Levels Of Financial Well-being Research Articles

Financial Knowledge, Behavior, and Attitude on The Financial Well-Being of The Sustainable Livelihood Program Associations

Research Objective: This study evaluates and develop a predictive model on the financial well-being, financial knowledge, behavior, and attitudes of Sustainable Livelihood Program Association (SLPA) officers and members, a program of the Department of Social Welfare and Development (DSWD) under the Pantawid Pamilyang Pilipino Program (4Ps). Theoretical Framework: The study is grounded in the Sustainable Livelihood Program (SLP) Theory of Change, which seeks to understand how institutional initiatives such as policies, strategies, programs, or projects contribute to progressive and sustainable outcomes (Acosta & Avalos, 2018). The financial competencies of Sustainable Livelihood Program Associations (SLPAs), particularly in spending, are strongly influenced by Modigliani and Brumberg's Life Cycle Theory of Consumption and Spending. Methodology: This is a quantitative study using descriptive- correlational design. There are 209 participants consisting of officers and members from selected SLPAs in Malaybalay City. Results: Findings revealed that SLPA officers and members have a moderate level of financial knowledge and attitude. However, financial well-being requires improvement, underscoring a discrepancy between current and desired financial conditions within the association. Moreover, significant relationships exist among financial well-being, financial knowledge, attitude, and behavior. Implications: The communicated findings to DSWD Region X contributes for the enhancement of the implementation of the SLPA. The results on the level of financial well-being will be enhanced when focused is made on the financial knowledge and attitude. The materials for financial education may be revised. Originality or Value: This study contributes to the literature on financial literacy and well-being of the government supported associations to ensure that upliftment on the financial well-being of members.

Perceived financial well-being and its association with frontostriatal functional connectivity, real-life anticipatory experiences, and everyday happiness

Perceived financial well-being (FWB) is an important aspect of life that can affect one’s attitude toward future experiences and happiness. However, the relationship between FWB, anticipatory experiences, and happiness, and the brain’s functional architecture underlying this relationship remain unknown. Here, we combined an experience sampling method, multilevel modeling, and functional neuroimaging to identify the neural correlates of FWB and their associations with real-world anticipatory experiences and everyday happiness. Behaviorally, we found that individuals with greater FWB felt more positive and more interested when they expected positive events to occur, which in turn resulted in increased everyday happiness. Furthermore, the level of FWB was significantly associated with the strength of functional connectivity (FC) between the nucleus accumbens (NAc) and ventromedial prefrontal cortex (vmPFC) and the local coherence within the vmPFC. The frontostriatal FC and local coherence within the vmPFC were further predictive of everyday happiness via the anticipatory response involving interestedness during positive expectations. Our findings suggest that individual differences in FWB could be reflected in the functional architecture of brain’s reward system that may contribute to shaping positive anticipatory experiences and happiness in daily life.

Are Financial Well-Being and Financial Stress the Same Construct? Insights from an Intensive Longitudinal Study

Since the 2008 economic crisis, research on financial well-being has grown exponentially. Most of the studies have investigated the predictors of financial well-being, but there is still no consensus on the conceptualization of financial well-being itself. As of yet, little is known about the relationship between subjective financial well-being and subjective financial stress. Some scholars believe those two constructs are two sides of the same coin, while others consider them to be two different phenomena. The current study aims to contribute to disentangling the construct of financial well-being from the construct of financial stress. We conducted an intensive longitudinal study, collecting data for 14 consecutive days from 158 emerging adults. Participants had to report their level of financial well-being and financial stress each evening. Findings suggest that the two constructs are not coincident for the following reasons: they exhibit low-to-moderate associations at both the within- and between-level and they were not similarly affected by the same predictors. Furthermore, we showed that subjective financial well-being and subjective financial stress fluctuate considerably from one day to the next. Further research is needed to determine the source of this daily variability.

Perception of Financial Well-Being of the Elderly and the Role of Propensity to Indebtedness and Financial Preparation for Retirement

This study aimed to check the impact of financial preparation for retirement and the propensity to indebtedness on the perception of financial well-being in the elderly. A survey-type research was carried out with 885 individuals aged 60 years or older, living in Brazil, regardless of whether they are retired or not. Confirmatory factor analysis and structural equation modelling were used. The results indicated that the construct propensity to indebtedness has a negative impact on financial preparation for retirement and on the perception of financial well-being. The elderly are approaching retirement with a savings deficit and are heavily dependent on income from social security programs to support their families. Furthermore, the positive impact of financial preparation for retirement on the perceived financial well-being was found. Such findings highlight the importance of regulations that deal with the limit of credit supply and that prioritize the requirement of transparency of financial institutions in the disclosure to the less enlightened public. Therefore, it is essential to develop public policies to control indebtedness and incentives for financial preparation for retirement for the elderly in order to achieve better levels of Financial Well-being. Keywords: perception of financial well-being, financial preparation for retirement, propensity to indebtedness, elderly, personal finance DOI: 10.7176/RHSS/13-2-04 Publication date: January 31 st 2023

Financial Literacy on Millenial Entrepeneurs during Pandemic Covid-19

As one of the drivers of economic success and societal welfare in Indonesia, financial literacy is a must for young entrepreneurs today. The study attemps to evaluate Millenial entrepreneurs financial literacy and financial well-being conditions while several PPKM (Restrictions on Community Activities) during Pandemic Covid-19 are in effect. Between mid-October 2021 and early January 2022, the survey used 100 young entrepreneurs aged 21-40 in West Java Province, Indonesia as samples. The hypotheses testing results from Exploratory Factor Analysis (EFA) and Structural Equation Model (SEM) methods show a consistent association between the main components of financial literacy with the level of financial well-being, with insurance and personal savings and loans becoming the dominant predictor affected financial knowledge, followed with security that serves as main determinant that affected the level of financial attitude of these millenial entrepreneurs. However, this study has limitation as the sample and number of experimental parameters are small.

The effect of demographic factors on the level of financial well-being: An application on university staff

The effect of demographic factors on the level of financial well-being: An application on university staff

A Study on Financial Well Being of Women Households

Financial well-being is defined as “a state of being financially healthy, happy, and free from worry” and is typically based on a subjective appraisal of one’s financial situation. Women households play an important role in managing finance of their houses, while dealing with various financial needs they have to encounter various financial challenges which range from financial information, financial responsibilities and financial capabilities. This study aims to understand how financial well-being is perceived by the women households and their level of financial well-being could be understood from analysing various determinants of financial well-being. It can also provide a base for developing the financial well-being among women households by understanding the sources of financial information and their respective knowledge to the concerned financial concepts.

Financial Well-Being: Psychological Factors that Affect African Americans' Financial Well-Being

Most families strive toward financial security and well-being, which would allow them to weather financial shocks and accomplish their long-term goals. However, African Americans have not experienced the same level of financial well-being as others, and this study explored psychological factors that may affect their financial well-being. Data from the 2016 National Financial Well-Being survey (NFWBS), including the CFPB (Consumer Financial Protection Bureau) Financial Well-Being scale, was utilized in this study. Researchers found that the following factors had a significant positive relationship with the financial well-being of African Americans; grasp of financial skills (confidence), mistreatment with financial services (trust), and health status. Whereas materialism and planning had no significant association with African Americans’ financial well-being.

Risk Factors of Financial Exploitation Versus Scam

Financial exploitation (FE) perpetrators are usually seen in a position of trust, such as family members or friends, whereas perpetrators of scam tend to be unknown individuals. Few empirical studies have examined victim risk factors, and this study aimed to systematically compare risk factors of FE versus scam. One-hundred-and-ninety-five adults (ages 18-89) were recruited to complete a 60-minute survey and interview at Purdue University in Indiana (n1=97) and Scripps College in California (n2=98). Risk factors assessed included cognitive tasks (overall cognition, memory, and executive decision), socio-emotional questionnaires (depression, resilience, ostracism, and social integration), financial measures (numeracy, objective financial knowledge, retirement worries, and financial well-being), physical health and demographics (age, gender, education level, marital status, ethnicity). Additionally, participants reported experiences of FE and scam, including (1) the 11-item short-form Older Adult Financial Exploitation Measure, (2) seven questions on scam from the Health and Retirement Study, and (3) likelihood to contact a scammer after reviewing lottery scam materials. The three dependent variables were log-transformed before OLS regression models were built. Each dependent variable was associated with different risk factors. Lower standard of living (p=.02) and ostracism (p<.05) independently predicted FE. Lower physical health (b=-.02, p=.003) was the strongest predictor of scam, with lower level of financial well-being (p=.02) serving as an independent predictor. For lottery scams contact likelihood, ostracism (b=.04, p=.005) and being male (b=-.23, p=.04) were the strongest predictors. Since risk factors differed between FE and scam, prevention and intervention programs should target the unique profiles of risk factors for each.

A latent profile analysis of college students' financial knowledge: The role of financial education, financial well-being, and financial risk tolerance

This research aims to classify college students into meaningful groups based on their subjective financial knowledge (SFK), objective financial knowledge (OFK), and comparative financial knowledge (CFK) using Latent Profile Analysis (LPA). LPA captures underlying dynamics within the grouping variables and compares group differences. Results of LPA suggest three groups of college students in the sample, and the groups differed in levels of financial well-being (FWB), financial risk tolerance (FRT), and financial education experience (FEE).

Effects of Household Size and Partner Status on Financial Well-Being and Financial Exploitation

Social isolation and loneliness are significant risk factors for older adults (adults over the age of 50) for a multitude of reasons. This study explored the connections between social isolation, vulnerability to financial exploitation, and financial wellbeing in a sample of older adults. Using the concept of precarity as a guiding framework, this study assessed behaviors that expose individuals to financial exploitation as well as indicators of financial wellbeing in individuals with varying degrees of social isolation. One-hundred-eight community-dwelling older adults completed a pen-and-paper survey containing measures of risk to financial exploitation and financial wellbeing. Participants were predominantly female (75.9%), White (90.7%), and highly educated. Fifty-eight participants were unpartnered (53.7%) and 67 participants (62%) lived with at least one other person. Chi-square analyses resulted in a significant association between partner status and being a victim of financial exploitation (χ2(1) = 10.842, p≤.001). Furthermore, there was an association between social isolation and engaging in certain behaviors that put someone at risk for financial exploitation (such as reading junk mail). As for measures of financial wellbeing, partner status was significantly associated with feelings of financial freedom (χ2(3) =8.608, p =.035). These findings indicate that socially isolated individuals may be at greater risk of financial exploitation and have lower levels of financial wellbeing, such as feeling unprepared for retirement (χ2(2) =7.358, p =.025). The results of this study highlight the risks involved with social isolation and indicate further research is needed into ways to mitigate these negative effects.

Does Financial Literacy Reduce Money Stress?

As advocates of financial literacy education, it is a hard pill to swallow when data show little impact on financial behaviours. Unfortunately, our expectations that university students with higher levels of financial literacy have reduced money management stress and good behaviours, leading to higher levels of financial wellbeing, were expunged. We did find, however, that being older and having higher levels of income contributed most significantly and consistently to explaining financial wellbeing. Proponents of financial literacy education should not lose hope but recognise limits to transferring knowledge and set goals based on evidence of what works.

RESEARCH OF THE FINANCIAL CONDITION AND PROBABILITY OF BANKRUPTCY OF THE AGRICULTURAL COMPLEX OF UKRAINE

Introduction. The effective functioning of the agro-industrial complex is ensured by the coordinated work of enterprises of different types of economic activity that are part of it, so it will be important to study their condition. Given the instability of the macroeconomic situation, which today is characterized by uncertainty and risk, the activities of agriculture ensure food security of the state, performing an important social function, so it needs research. The main purpose of the article is to analyze the current state of enterprises of the agro-industrial complex of Ukraine. Results. The article examines the current state of enterprises of the agro-industrial complex of Ukraine. The probability of their bankruptcy is analyzed. Preliminary analysis of the structure of economic assets and sources of their formation allowed to identify the most critical problems in the financial well-being of these enterprises, which may affect the rhythm of their work in the future and lead to bankruptcy. At most enterprises of the agro-industrial complex, the share of current assets in their total volume exceeds the normative values. This is evidence of inefficient use of capital and the formation of excessive balances of working capital at various stages of turnover, in particular, in the form of receivables. The general tendency of financing economic activity at the enterprises of agrarian and industrial complex, in the conditions of insufficient volumes of own capital, is attraction of short-term, instead of long-term obligations. This leads to a loss of balance sheet liquidity and may lead to an insolvency crisis in the future. The financing of economic activity was due to short-term liabilities in the amount, and the share of equity in trade in food and agricultural raw materials and live animals is traditionally low. Thus, the financial stability of these activities is too low. Uncovered losses of previous periods led to a complete loss of equity in the production of fertilizers and agrochemical products. Conclusions. Based on the results of the study, it is established that today the driving force of this sector of the economy are medium-sized enterprises, which are also characterized by the best level of financial well-being. Keywords: enterprises of agro-industrial complex, probability of bankruptcy, rhythmic work, food security.

The Impact of Distal Influences and Proximal Resources on the Mental Health of African American Older Adults: Findings From the Georgia Centenarian Study.

Background and ObjectivesOver the years, a large amount of research has been devoted to the investigation of factors that led to mental health outcomes in older adults. For African American older adults, their lived experiences place them at high risk for mental health problems. The purpose of this study was to examine the impact of early life influences (i.e., education, childhood life events, and childhood financial well-being) and present psychosocial resources (i.e., individual, financial, and social) on current mental health outcomes in a sample of African American older adults in their 60s, 80s, and 100s.Research Design and MethodsUsing data from the Georgia Centenarian Study, 125 participants were interviewed about their mental health, resources, and early life influences.ResultsA structural equation model was tested and resulted in a good fit. Results indicated that the more social resources African American older adults had available, the lower the number of depressive symptoms they reported. African Americans with higher levels of financial well-being during childhood reported higher self-rated mental health. Older adults had higher levels of financial resources. Level of education showed a positive relationship with financial resources. Indirect effects of distal influences on health outcomes via current resources were not found.Discussion and ImplicationsThe findings are of direct practical relevance and can be used to more readily identify older African Americans who may be susceptible to poorer mental health outcomes based upon the impact of their unique distal and proximal psychosocial resources.

The probability factor influences the level of financial well-being of workers in Malaysia

Generally, the dual-income family households earn higher income than the single-income family households as both husband and wife are working and earning money for the family. Dual-income households should have more advantages in terms of better level of financial well-being in comparison to single-income households. The workers in dual-income family are also expected to have a better level of financial well-being. Therefore, this study aims to determine the probability factors affecting the workers’ level of financial well-being. The sample of the study was married workers in the public sector, with focus on workers who are in a dual-income family. The analysis unit in this study is the individual. A total of 415 married workers were analyzed in this study. Multinomial logistic regression analysis was applied in identifying the probability factors of various levels of financial well-being (low, moderate, high) which includes socioeconomic background, financial knowledge, financial behavior and financial decision making factors. The logistic regression analysis showed the socioeconomic background (age, monthly income, home ownership and financial product ownership), financial behavior and financial decision making of the husband have a significant relationship with the respondents’ various levels of financial well-being. Factors such as age, monthly income, home ownership, financial product ownership and financial behavior were found to have an impact on financial well-being. Financial education needs to be implemented in the workplace to encourage workers to have good financial practices. This is necessary in order to ensure the financial well-being of their workers. Keywords : behavior, decision making, dual-income families, financial well-being, knowledge, married workers

Financial well-being among Malaysian manufacturing employees

Employees and financial well-being are two aspects that are closely related to each other, and have been deeply studied by researchers. Not only can financial well-being directly affect an individual, but it can also indirectly affect his/her organization as well as employer. Any level of financial employees’ well-being, either low or high, will change their job performance. Thus, the purpose of this study is to determine the level of financial well-being among manufacturing employees in Batu Pahat, as well as to test the relationships between determinants and financial well-being among manufacturing employees in Batu Pahat. In this study, seven research hypotheses were developed to examine seven determinants, including age, income, gender, education, current job position, income, and marital status which influence employees‘ financial well-being. In this study, 220 employees at the production level were selected randomly from a manufacturing company in Batu Pahat, Johor, Malaysia. Then, a questionnaire was distributed to the employees. The data obtained were analyzed quantitatively using SPSS version 22.0. The results of this study revealed that the level of financial well-being was moderate and all of the determinants were positively related to financial well-being among the manufacturing employees. This quantitative study is important to the manufacturing industry in Malaysia in order to gain insight on the correlation between financial well-being and its determinants.