From Struggle To Stability: The Association Among Financial Literacy, Financial Behavior, And Financial Capability Of Homemakers In Misamis Occidental

Abstract

Homemakers have significant influence over their families’ financial choices; as such, they must possess some level of financial capability. In addition to building household resiliency, the financial capability of households is also crucial to promoting community well being. The purpose of this research is to explore the level of knowledge that homemakers have about personal finance, their financial behaviors as a homemaker and whether there is an association among them, specifically for homemakers who reside in the province of Misamis Occidental.
This study employed a quantitative descriptive-correlational approach. A sample size of 383 homemakers from Misamis Occidental was drawn utilizing purposive sampling. To collect data regarding the constructs of interest, a validated survey tool with four point Likert scales was employed. Descriptive statistics were applied to find out what the mean scores of each concept were. Spearman’s rho (rank-order) correlation was utilized to ascertain both the degree and the nature of the relationship(s) present between the constructs studied.
Results indicated that respondents had moderately strong levels of financial literacy (Mean = 3.28), moderate levels of financial behavior (Mean = 3.26) but weaker levels of financial capability (Mean = 3.15). Statistical significance was determined at p < .001 when examining the relationships between the constructs. Results indicate that homemakers require community-based financial education and accessible inclusive financial service options to convert their positive financial knowledge and behaviors into improved household financial capabilities.