FInancial Management of Senior High School Students in Relation To Fluctuating Inflation
FInancial Management of Senior High School Students in Relation To Fluctuating Inflation
Financial
Management of
Senior High School
students in relation to
Fluctuating Inflation
Submitted by:
Andrei Abian
Ashley Lopez
Nikko Sangalang
Jomari Arzadon
CHAPTER 1
INTRODUCTION
Financial management is a concept many are aware of but do not actually apply; it
involves handling one’s finances and developing a spending plan. Many people are
facing hard financial struggles which could greatly effect one’s mental health. Students
with financial independence without parent’s supervision are facing financial issues
because of poor financial management. They do not have the skill to manage their own
money nor the skill to ensure the money is well spent and not misused.
Inflation rate in the Philippines is consistently increasing for the past few periods,
which only puts more pressure to a student’s financial struggles. Inflation has always
been an issue for not only students, but the people of the country as well. The sometimes
unpredictable nature of inflation can cause a sudden shift of plan in one’s financial
management.
This study seeks to determine the affects of inflation and to spread awareness of
OBJECTIVES
The purpose of this study is to gain more knowledge about the importance of
The aim of the study is to investigate the role of fluctuating inflation to financial
3. What is the level of financial literacy of the students in the following areas:
a. Spending Habits
b. Saving Habits
SHS STUDENTS. The results help SHS students have a clear understanding of the
importance of financial management and how inflation effect different variables in the
student’s surroundings.
HOME. The conclusion will also be very useful for the family in terms of financial
management. They will be aware of where consumption of funds goes and how the
Academy (S.Y. 2022 - 2023) in relation to inflation. The researchers will get respondents
DEFINITION OF TERMS
savings, expenditure, and budget (Perry and Morris). Or human activities related to
to pay one's living expenses for the rest of one's life without having to be employed
Financial Literacy - is the possession of the set of skills and knowledge that allows
an individual to make informed and effective decisions with all of their financial
resources (Wikipedia)
financial situation and building a specific financial plan to reach your goals; or
When the general price level rises, each unit of currency buys fewer goods and
of money (Wikipedia)
Spending plan - is a method for distributing your income, or in this case you savings,
Spending habits - the repeated and sometimes involuntary routines and practices you
awareness, with the goal of freeing up funds for saving or debt reduction
CHAPTER 2
REVIEW OF LITERATURE
The importance of money for students is that it can help them learn how to be
responsible with their finances. When they are young and just starting, they must learn
how to budget and save their money. The importance of money management for students
will also help them in the future when they are adults and need to support themselves.
Money management can also help students stay out of debt. If they are careful with their
Other than that, students need to understand that their financial behavior will
effect their future. Students should empower their financial planning. They need to plan
and budget their money on specific things with priority by differentiating their needs and
wants. Students nowadays are lacking of financial awareness and financial planning
concepts (Joyce K.H. Nga, Lisa H.L. Yong, and Rathakrishnan D. Sellappan 2010)
Financial Literacy
Students tend to not know what to value first, and they tend to spend it on things
that are not important. Therefore, it would become inevitable for people to overspend
when they buy things because they do not know what to prioritize the significant ones
(Paine, 2012). This is when financial planning comes in. Financial planning is useful for
both short range and long range plans (Ferdinand L. Timbang, 2015). Financial planning
serves as a basis of operations or the allocation of funds the person has to undergo.
Inflation can reduce the value of your savings overtime, because prices typically
go up in the future. This is most noticeable with cash. In other words, the buying power
of an individual dollar decreases when the price of everything has increased.When you
keep your money in the bank, you may earn interest, which balances out some of the
effects of inflation. When inflation is high, banks typically pay higher interest rates. But
once again, your savings may not grow fast enough to completely offset the inflation loss.
and measure. There are many way the spending habits of students may vary. It can vary
shopping environment, the old norm that women love shopping more than men still
There have been many articles, studies, and researches about said topic among
students all over the world, an example would be Atie Nadome’s research about the
“Spending Habits among Malaysian University students.” This researched explained that
spending habits has never been stable, meaning spending habits of students today are
Another study concludes that there is a massive influence of peer group in the
youth below nineteen years while making purchase decisions. As they mature, the
influence of peer groups decrease and he/she relies more on evaluating the product
CHAPTER 3
METHODOLOGY
RESEARCH DESIGN
The goals of this research is to determine the average spending amount of SHS
students, determine whether said spending amount is adequate during inflation, and
financial literacy of SHS students based on spending habits and saving habits. And
quantitative survey questions to determine the average spending amount of SHS students.
RESEARCH INSTRUMENT
The questionnaire used to pinpoint the average spending amount of SHS students
inflation. The questionnaire will consist close-ended questions and open-ended question.
Response Set
disagree agree
Distribution
and retrieval of physical questionnaires during onsite classes in the campus of La Marea
Academy.
STATISTICAL TREATMENT
determine the financial literacy of SHS students based on spending habits and saving
habits. And determine the average spending amount of SHS students. For the Likert
scale questions, the collected data can be analyzed as interval data. The percentage is to
be calculated for each circumstance. The researchers obtain the percentage (P) by
dividing the answers (f) and the total number of respondents (n). Then it is multiplied to
f
P= ×100
n
For open-ended questions, statistical tools persists. The researchers would remove answer