Factors Influencing on Personal Financial Management Behaviour of Employees of the Banking Sector in Trincomalee District

Abstract

Nowadays, good financial management behaviour requires special attention from individuals because the financial management behaviour aspect has a significant effect on their life. Very few researches are being performed in Sri Lanka for factors influencing on personal financial management behaviour of employees. So, there is an empirical knowledge gap that exists in explaining factors influencing on personal financial management behaviour of employees. Hence, the study conducts to narrow this empirical gap. The objectives of this study are to identify the level, relationship and impact regarding financial knowledge, financial attitude, and locus of control on personal financial management behaviour. To achieve these objectives, the stratified sampling method is used as a sample of the study which was conducted among 191 employees from Commercial Bank. However, 159 respondents were analyzed by using descriptive, correlation analyses and regression analyses. The findings show that high level of financial knowledge, financial attitude, locus of control and personal financial management behaviour. There is a significant positive relationship between financial knowledge, financial attitude and locus of control with personal financial management behaviour. There is a significant impact of financial knowledge, financial attitude and locus of control on personal financial management behaviour.