The Influence Of Financial Literacy In Financial Decision Making On The Financial Behavior Of Adolescents And Adults

Abstract

In this study, it is proven that an understanding of financial literacy and the ability to make financial decisions can play an important role in managing one's finances. The purpose of this study is to compare the impact of financial literacy in the financial decision-making process between two age groups, namely adolescents and adults. This study aims to identify differences in the influence of the level of understanding of financial literacy on decision making in the two groups. The sample of this study involved 111 individuals, with 43 adolescents and 69 adults, spread across Luwu district. Data was collected through surveys in the form of questionnaires, then analyzed using statistical methods to evaluate financial literacy and financial decisions. The hypothesis test was used to determine the effect of financial literacy and financial decisions on both groups positively and significantly. The results of this study show that the higher the understanding of financial literacy, the better the ability to make financial decisions. In this study, it can be concluded that financial literacy and financial decisions have a great influence on a person's financial behavior. The level of understanding and knowledge in financial literacy is a major factor in shaping the way individuals make financial decisions