Financial literacy and family financial socialization
Study of its impact on financial well-being as mediated by financial self-efficacy
Keywords:
Financial Literacy, Family Financial Socialization, Financial Self-Efficacy, Well-beingAbstract
The purpose of this study is to investigate the impact of financial literacy and family financial socialization on financial well-being among the college student athletes. This study is also endeavored to examine the mediating role of financial self-efficacy between financial literacy and family financial socialization to financial well-being. The research adopts a survey by questionnaire method and gather data from 107 college student athletes in DKI Jakarta, Indonesia through the proportional sampling technique. The research used a quantitative approach and data analysis was carried out after the data from the respondents was collected, then processed using Structural Equation Modelling based on Partial Least Square with the help of SmartPLS 4.0. Convergent validity was used for scale validation and bootstrapping for testing hypotheses. Mediation was tested using specific indirect effect with significance level 0,05. The results show that financial literacy doesn’t have a significant effect directly on financial well-being but has a significant effect indirectly through financial self-efficacy. Financial self-efficacy is fully mediated between financial literacy and financial well-being. This study also resulting family financial socialization have a significant and positive effect either directly and indirectly through financial self-efficacy. The present research findings could be used as references to create educational programs to improve the financial literacy, financial self-efficacy and financial wellbeing of young athletes preparing to be professional athletes. This research is expected for a variety of stakeholders, including government, policymakers, sports media, and financial institutions to emphasizes the need to advance policies and practices that can positively impact athletes’ financial well-being.
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