Effect of Financial Behavior, Childhood Consumer Experience, And Financial Wellness on Financial Well-Being

Irine Herdjiono; Siswantoyo Siswantoyo; Ketut Sukiyono; Ponty SP Hutama; Arif Rahman Hakim; Tobias Nggaruaka; Apolinaris S. Awotkay; Murniati Arruan Lola

doi:10.7595/management.fon.2023.0010

Irine Herdjiono Musamus University, Faculty of Business and Economics, Indonesia http://orcid.org/0000-0003-4591-4212
Siswantoyo Siswantoyo Yogyakarta State University, Sport Science Faculty, Indonesia http://orcid.org/0000-0001-7846-7717
Ketut Sukiyono University of Bengkulu, Economics Faculty of Agriculture, Indonesia http://orcid.org/0000-0001-8512-2848
Ponty SP Hutama Yogyakarta State University, Faculty of Business and Economics, Indonesia
Arif Rahman Hakim Yogyakarta State University, Faculty of Business and Economics, Indonesia http://orcid.org/0000-0002-3373-5527
Tobias Nggaruaka Musamus University, Faculty of Teacher Training and Education, Indonesia http://orcid.org/0000-0002-1151-9719
Apolinaris S. Awotkay Musamus University, Faculty of Business and Economics, Indonesia http://orcid.org/0009-0003-9674-9605
Murniati Arruan Lola Musamus University, Faculty of Business and Economics, Indonesia

DOI: https://doi.org/10.7595/management.fon.2023.0010

Abstract

Research question: This study aims to examine the effect of financial behavior, childhood consumer experience and financial wellness on financial well-being. Motivation: Good financial education will improve financial behavior and financial wellness. Data: The population of this research was students who are in Merauke, Papua, the border area of Indonesia. The sample was selected using a purposive sampling technique producing 386 respondents. Tools: Data analysis using was undertaken using a multiple regression analysis. Findings: The results showed that financial behavior had a particial, but significant effect on financial well-being, childhood consumer experience had no significant effect on financial well-being, and financial wellness had a significant effect on financial wellbeing. Simultaneously, financial behavior, childhood consumer experience and financial wellness had an effect on financial well-being. The limitation of the research comprised of individuals living in certain areas that are strongly influenced by certain socio-cultural conditions. Contribution: The implication of the results of this study is that it may be too early for children to receive education about finance. This research was conducted in Indonesia, in a border region, and as it is one of the countries with the largest population in Asia, the aspect of individual financial management is one of the problems hindering efforts to advance the economy.

Author Biographies

Irine Herdjiono, Musamus University, Faculty of Business and Economics, Indonesia

Dr. Irine Herdjiono is a Doctor in economics. Some educational histories include: (1) graduated in 1999 from the Widya Mandala University in the field of Accounting; (2) at the Masters level graduated in 2006 from Airlangga University Surabaya in the field of Accounting; and (3) at the Doctoral level graduating in 2014 from Airlangga University Surabaya in the field of Economics. For ten years conducting research related to individual finance, corporate finance, financial behavior and financial literacy. Financial literacy which is the focus is financial literacy for indigenous and non-indigenous people.

Siswantoyo Siswantoyo, Yogyakarta State University, Sport Science Faculty, Indonesia

Prof. Dr. Siswantoyo, M.Pd., AIFO., is a Lecturer in the Sports Coaching Education study program, Faculty of Sports, Yogyakarta State University. Areas of expertise include Sport Coaching, Sport Culture of Pencak Silat, Sport Industry, Sport Physiology & Exercise. Some educational histories include: (1) graduated in 1998 from the Yogyakarta Teachers' Training College in the field of Sports Coaching Education; (2) at the Masters level graduated in 2002 from Airlangga University Surabaya in the field of Sports Health Sciences; and (3) at the Doctoral level graduating in 2022 from Airlangga University Surabaya in the field of Medical Science (Sports). Several studies that have been produced in the last three years both in internal and national competitions include; (1) Mapping of the IKU 6-Based PTN BLU Collaboration Model in Increasing Invome Generating Towards Independence; (2) The Effect of Endurance Training With Variations In Intensity On Blood Pressure (Systolic) In Indonesian and Saudi Arabian College Students; (3) Motivation of Sports Science Faculty Students in Sports Practice during the Covid 19 Pandemic.

Ketut Sukiyono, University of Bengkulu, Economics Faculty of Agriculture, Indonesia

Prof. Dr. Ir. Ketut Sukiyono, DipAgEc., MEc is a lecturer at the social study program, agricultural economics, faculty of agriculture, University of Bengkulu. Areas of expertise include agricultural economics. Some educational histories include: (1) graduated in 1986 from Brawijaya University in the field of agricultural social economics; (2) at the Masters level graduated in 1995 from University of New England, Armidale, New South Wales AUSTRALIA in the field of Agricultural Economics; and (3) at the Doctoral level graduated in 2004 from University of New England, Armidale, New South Wales AUSTRALIA in the field of Agricultural Economics. Several studies that have been produced in the last three years; (1) PALM OIL AND SDGs: Study of Contribution to the Achievement of SDGs Targets and Designing Strategies to Increase Their Contribution (2) Human Capital and Technical Efficiency of Corn Farming in the Bengkulu Coastal Area (3) Variability of Exchange Rates and Prices and Their Influence on the Dynamics of Export Demand for Indonesian Fresh and Frozen Tuna

Ponty SP Hutama, Yogyakarta State University, Faculty of Business and Economics, Indonesia

Dr. Ponty SP Hutama, S.E., M.Sc., Ak., CA., is a Lecturer in the Accounting Department, Faculty of Economics and Business, Yogyakarta State University (FEB UNY). Areas of expertise include Business, Behavioral Accounting, Business and Professional Ethics, Taxation, and Accounting Information Systems. Some educational histories include: (1) graduated in 1998 from STIE YKPN in the field of Accounting; (2) at the Masters level graduated in 2006 from Universitas Gadjah Mada in the field of Accounting; and (3) at the Doctoral level graduated in 2020 from UNS in the field of Accounting.

Arif Rahman Hakim, Yogyakarta State University, Faculty of Business and Economics, Indonesia

Arif Rahman Hakim S.Pd., M.Pd. is a lecturer in the Accounting Education study program, Faculty of Economics and Business, Yogyakarta State University. Areas of expertise include Education Management, Curriculum, Digital Literacy. His educational history includes: (1) at the undergraduate level graduated in 2012 from the University of Muhammadiyah Surakarta in the field of Accounting Education; (2) at the Master level graduated in 2017 from PGRI Semarang University in the field of Education Management; and (3) is now continuing his Doctoral studies since 2021 at Yogyakarta State University in the field of Education Management.

Tobias Nggaruaka, Musamus University, Faculty of Teacher Training and Education, Indonesia

Dr. Tobias Nggaruaka is a Doctor of Indonesian Language and Literature Education. For seven years doing research in language education and oral literature. Several studies related to learning Indonesian, namely learning to write, learning to read, and learn vocabulary in the native language of the Marind sub-tribe, namely the Marori Menggey (Merauke) language. Meanwhile, the study of oral literature focuses on the documentation of oral literature and cultural knowledge (Ethno pedagogy) of local communities in South Papua, especially in the Merauke district.

Apolinaris S. Awotkay, Musamus University, Faculty of Business and Economics, Indonesia

Apolinaris S. Awotkay is S2 Masters in economics. For the last four years he has conducted research related to Company finance and Village Finance. His area of financial literacy is Family Financial Management — Planning for the Future. Financial planning is important for maintaining good household finances. Good financial planning and achieving financial stability will also help to prevent financial crises.

Murniati Arruan Lola, Musamus University, Faculty of Business and Economics, Indonesia

Murniati Arruan Lola is an alumni of the Musamus University accounting study program in 2021. Research conducted in the field of corporate finance and financial behavior.