Income satisfaction among Millennials during COVID-19: the interplay among cognitive, noncognitive and financial factors

PurposeThe purpose of this study is to examine income satisfaction among Millennials during COVID-19. The authors explore the roles of cognitive factors: financial literacy and noncognitive factors: personality traits. Further, the authors also determine if financial status moderates the linkage between consumers' financial literacy and income satisfaction.Design/methodology/approachThe sample size of the study is 1754, and the data were collected from April to December 2020. The authors employ ordered logistic regression analysis in the study.FindingsThe authors find that financially literate Millennials report high-income satisfaction during the pandemic. However, the impact of the cognitive factor gets nullified after considering the role of noncognitive factors. Further, income moderates the linkage between financial literacy and income satisfaction such that financially literate consumers in the high-income category derived more income satisfaction.Practical implicationsConsumer financial education should become more pervasive, and the focus should be placed on high-income consumers as, without financial literacy, they may not report high-income satisfaction. Further, the marketers should also keep in mind that personality traits play an important role in consumers' overall satisfaction, so financial services and products should be designed considering consumer personality traits.Originality/valueThe primary contribution of the paper is to show the positive impact of cognitive and noncognitive factors on income satisfaction. Moreover, personality traits are stronger predictors of income satisfaction such that extroverted individuals have high satisfaction, whereas openness to experience and neuroticism is negatively related to income satisfaction among Millennials.

The increasing educational divide in the life course development of subjective wellbeing across cohorts

Labour market, health, and wellbeing research provide evidence of increasing educational inequality as individuals age, representing a pattern consistent with the mechanism of cumulative (dis)advantage. However, individual life courses are embedded in cohort contexts that might alter life course differentiation processes. Thus, this study analyses cohort variations in education-specific life course patterns of subjective wellbeing (i.e. life, health and income satisfaction). Drawing upon prior work and theoretical considerations from life course theories, this study expects to find increasing educational life course inequality in younger cohorts. The empirical analysis relies on German Socio-Economic Panel data (1984–2016, v33). The results obtained from cohort-averaged random effects growth curve models confirm the cumulative (dis)advantage mechanism for educational life course inequality in subjective wellbeing. Furthermore, the results reveal substantial cohort variation in life course inequality patterns: regarding life and income satisfaction, the results indicate that the cumulative (dis)advantage mechanism does not apply to the youngest cohorts (individuals born between 1970 and 1985) under study. In contrast, the health satisfaction results suggest that educational life course inequality follows the predictions of the cumulative (dis)advantage mechanism only for individuals born after 1959. While the life course trajectories of highly educated individuals change only slightly across cohorts, the subjective wellbeing trajectories of low-educated individuals start to decline at earlier life course stages in younger cohorts, leading to increasing life course inequality over time. Thus, the overall findings of this study contribute to our understanding of whether predictions derived from sociological middle range theories are universal across societal contexts.

Money matters (especially if you are good at math): Numeracy, verbal intelligence, education, and income in satisfaction judgments

Objective numeracy, the ability to understand and use mathematical concepts, has been related to superior decisions and life outcomes. Unknown is whether it relates to greater satisfaction in life. We investigated numeracy’s relations with income satisfaction and overall life satisfaction in a diverse sample of 5,525 American adults. First, more numerate individuals had higher incomes; for every one point higher on the eight-item numeracy test, individuals reported $4,062 more in annual income, controlling for education and verbal intelligence. Combined, numeracy, education, and verbal intelligence explained 25% of the variance in income while Big-5 personality traits explained less than 4%. Further, the higher incomes associated with greater numeracy were related to more positive life evaluations (income and life satisfaction). Second, extant research also has indicated that the highly numerate compare numbers more than the less numerate. Consistent with numeracy-related income comparisons, numeracy moderated the relation between income and life evaluations, meaning that the same income was valued differently by those better and worse at math. Specifically, among those with lower incomes, the highly numerate were less satisfied than the less numerate; this effect reversed among those with higher incomes as if the highly numerate were aware of and made comparisons to others’ incomes. Further, no clear income satiation point was seen among those highest in numeracy, and satiation among the least numerate appeared to occur at a point below $50,000. Third, both education and verbal intelligence related to income evaluations in similar ways, and numeracy’s relations held when controlling for these other relations. Although causal claims cannot be made from cross-sectional data, these novel results indicate that numeracy may be an important factor underlying life evaluations and especially for evaluations concerning numbers such as incomes. Finally, this study adds to our understanding of education and intelligence effects in life satisfaction and happiness.

Aspiration–Attainment Gaps Predict Adolescents’ Subjective Well-Being After Transition to Vocational Education and Training in Germany

An occupational aspiration–attainment gap (AAG) is defined as a discrepancy between the socioeconomic status (SES) of the aspired and the attained occupation. We investigated how experiencing an occupational AAG after transition to vocational education and training (VET) affects three domains of subjective well-being (SWB)—namely, general life satisfaction, job satisfaction, and income satisfaction—among adolescents in Germany. Using longitudinal data from the German Socio-Economic Panel (SOEP), we could track respondents’ SWB across their transition to VET and over a period of 1 to 2 years after VET entry. Results from latent growth curve models revealed that both under- and overachievement of aspirations reduced in particular initial levels of SWB (especially job satisfaction and income satisfaction) after VET entry. Strong discrepancies between aspirations and attainment (AAG ≤ |5| ISEI [International Socio-Economic Index of Occupational Status] score points) in particular led to higher dissatisfaction. Individuals with an AAG tended to experience a slightly larger increase in SWB during VET than those who met their aspirations. Overall, our results suggest that the decisive factor for adolescents’ SWB is not the SES of the VET position they attain, but rather whether that position is the exact type of position to which they aspired, irrespective of whether the status of that occupation is lower or higher than the one they aspired to.

Hierarchical Regression of Wellbeing and Self-Rated Health among Older Adults in Abu Dhabi

This study investigates the wellbeing factors related to self-rated health for older adults in Abu Dhabi (≥55 years). The purpose is to provide a comprehensive analysis of the determinants of self-rated health, considering various wellbeing factors, controlling for factors such as gender, nationality and long-standing illness if present. This research drew from a sample of 2375 older adults who participated in the Abu Dhabi Quality-of-Life Survey (QoL) conducted in 2018. Hierarchical multiple regression analysis was employed where the first two models corresponded to gender, nationality and having a long-standing illness or not. The third model focused on the wellbeing factors of Abu Dhabi citizens (i.e., social networks and connection, income and housing, sports and activities, mental feelings). The analysis revealed the insignificance of gender and nationality as controlled variables while having a long-standing illness showed significant adverse effects. The most significant variables were social support networks, family and social arrangements and connections. Other variables of significance included housing satisfaction, household income satisfaction, frequency of practicing sports, current mental status and life satisfaction. Policymakers could use the outcomes as insider intelligence for policymakers and social work professionals to create policies, programs and services to enhance the lives of older people in Abu Dhabi.

Study of American nurses finds attitude and intentions have major influence on desire to engage in post-retirement work

Purpose The authors said their exploratory research question was “does perceived control interact with PRW intentions in influencing actual planning for PRW?” Design/methodology/approach Participants were nurses from the Midwestern US, and all were 45 years and older. A total of 469 qualified and complete questionnaires were received with an average age of 54.6. Findings The results showed that attitude and subjective norm were significantly related to PRW planning, but not perceived control. But perceived control correlated with PRW planning. Meanwhile, PRW intentions were positively related to PRW planning. The data also suggested that variables of TPB significantly predict older employees’ PRW intentions above and beyond age, health status and retirement income satisfaction. Finally, CIs indicated that the indirect effects of attitude and subjective norm on actual planning for PRW via PRW intentions were significant. Originality/value Previous studies have shown that people who plan for PRW are more likely to actually do it. However, there have been very few studies on the antecedents of older workers’ actual planning.

Prevalence of burnout among intensivists in mainland China: a nationwide cross-sectional survey

Background Burnout has gained increasing attention worldwide; however, there is a lack of relevant research in China. This study investigated the prevalence and factors associated with burnout in physicians of the intensive care unit (ICU) in mainland China. Methods This cross-sectional multicenter study included critical care physicians from all provinces in mainland China (except Tibet). A self-administered survey questionnaire was conducted. It included three parts: demographic information, lifestyle and work information, and the Maslach Burnout Inventory. The levels of burnout were calculated. The factors independently associated with burnout were analyzed by logistic regression. Results Finally, 1813 intensivists participated in the survey. The participation rate was 90.7%. The prevalence of burnout and severe burnout was 82.1% (1489/1813) and 38.8% (704/1813), respectively. According to the logistic regression analysis, “difficulty in making treatment decisions” was independently associated with burnout [OR = 1.365, CI (1.060, 1.757)]. “Higher number of children” [OR = 0.714, CI (0.519, 0.981)] and higher “income satisfaction” [OR = 0.771, CI (0.619, 0.959)] were independent protective factors against severe burnout. Conclusions The burnout rate in ICU physicians in China is high. Difficult treatment decisions, the number of children, and income satisfaction are independently associated with burnout rates among ICU physicians in China. Trial registration: Burnout syndrome of the Chinese personnel working in intensive care units: a survey in China, ChiCTR-EOC-17013044, registered October 19, 2017. http://www.chictr.org.cn/showproj.aspx?proj=22329.

Easterlin paradox revisited: Do increases in income bring higher levels of income satisfaction?

In this paper, we examine the relationship between income and income satisfaction in the pool of developed European economies, for the period between 2002 and 2018. Although the nexus between income and most subjective well-being indicators is frequently investigated in prior studies, the research investigating the relationship between income and income satisfaction over time is non-existing. We find that during the observed period real disposable household income significantly increased, while the satisfaction with household income remained constant. Furthermore, the analysis within hierarchical linear modeling shows that while between-country variations in income affect income satisfaction, this is not the case for income variations over time. Our findings support the notion of the Easterlin paradox, which indicates that in the long-run increases in income do not lead to higher levels of well-being. Explanations for such results may be found in the social comparison theory, hedonic adaptation theory and aspiration level theory: increasing income does not bring positive effects on income satisfaction due to relevance of the relative and not the absolute income, adaptation to income changes, or higher levels of aspirations resulting from income rise.