Financial Literacy and Management Practices on Financial Decision-Making Among Teaching and Non-Teaching Employees of One State University

  ABSTRACT: Given the easy access to loans and the financial strain resulting in net take-home pay falling below the mandated threshold, this research seeks to address the issue by developing a financial literacy booklet to enhance employees’ financial awareness and responsible borrowing practices. To achieve this, the study examines the influence of financial literacy and financial management practices on the financial decisionmaking of teaching and non-teaching employees of one state university. The study employs a descriptive correlational research design involving 242 respondents selected from four campuses using stratified random sampling to ensure proportional representation based on employee distribution. Statistical treatments employed are frequency and percentage distribution for respondent profiles, weighted mean for assessment measures, and Pearson-r correlation for significant relationships among the study variables. Based on the findings, employees generally possess strong financial knowledge but need support in setting financial goals and managing financial challenges. There is a significant relationship between financial literacy and financial management practices regarding financial decision-making, except for the relationship between financial self-efficacy and budgeting, financial planning, fiscal management, analytical skills, and income and asset protection. The researcher recommends adapting the financial literacy booklet developed based on the significant findings.

KEYWORDS: Financial Literacy, Financial Decision Making, Financial Management Practices, Awareness, Employees