Factors Associated with Financial Literacy among Business Administration Students

Financial literacy is a vital competence for higher education students, particularly those in business programs where financial decision-making skills are essential. This study examined the levels of financial behavior, financial attitude, financial knowledge, and financial literacy among Business Administration students in selected public higher education institutions and determined the relationships among these variables. A quantitative descriptive–correlational design was employed. Data were collected from 290 fourth-year students using a structured questionnaire and analyzed using descriptive statistics (mean and standard deviation) and Pearson correlation. Findings revealed high levels of financial behavior (M = 3.88), financial attitude (M = 3.70), financial knowledge (M = 3.87), and financial literacy (M = 3.91). Spending emerged as the strongest dimension of financial behavior, personal finance knowledge ranked highest among knowledge components, and financial literacy was most evident in financial awareness and decision-making. Correlation analysis showed strong, positive, and significant relationships between financial literacy and financial behavior (r = .906, p < .001), financial attitude (r = .846, p < .001), and financial knowledge (r = .939, p < .001). The results indicate that financial literacy is closely linked to students’ financial practices, dispositions, and cognitive understanding. Strengthening integrated financial education programs that enhance knowledge, reinforce responsible financial behaviors, and cultivate constructive financial attitudes is recommended to support students’ long-term financial capability.

financial literacy, financial behavior, financial attitude, financial knowledge, college students

1. Adewale Odetayo, T., Zaid Adeyemi, A., Oyedele, O., & Samuel Sajuyigbe, A. (2022). Mediating Effect of Financial Self-Control in the Relationship between Financial Behavior and Financial Well-being. In International Journal of Commerce and Finance (Vol. 8, Issue 2). [Google Scholar] [Crossref]

2. Ahmad, N. L., Fazil, N. F. M., & Bakar, B. A. (2021). Entrepreneurship Motivation among Accounting Students: The Role of Financial Literacy and Financial Behaviour. Journal Pengurusan, 63. https://doi.org/10.17576/pengurusan-2021-63-11 [Google Scholar] [Crossref]

3. Ali, S. A., Aslam, S., Majeed, M. U., & Usman, M. (2024). The Interplay of Mental Budgeting, Self-Control, and Financial Behavior: Implications for Individual Financial Well-Being. Pakistan. Journal of Humanities and Social Sciences. https://doi.org/10.52131/pjhss.2024.v12i2.2102 [Google Scholar] [Crossref]

4. Ameliawati, M., & Setiyani, R. (2018). The Influence of Financial Attitude, Financial Socialization and Financial Experience to Financial Management Behavior with Financial Literacy as the Mediation Variable. KnE Social Sciences, 3(10), 811. https://doi.org/10.18502/kss.v3i10.3174 [Google Scholar] [Crossref]

5. Azizah, A. N., Susilaningsih, S., & Noviani, L. (2024). The Impact of Financial Knowledge on College Students’ Financial Behavior: A Systematic Literature Review. https://doi.org/10.55927/ajma.v3i4.11720 [Google Scholar] [Crossref]

6. Bandura, A. (1977). Social Learning Theory. Prentice Hall. [Google Scholar] [Crossref]

7. Bruine de Bruin, W., & Slovic, P. (2021). Low numeracy is associated with poor financial well-being around the world. PloS one, 16(11), e0260378. [Google Scholar] [Crossref]

8. Chaity, N. S., Kabir, S. Bin, Akhter, P., & Bokhari, R. P. (2024a). How Financial Literacy Impacts Financial Well-Being: The Influence of Financial and Technical Efficacy. International Journal of Economics and Financial Issues, 14(2), 207–217. https://doi.org/10.32479/ijefi.15806 [Google Scholar] [Crossref]

9. Dewi, V. I., Febrian, E., Effendi, N., Anwar, M., & Nidar, S. R. (2020). Financial literacy and its variables: The evidence from Indonesia. Economics & Sociology, 13(3), 133– 145. [Google Scholar] [Crossref]

10. Gudmunson, C. G., & Danes, S. M. (2011b). Family Financial Socialization: Theory and Critical Review. In Journal of Family and Economic Issues (Vol. 32, Issue 4, pp. 644–667). https://doi.org/10.1007/s10834-011-9275-y [Google Scholar] [Crossref]

11. Hartono, U., & Isbanah, Y. (2022). Students’ saving behaviour: what are the motives that influence them to save? Jurnal Ekonomi, Bisnis Dan Kewirausahaan: JEBIK, 11(3), 363. https://doi.org/10.26418/jebik.v11i3.56561 [Google Scholar] [Crossref]

12. Johan, I., Rowlingson, K., & Appleyard, L. (2021). The effect of personal finance education on the financial knowledge, attitudes and behaviour of university students in Indonesia. Journal of Family and Economic Issues, 42(2), 351-367. [Google Scholar] [Crossref]

13. Llanto, G. M., et al. (2024). A critical realist theory on the role of financial literacy. Ateneo InstitutionalRepository.https://archium.ateneo.edu/context/leadership-and-strategy-faculty pubs/ article/1033/ viewcontent/3_Explaining_Financial_Inclusion A_Critical_Realist Theory_on the Role of_Financial_Literacy.pdf [Google Scholar] [Crossref]

14. Lee, J. M., Rabbani, A. G., & Heo, W. (2023). Examining Financial Anxiety Focusing on Interactions between Financial Knowledge and Financial Self-efficacy. Journal of Financial Therapy, 14(1). https://doi.org/10.4148/1944-9771.1279 [Google Scholar] [Crossref]

15. Mittal, I. (2023). Examine the influence of financial knowledge, attitude, and capability on financial behaviour. International Journal of Research in Finance and Management, 6(1), 426–434. https://doi.org/10.33545/26175754.2023.v6.i1d.256 [Google Scholar] [Crossref]

16. Mustafa, W. M. W., Islam, M. A., Asyraf, M., Hassan, M. S., Royhan, P., & Rahman, S. (2023). The Effects of Financial Attitudes, Financial Literacy and Health Literacy on Sustainable Financial Retirement Planning: The Moderating Role of the Financial Advisor. Sustainability (Switzerland), 15(3). https://doi.org/10.3390/su15032677 [Google Scholar] [Crossref]

17. Mutlu, Ü., & Özer, G. (2022). The effect of individuals' financial risk tolerance, financial literacy and financial attitude on their financial behaviors. JOEEP: Journal of Emerging Economies and Policy, 7(1), 8-15. [Google Scholar] [Crossref]

18. OECD, & INFE. (2023). OECD/INFE 2023 international survey of adult financial literacy. http://www.oecd.org/termsandconditions. [Google Scholar] [Crossref]

19. Philippine News Agency. (2023, July 21). BSP bridges financial literacy gap among filipinos. https://www.pna.gov.ph/articles/1206091 [Google Scholar] [Crossref]

20. Phung, T. M. (2023). Parental roles, financial literacy and budgeting behaviour: a survey during the COVID-19 pandemic. Journal of Applied Research in Higher Education, 15(3), 796-812. [Google Scholar] [Crossref]

21. Potrich, A. C. G., Vieira, K. M., & Mendes-Da-Silva, W. (2016). Development of a financial literacy model for university students. Management Research Review, 39(3), 356–376. https://doi.org/10.1108/MRR-06-2014-0143 [Google Scholar] [Crossref]

22. Rai, K., Dua, S., & Yadav, M. (2019). Association of Financial Attitude, Financial Behaviour and Financial Knowledge Towards Financial Literacy: A Structural Equation Modeling Approach. FIIB Business Review, 8(1), 51–60. https://doi.org/10.1177/2319714519826651 [Google Scholar] [Crossref]

23. Rapina, R., Meythi, M., Rahmatika, D. N., & Mardiana, M. (2023). The impact of financial literacy and financial behavior in entrepreneurial motivation–evidence from Indonesia. Cogent Education, 10(2). https://doi.org/10.1080/2331186X.2023.2282827 [Google Scholar] [Crossref]

24. Sewell, J., & Rogers, S. (2023). Assessing the impact of a personal finance elective course on student attitudes and intentions. American journal of pharmaceutical education, 87(2), ajpe8942. [Google Scholar] [Crossref]

25. Singh, K., Rani, P., & Kiran, C. (2020). Relationship Between Various Determinants and Dimensions of Financial Literacy Among Working Class. International Journal of Financial Research, 11(5), 319. https://doi.org/10.5430/IJFR.V11N5P319 [Google Scholar] [Crossref]

26. Suwatno, S., Waspada, I., & Mulyani, H. (2021). Forming Student’s Saving Behaviour through Financial Literacy, Parental Financial Education, and Self Control. JPAK: Jurnal Pendidikan Akuntansi & Keuangan, 9(2), 127–136. https://doi.org/10.17509/jpak.v9i2.34944 [Google Scholar] [Crossref]

27. Vaghela, P., Kapadia, J. M., Patel, H. R., & Patil, A. G. (2023). Effect of Financial Literacy and Attitude on Financial Behavior among University Students. Indian Journal of Finance. https://doi.org/10.17010/ijf/2023/v17i8/173010 [Google Scholar] [Crossref]

28. Widyakto, A. N., et al. (2022). The influence of financial behavioral dimensions on student financial management behavior. Pegem Journal of Education and Instruction, 12(2), 170–180. [Google Scholar] [Crossref]

29. Zhang, Y., & Wang, S. (2023). Is there a link between financial literacy and financial behaviour? Cogent Economics & Finance, 11(1), 2188712. https://doi.org/10.1080/23322039.2023.2188712 [Google Scholar] [Crossref]

• Financial Technology (Fintech): Current Research at The Cutting Edge
• Reforming Corporate Governance in Malaysia to Address Fraudulent Financial Reporting Cases
• Stock Market Efficiency and Economic Diversification in Nigeria and South Africa
• Financial Stability and Financial Performance of Small and Medium Tiered Deposit Taking Savings and Credit Cooperatives in Kenya.
• Regulator Sandboxes for DeFi: A Comparative Analysis of Policy Effectiveness in the EU, US, and Asia Pacific