ◽  
The Government ◽  
Financial Technology

The current teaching profession is very promising in terms of income, especially for those who have obtained a professional diploma. The government provides additional income or allowances for public and private teachers through a teacher qualification certification program. The government is trying to improve the professionalism of teachers, but in reality, there are not a few teachers who view from the wrong point of view that the professional allowance is a teacher's right and a government obligation. The purpose of this study was to determine the effect of financial literacy, financial technology, and lifestyle on financial behavior in kindergarten teachers in the Sukolilo District, Surabaya City. Determination of the sample using the slovin method with purposive sampling technique resulted in a total sample of 74 respondents. The data analysis technique used is Partial square (PLS). The results of this study indicate that financial literacy has a positive and significant effect on financial behavior, financial technology is not significant to financial behavior, and lifestyle has a positive and significant effect on financial behavior.

scholarly journals The role of self-esteem, optimism, deliberative thinking and self-control in shaping the financial behavior and financial well-being of young adults

PLoS ONE ◽  
2021 ◽  
Vol 16 (9) ◽  
pp. e0256649
Author(s):  
Fatima Hashmi ◽  
Hira Aftab ◽  
José Moleiro Martins ◽  
Mário Nuno Mata ◽  
Hamza Ahmad Qureshi ◽  
...  
Keyword(s):  
Young Adults ◽  
Financial Literacy ◽  
Sampling Technique ◽  
Well Being ◽  
Self Esteem ◽  
Self Control ◽  
Financial Behavior ◽  
Cognitive Factors ◽  
Financial Security ◽  
Financial Anxiety

The sustainable financial behavior and financial well-being have been a key concern among the developing societies; thereby encompassing the various psychological factors which play a role in influencing individual’s positive financial behavior and financial well-being, this study is conducted. Research focusing on the psychological aspect of human financial behavior and well-being is scarce, focusing more on the cognitive side such as financial literacy and numeracy. The aim of this research study is to find the role played by the non-cognitive factors such as self-esteem, self-control, optimism and deliberative thinking, in forming the financial behavior and financial well-being of the young adults. A sample of 429 university students from public and private sector was collected via an online and field survey using purposive sampling technique. The survey contained measures for demographics, self-esteem, optimism, deliberative thinking, self-control, general financial behavior and financial well-being. SPSS and PLS-SEM tools were used for the exploration of the relationships among dependent and independent variables. The results of PLS path analysis demonstrate that among the non-cognitive factors, self-control and deliberative thinking show a significant association with both financial behavior, and financial security. Self-esteem plays no significant role in forming the financial behavior of the young adults when all the variables are taken together but it exhibits a significant association with financial well-being (financial security and financial anxiety). Optimism on the other hand exhibits no significant association with both financial behavior and financial well-being (financial security and financial anxiety). The results of this study complement the previous studies and also put forth new outcomes. This research is unique as it is the first of its kind conducted in a consumption-oriented economy like Pakistan. In addition to the previous studies which have often established the link of self-esteem with general well-being, this study goes further by analyzing the association between self-esteem and financial well-being and by the identification of the role played by non-cognitive factors like self-esteem, optimism, deliberative thinking and self-control together on the financial behavior and financial well-being of the individuals using PLS-SEM approach.

scholarly journals In Pursuit of Financial Well-being: The Effects of Financial Literacy, Financial Behaviour and Financial Stress on Employees in Labuan

2020 ◽  
Vol 3 (1) ◽  
pp. 55
Author(s):  
Zaiton Osman ◽  
Erni Marlina Madzlan ◽  
Phang Ing
Keyword(s):  
Financial Literacy ◽  
Online Survey ◽  
Financial Stress ◽  
Sampling Technique ◽  
Well Being ◽  
Partial Least Square ◽  
Least Square ◽  
Financial Decisions ◽  
Financial Behaviour ◽  
The Government

The exposure to a plethora of choices and relatively complex financial products has intensified the need for financial knowledge adequacy in order to acquire the skills needed to make sound financial decisions. The studyaimed to examine the effects of financial literacy and financial behaviour on respondents’ financial well-being and to assess the role of financial stress in mediating these relationships. Using a web-based online survey approach, a total of 213 employees in the government and private sectors in the Federal Territory of Labuan responded to the self-administered questionnaire via convenience sampling technique. All data were analyzed using Partial Least Square (PLS) version 3.0. This study found significant relationships between financial literacy, financial stress, and financial well-being. However, there was no significant correlation between financial behaviour and financial wellbeing. Subsequently, financial stress proved to have no mediating effecton predicting employee’s financial well-being in FT Labuan.

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