1

CHAPTER I

INTRODUCTION

In today's dynamic world, financial literacy has become an essential

skill, particularly among the youth who will soon face the complexities of

managing their finances. Financial literacy refers to the understanding of

various financial principles and concepts, such as budgeting, saving,

investing, and managing debt, which are crucial for sound financial decision-

making (Lusardi & Mitchell, 2017). Among high school students, the need

for financial education is even more pronounced as they transition into

adulthood and face decisions that will affect their financial well-being.

The connection between financial literacy and effective money

management cannot be understated. Studies suggest that individuals who

are financially literate are better equipped to manage their money, avoid

debt, and plan for their financial future (Remund, 2010). However, financial

education in the school curriculum remains limited, especially among senior

high school students in the Philippines. Understanding how financially

literate students are, and how this affects their money management

practices, is critical in shaping educational interventions that address gaps

in knowledge.

1.1 Background of the Study

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The importance of financial literacy as a life skill is becoming more

widely acknowledged, especially when it comes to handling personal

finances.

Financial decisions made by students as they get closer to maturity

may have a long-term effect on their future well-being. Understanding and

using different financial abilities, such as budgeting, saving, investing, and

comprehending credit, are all included in financial literacy (Lusardi &

Mitchell, 2014).

Financial literacy can have a significant impact on how high school

students, particularly those in the Humanities and Social Sciences (HUMSS)

strand, see and handle money. Early financial education may help people

make wiser financial decisions and experience less financial stress in the

future, according to studies (Mandell, 2009). Effective money management

is also associated with more confidence and decreased concern about

money- related issues (Xiao & O'Neill, 2016).

In the context of Calatrava National High School, grade 12 HUMSS

students are on the verge of transitioning to higher education or entering the

workforce, where financial responsibilities will inevitably increase. The

extent to which these students are financially literate may significantly

influence their ability to manage money effectively, make informed financial

decisions, and avoid common financial pitfalls.

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Despite the significance of financial literacy, research indicates that

many young individuals lack sufficient financial knowledge and abilities,

which has a negative impact on their financial results (Lusardi, 2019). This

study aims to assess the level of financial literacy among grade 12 HUMSS

students and examine how it correlates with their money management

practices. By understanding these factors, educators and policymakers can

develop targeted interventions to enhance financial literacy and promote

better financial practices among students.

1.2 Rationale of the Study

The importance of financial literacy education cannot be overstated,

as financial decisions made during adolescence can significantly impact an

individual's long-term financial well-being (Lusardi & Mitchell, 2014).

Adolescents, especially those nearing graduation, will soon face critical

financial choices related to education, career, and personal life, which may

have far-reaching consequences (Kumar, 2018).

In Calatrava National High School, there is a notable lack of

information regarding the financial literacy levels of grade 12 HUMSS

students and their money management practices. This gap is concerning

given the evidence that effective financial education is linked to improved

financial behavior and outcomes (Hastings, Madrian, & Skimmyhorn, 2013).

By addressing this gap, the study can provide valuable insights into the

current state of financial literacy among students and contribute to the

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development of targeted educational programs designed to enhance

financial knowledge and skills. Such programs are crucial in equipping

students to manage their finances responsibly and make informed decisions

in their future endeavors (Mandell & Klein, 2009).

1.3 Theoretical Framework

The theoretical framework of this study integrates several key

theories to provide a comprehensive understanding of how financial literacy

impacts money management among grade 12 HUMSS students at

Calatrava National High School. The framework is built upon the following

theories.

This study was based on Theory of Financial Literacy by (Lusardi

&Mitchell, 2014). This theory underscores the essential role of financial

literacy in equipping individuals with the knowledge and skills necessary to

make informed financial decisions. Lusardi and Mitchell define financial

literacy as a broad understanding of key financial concepts, including

interest rates, inflation, risk diversification, and budgeting.

According to this theory, financial literacy forms the bedrock for

effective money management. Individuals who are financially literate are

better positioned to understand and navigate various financial challenges,

make sound investment decisions, and plan for future financial needs. The

theory suggests that financial literacy is not merely about acquiring

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knowledge but also about applying this knowledge to manage one's

finances prudently.

In the context of this study, the Theory of Financial Literacy is

employed to examine the relationship between financial literacy and money

management among Grade 12 HUMSS students at Calatrava National High

School. The study explores how the educational interventions designed to

enhance students' financial knowledge impact their ability to manage their

finances effectively. Specifically, it investigates whether increased financial

literacy correlates with improved money management behaviors, such as

budgeting, saving, and making informed financial decisions.

By applying Lusardi and Mitchell's framework, the study seeks to

determine if financial literacy education leads to tangible improvements in

students' financial practices. It aims to uncover whether a solid

understanding of financial concepts enables students to manage their

money more effectively, plan for future financial needs, and avoid common

financial pitfalls. This expanded theoretical perspective provides a

comprehensive lens through which to analyze the impact of financial literacy

on students' financial behaviors and overall money management skills.

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Albert Bandura’s Social

Cognitive Theory

reciprocal

Self-Efficacy determinism

Self regulated

learning strategies

Barry Zimmerman’s
reflective practice
Model of Self-Regulated

Learning

Increased Learner Autonomy Improved Academic Performance

Figure 1. Research paradigm shows theoretical framework used in the

study.

1.4 Conceptual Framework

Independent Dependent Variable

Variable
SHS Student's Academic
Self-Regulated
Financial Literacy Money Management
Achievement
Learning Strategies

Figure 2. Research paradigm shows the relationship between independent

and dependent variable.

The figure in this study emphasizes that Self-Regulated Learning Strategies

has no significant relationship to the SHS Student's Academic Achievement.

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Since it is only limited on CNHS, the researchers will conduct a survey to

determine the relationship between Self-Regulated Learning Strategies and SHS Student's
Academic Achievement.

1.5 Research Objectives

The primary objective of this research is to examine the financial

literacy and money management of grade 12 HUMSS students of Calatrava

National High School.

Specific questions that the research aims to answer include:

R1: What is the demographic profile of students in terms of;

a) Age;

b) Gender;

c) Grade level/section; and

d) Weekly Allowance?

RQ2. What is the level of financial literacy among grade 12 HUMSS

students?

RQ3. What money management practices do these students exhibit?

RQ4. Is there a significant relationship between the students'

financial literacy and their money management practices?

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1.6 Hypothesis of the Study

Based from the statement of the problem, the indicated hypothesis

was tested:

Ho: There is no significant relationship between financial literacy and

money management among grade 12 HUMSS students.

1.7 Significance of the Study

The researchers believe that students of Senior High School of

CNHS would benefit from the findings of this study. Then, for them to be

aware about the financial literacy and money management practices of

students, which are crucial as they prepare to transition to higher education.

This is also worthwhile on parents, teachers, and future researchers.

Students. The results of this study will help students understand the

importance of financial literacy and its impact on their financial decision-

making.

Parents. This study will offer parents a clearer understanding of their

children's financial literacy levels and money management practices.

Teachers. Understanding the gaps in students' financial knowledge

and behaviors will enable educators to develop more effective curricula

and teaching strategies that address the specific needs of their students.
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Future researchers. The results of this study will serve as a valuable

reference for future researchers who are interested in exploring similar

topics.

1.8 Scope and Delimitations of the Study

This study focuses on assessing the financial literacy and money

management practices of grade 12 HUMSS students at Calatrava National

High School. This study will be conducted on the second semester of

academic year 2024-2025. The primary respondents will be the grade 12

HUMSS students enrolled during this period. The sample size of the

respondents will be selected using Slovin’s formula. The research method

that will be used is descriptive correlational method.

1.9 Definition of Terms

To understand the terms used in the study, the following terms were

hereby defined operationally:

Financial Literacy. Financial literacy refers to the knowledge and

understanding of financial principles and concepts, including budgeting,

saving, investing, and managing debt. In this study, it pertains to the

students' ability to make informed and effective financial decisions

(Remund, 2010).
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Money Management. Money management involves the process of

budgeting, saving, investing, spending, or otherwise overseeing the capital

usage of an individual or group. In this study, it specifically refers to how

grade 12 HUMSS students handle their personal finances, including their

habits and practices in managing their money (Lusardi & Mitchell, 2014).

Grade 12 HUMSS Students. These are students enrolled in the

Humanities and Social Sciences (HUMSS) strand in the 12th grade at

Calatrava National High School. They are typically in the final year of their

secondary education and are aged between 17 and 18 years old.

1.10 Synthesis of Review of Related Literature and Studies

This chapter presents a review of related literature and studies

relevant to financial literacy and money management. The review is

categorized into 12 subtopics: namely; Financial Literacy among Students,

Money Management Behaviors, Factors Influencing Financial Literacy,

Financial Literacy and Student Decision-Making, Integrating Financial

Literacy into School Curriculums, The Role of Early Financial Education,

Positive Financial Behaviors Stemming from Financial Literacy, Financial

Literacy as a Predictor of Financial Behavior, Financial Literacy and Well-

Being, The Impact of Financial Stress on Student Performance, Technology

and Financial Literacy, and Money Management, and Recent Studies and

Insights.
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Financial Literacy among Students

Financial literacy is increasingly recognized as a crucial skill for

young people as they transition into adulthood. According to Lusardi and

Mitchell (2014), financial literacy encompasses knowledge of basic financial

concepts such as interest rates, inflation, and risk diversification. Research

shows that students with higher levels of financial literacy are more likely to

make informed financial decisions. This is critical for grade 12 students who

are preparing for higher education or entering the workforce.

A study by Xiao and O’Neill (2016) found that consumer financial

education plays a vital role in enhancing financial capability, which in turn

influences financial behaviors. Their findings suggest that students who

receive financial education are more capable of managing their finances

effectively, which underscores the importance of integrating financial literacy

into school curricula.

Money Management Behaviors

Money management refers to the effective handling of one’s

finances, including budgeting, saving, and investing. Research by Mandell

(2009) highlights the impact of financial education on students' money

management skills, noting that students who receive financial education are

more likely to engage in positive financial behaviors such as saving and

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budgeting. This is particularly important for grade 12 HUMSS students as

they begin to manage their own finances more independently.

Lusardi (2019) further emphasizes the need for financial education to

improve money management skills among young adults, noting that those

with higher financial literacy are better equipped to navigate financial

challenges and avoid debt.

Factors Influencing Financial Literacy

Several factors contribute to the development of financial literacy

among high school students. Parental influence plays a significant role, as

demonstrated by LeBaron et al. (2020), who found that children's financial

literacy was positively correlated with their parents' financial behaviors and

attitudes.

Socioeconomic status also impacts financial literacy. Firli et al. (2020)

observed that students from higher-income families tended to have better

financial knowledge and skills compared to their peers from lower-income

backgrounds

Additionally, exposure to financial experiences can enhance financial

literacy. Grohmann and Menkhoff (2015) reported that students who had

part- time jobs or managed their own bank accounts demonstrated higher

levels of financial literacy.

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Financial Literacy and Student Decision-Making

Lusardi and Tufano (2015) emphasized the crucial role of financial

literacy in higher education, particularly in making informed decisions

regarding student loans. Their research found that students with higher

financial literacy are better at understanding the long-term impact of their

loan obligations, resulting in more strategic borrowing and repayment

behaviors. They argue that improving financial literacy among students is

essential to prevent excessive debt accumulation and financial strain post-

graduation.

Integrating Financial Literacy into School Curriculums

Brown et al. (2016) investigated the effects of embedding financial

literacy education into high school curriculums. Their findings suggest that

students who participate in financial education programs develop stronger

financial decision-making skills, particularly in budgeting and managing

everyday expenses. The study also found that financial literacy education

helps bridge the gap in financial knowledge between different

socioeconomic groups, making it a crucial tool for promoting financial equity.

The Role of Early Financial Education

Shim et al. (2015) focused on the role of early financial education in

shaping financial behavior during adolescence and early adulthood. Their

research showed that students who were introduced to financial concepts at

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a younger age, particularly through parental involvement or school

programs, displayed higher levels of financial capability. These students

were more likely to avoid financial pitfalls such as over drafting and high-

interest debt.

Positive Financial Behaviors Stemming from Financial Literacy

Xiao and Porto (2017) explored the relationship between financial

literacy and positive financial behaviors among young adults. Their study

found that students who received financial education were more likely to

engage in beneficial financial practices, such as regular saving and

thoughtful spending. The authors also highlighted that financial literacy is

linked to a reduction in impulsive financial decisions, which can lead to

better long-term financial stability.

Financial Literacy as a Predictor of Financial Behavior

A study by Mandell and Klein (2017) investigated how financial

literacy serves as a predictor of future financial behavior. They found that

students who demonstrate a higher understanding of financial concepts are

more likely to make prudent financial decisions, including setting financial

goals and maintaining a budget. This study underscores the importance of

enhancing financial education to promote better financial outcomes.

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Financial Literacy and Well-Being

Netemeyer et al. (2018) delved into the relationship between financial

literacy and overall financial well-being. Their study found that individuals

with higher financial literacy reported lower levels of financial stress and a

greater sense of financial control. This relationship is particularly significant

for students, as those who manage their finances effectively are less likely

to experience the adverse effects of financial stress, such as anxiety and

academic underperformance.

The Impact of Financial Stress on Student Performance

Britt et al. (2017) explored the impact of financial stress on students'

academic performance. Their findings revealed that students who struggle

with managing their finances tend to experience higher levels of stress,

which negatively affects their academic achievements. The study concluded

that improving students' financial literacy could alleviate financial stress,

thereby enhancing their academic performance and overall well-being.

Technology and Financial Literacy

Leveraging Technology for Financial Literacy: Drasch et al. (2020)

examined the role of technology in advancing financial literacy among

students. The study found that digital tools, such as financial management

apps and online educational platforms, significantly improved students'

understanding of financial concepts. These tools also provided students with

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practical skills in budgeting, saving, and tracking expenses, leading to better

financial outcomes. Ralston et al. (2016) highlighted the growing use of

gamification in financial literacy education. Their study showed that students

who participated in financial literacy games demonstrated improved

retention of financial concepts and were more likely to apply these concepts

in real-life situations.

Gamification was found to make financial education more engaging

and accessible, particularly for younger audiences.

Taft et al. (2017) explored the influence of social media on students'

financial literacy. Their study found that social media platforms can serve as

valuable tools for disseminating financial information and fostering

discussions about financial topics among students. The authors concluded

that integrating financial literacy content into social media could be an

effective way to reach and educate a broader audience of students.

Money Management: Recent Studies and Insights

Recent research emphasizes the critical role of effective money

management practices in promoting financial stability and well-being. A

study by Lusardi and Beeler (2021) highlights how young adults' ability to

manage their money effectively is linked to their financial outcomes later in

life. Their findings suggest that early intervention in money management

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education can lead to better financial health and reduced financial stress in

adulthood.

Additionally, research by Collins and O’Rourke (2022) underscores

the importance of practical money management skills, such as budgeting

and saving, in achieving long-term financial goals. Their study found that

students who develop these skills early on are more likely to maintain

financial stability and achieve financial independence.

Another significant contribution by Johnson and Sherraden (2023)

explores the impact of financial management tools and resources on

students' ability to handle their finances. Their research indicates that

access to digital tools and resources can significantly improve students'

money management practices and overall financial literacy.

These studies collectively reinforce the importance of integrating

comprehensive money management education into financial literacy

programs to equip students with the skills necessary for financial success.
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CHAPTER II

METHODOLOGY

This chapter presents the processes and procedures conducted in

relation to the study.

2.1 Research Design

A research design is the arrangement of conditions for collection and

analysis of data in a manner that aims to combine relevance to the research

purpose with economy in procedure.

This study will employ a non-experimental design; a method of

research in which researchers observe the phenomena as they occur

naturally and no external variables are introduced.

2.2 Research Method

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This study will use the descriptive correlational method of research

since its primary purpose is to determine the significant relationship between

the financial literacy and money management of grade 12 HUMSS students

of Calatrava National High School.

2.3 Research Locale and Time of the Study

This research study was conducted at Calatrava National High

School, San Roque, Calatrava, Romblon in the Second Semester of

academic year 2024 – 2025 as shown in the Figure 3.

Figure 3. Map Showing the Location of the School Covered in the Study.

2.4 Population and Samples of the Study

The samples will be taken is 111 out of 154 grade 12 HUMSS

students of Calatrava National High School. A total of 111 grade 12 HUMSS

students, using stratified random sampling under probability sampling.

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The table below shows the population and samples of the study.

Table 1. Distribution of the Participants of the Study

Section No. of Students Sample Size
Socrates 39 28
Pythagoras 40 29
Voltaire 38 28
Hierocles 37 26
TOTAL 154 111

2.5 Sampling Procedure

The samples of the study were chosen through stratified random

sampling under probability sampling. With a population size of 154, the

researchers will consider a sample of 111 respondents, determined using

Slovin’s formula for computing sample size with a five percent margin of

error.

2.6 Formulation of Research Instrument

The researchers will use a questionnaire as an instrument in

gathering data and information. This instrument is needed to determine the

relationship between the financial literacy and money management of grade

12 HUMSS students. The researchers also claim that questionnaire is

essential in this study.

2.7 Validation and Reliability of the Instrument

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The three experts who determined the validity of the instruments

were English and Math educators from Senior High School Department of

Calatrava National High School. The first validator is a MAED English

graduate and a Senior High School teacher in Department of Education.

Meanwhile, the second validator is a MAED Math graduate who handles

Practical Research 1 subject. Lastly, the third validator is a Math teacher

who earned MAED Math units who handles Statistics and Probability and

Practical Research 2 subject. Their comments, suggestions, and

recommendations were included in the final draft of the instruments.

2.8 Data Gathering Procedure

To collect the data needed in this study, the researchers will

undertake the following procedure.

Preparation. Before conducting the study, the researcher sought

permission from the School Principal to conduct the study. Then, the

researcher coordinated with the advisers of the chosen respondents to

secure permit to conduct the study.

Administration and Retrieval. Upon approval of the letter of the

principal, the researchers will personally distribute the questionnaire to the

respondents of the study to their respective classrooms and will be collected

afterwards for data processing and analysis.

2.9 Data Processing and Analysis

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In this study, the researchers will address the relationship between

financial literacy and money management of grade 12 HUMSS students

using the Statistical Package for Social Sciences (SPSS) program for

Percentage, Weighted mean, and Pearson r at 5% level of significance.

2.10 Statistical Tools to be Used

1. Percentage is used to determine the distribution of financial literacy

and money management among these students.

2. Weighted Mean is used to assess the financial literacy and money

management of grade 12 HUMSS students.

To interpret the financial literacy of grade 12 HUMSS students, the

following boundary of weighted mean with corresponding description are:

Weighted Mean (WM) Descriptive Interpretation (D)

4.51 – 5.0 Strongly Agree (SA)
3.51 – 4.50 Agree (A)
2.51 – 3.50 Neutral (N)
1.51 – 2.50 Disagree (D)
1.0 – 1.50 Strongly Disagree (SD)

To interpret the money management of grade 12 HUMSS students,

the following boundary of weighted mean with corresponding description

are:

Weighted Mean (WM) Descriptive Interpretation (D)

4.51 – 5.0 Always (A)
3.51 – 4.50 Often (O)
2.51 – 3.50 Sometimes (S)
1.51 – 2.50 Seldom (S)
1.0 – 1.50 Never (N)
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3. The Person r was used to determine whether there is a significant

relationship between financial literacy and money management of grade 12

HUMSS students.

2.11 Ethical Considerations of the Study

The study observed ethics in research. After the respondents are

selected, the objectives of the study were presented to the respondents.

The responses were treated with utmost confidentiality.

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CHAPTER III

RESULTS AND DISCUSSION

This chapter deals with the presentation, analysis and interpretation of

the data gathered in relation to the research problem.

1. Demographic Profile of the Respondents

This section describes and analyzes the respondent’s age, gender,

and grade level as presented below.

1.1 Age

Table 1. Distribution of Respondents in terms of Age

Age Frequency Percent
16 years old 3 2.7
17 years old 69 62.2
18 years old 27 24.3
19 years old 10 9.0
20 years old 2 1.8
Total 111 100

Table 1 shows the frequency of the students in terms of age. With 111

students, 2.7% (3) of the students aged 16 years old, 62.2% (69) aged 17
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years old, 24.3% (27) have an age of 18 years old, 9% (10) aged 19 and

1.8% (2) aged of 20 years old. This shows that majority of the respondents

have an age of 17 years old.

1.2 Gender

Table 2. Distribution of Respondents in terms of Gender

Gender Frequency Percent

Male 47 42.3
Female 64 57.7
Total 111 100

Table 2 reveals that there were more female respondents with a total

of 64 (57.7%) than male respondents with a total of 47 (42.3%).

1.3 Grade 12 HUMSS Section

Table 3. Distribution of Respondents in terms of Grade 12 HUMSS

Sections

Section Frequency Percent

Hierocles 26 23.4
Socrates 28 25.2
Voltaire 28 25.2
Pythagoras 29 26.1

Total 111 100

Table 3 presents the grade 12 section distribution of the respondents

in senior high school, with 26 respondents from Hierocles, 28 respondents

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from both Socrates and Voltaire, and 29 respondents from Pythagoras. It

shows that the majority of the respondents are from grade 12 Pythagoras.

1.4 Weekly Allowance

Table 4. Distribution of Respondents in terms of their Weekly

Allowance.

Weekly Allowance Frequency Percent

Less than 100 41 36.9
101-150 13 11.7
151-200 9 8.1
201-250 17 15.3
More than 250 31 27.9
Total 111 100

Table 4 presents the weekly allowance of the grade 12 HUMSS

respondents. It shows that majority of the respondents had a weekly

allowance of less than 100 among the other respondents.

2. Financial Literacy of Grade 12 HUMSS Students

The following tables with results and interpretation are gathered from

the evaluation instrument to access the financial literacy of grade 12 HUMSS

students of Calatrava National High School.

Table 5: Financial Literacy of Grade 12 HUMSS Students

STATEMENTS WM DI
1. I am able to distinguish between needs,
3.86
wants, and aspirations. Agree
2. I can provide examples of how a person's
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financial needs change throughout different 3.58 Agree

stages of their life.
3. Given a loan amount and interest rate, I can 3.40 Neutral
calculate the annual interest payable.
4. I can identify some of the factors that 3.47 Neutral
contribute to inflation.
5. I can determine the key features of a
financial product that are important to 3.68 Agree
consider when planning (e.g., APR).
6. I can create a monthly budget that 3.68 Agree
accurately reflects my cash flow.
7. I can formulate a financial action plan to 3.71 Agree
help me achieve my financial goals.
8. I am confident in my ability to categorize a 3.64 Agree
financial product according to its level of
risk, aiding in my evaluation of options.
9. I am confident that I can explain the roles of 3.50 Neutral
various types of financial advisors.
10. I am confident that I can describe how
different external economic factors affect 3.75 Agree
financial institutions.
Overall Weighted Mean 3.63 Agree

Table 5 presents the statements about the of financial literacy of grade

12 HUMSS students with its descriptive interpretation.

Financial Literacy. Findings reveal that the statements: I am able to

distinguish between needs, wants, and aspirations has a weighted mean of

(WM=3.86); I can provide examples of how a person's financial needs

change throughout different stages of their life has a weighted mean of

(WM=3.58); Given a loan amount and interest rate, I can calculate the

annual interest payable has a weighted mean of (WM=3.40); I can identify

some of the factors that contribute to inflation has a weighted mean of

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(WM=3.47); I can determine the key features of a financial product that are

important to consider when planning (e.g., APR) has a weighted mean of

(WM=3.68); I can create a monthly budget that accurately reflects my cash

flow has a weighted mean of (WM=3.68); I can formulate a financial action

plan to help me achieve my financial goals has a weighted mean of

(WM=3.71); I am confident in my ability to categorize a financial product

according to its level of risk, aiding in my evaluation of options has a

weighted mean of (WM=3.64); I am confident that I can explain the roles of

various types of financial advisors has a weighted mean of

(WM=3.50); I am confident that I can describe how different external

economic factors affect financial institutions has a weighted mean of

(WM=3.75).

The study found that students who answered "Agree" they can

distinguish between needs, wants, and aspirations (WM=3.86), and can

create monthly budgets that accurately reflect their cash flow (WM=3.68).

This is consistent with the study by Lusardi and Mitchell (2014), which

highlighted that individuals with a foundational understanding of financial

principles are better at identifying priorities and managing resources

effectively.

Regarding the statement, "I can formulate a financial action plan to

help me achieve my financial goals" (WM=3.71), this aligns with Montalto et

al. (2019), who found that structured financial education equips students with

the ability to set and achieve financial objectives.

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For the statement, "I am confident that I can describe how different

external economic factors affect financial institutions" (WM=3.75), Shim et al.

(2015) also concluded that financial education increases students’

awareness of how external factors such as inflation and interest rates

influence financial systems.

The overall weighted mean for the level of financial literacy is 3.63

with descriptive interpretation of agree. This indicates that the students had a

high level of financial literacy.

Table 6: Money Management of Grade 12 HUMSS Students

STATEMENT WM DI
1. I regularly monitor my expenses. 3.90 Often

2. I make and follow a budget. 3.68 Often

3. I save a portion of my money every month. 3.68 Often

4. I prioritize my needs over wants when Often
3.88
spending.
5. I pay my bills or debts on time. 3.52 Often
6. I avoid unnecessary spending to save
3.71
money. Often
7. I set financial goals for myself. 3.86 Often
8. I compare prices before making purchases. 3.92 Often
9. I keep track of my income and expenses. 3.91 Often
10. I plan ahead for future financial needs,
such as saving for emergencies or 4.07 Often
education.
Overall Weighted Mean 3.81 Often
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Table 6 presents the statements about the money management with

its descriptive interpretation.

Money Management. As reflected in table 6, findings reveal that the

statements: I regularly monitor my expenses has a weighted mean of

(WM=3.90); I make and follow a budget has a weighted mean of (WM=3.68);

I save a portion of my money every month has a weighted mean of

(WM=3.68); I prioritize my needs over wants when spending has a weighted

mean of (WM=3.88); I pay my bills or debts on time has a weighted mean of

(WM=3.52); I avoid unnecessary spending to save money has a weighted

mean of (WM=3.71); I set financial goals for myself has a weighted mean of

(WM=3.86); I compare prices before making purchases has a weighted

mean of (WM=3.92); I keep track of my income and expenses has a

weighted mean of (WM=3.91); I plan ahead for future financial needs, such

as saving for emergencies or education has a weighted mean of (WM=4.07).

The results revealed that students "Often" compare prices before

making purchases (WM=3.92) and monitor their expenses regularly

(WM=3.90). This finding aligns with Xiao and O’Neill (2016), who observed

that students with strong money management skills exhibit conscious

spending habits and prioritize monitoring their financial transactions.

Students in the study who answered "Often" save a portion of their

money every month (WM=3.68) and plan for future financial needs such as

emergencies or education (WM=4.07). Similarly, Farrell et al. (2016) found

 31

that goal-oriented financial planning, such as saving for emergencies, is a

key behavior among financially literate individuals.

For the statement, "I set financial goals for myself" (WM=3.86), the

study by Gudmunson and Danes (2016) emphasized the importance of

setting clear financial goals to develop discipline in managing resources, a

behavior reflected in students with sound financial literacy.

The overall weighted mean for the money management is 3.81 with

descriptive interpretation of often. This indicates that the students had a

better money management.

Test of Relationship between the Financial Literacy and Money

Management of Grade 12 HUMSS Students

Table 7. Pearson Correlation between Financial Literacy and Money

Management of Grade 12 HUMSS Students.

INDEPENDENT VARIABLE DEPENDENT VARIABLE

Financial Literacy Money Management
Pearson
.557
Correlation
Financial Literacy
Sig.(2-tailed) .000
N 111

Table 7 presented the Pearson correlation between the Financial

Literacy and Money Management of Grade 12 HUMSS Students of

Calatrava National High School.

 32

Financial Literacy. The Pearson correlation of .577 with the significant

of .000 expressed that there is a significant relationship between the financial

literacy and money management of grade 12 HUMSS students.

In the results, it implies that there is a significant relationship between

the financial literacy and money management of grade 12 HUMSS students

of Calatrava National High School. This indicates that as financial literacy

increases, students are more likely to demonstrate better money

management behaviors, such as budgeting, saving, and prioritizing needs

over wants.

This finding aligns with the research of Xiao and O’Neill (2016), who

concluded that individuals with higher financial literacy levels are more

capable of managing their finances effectively, as they tend to adopt

practices like setting financial goals, creating monthly budgets, and making

informed financial decisions. Financial literacy provides the foundational

knowledge needed to navigate complex financial situations, which, in turn,

fosters improved financial behaviors.

Additionally, Lusardi and Mitchell (2014) highlighted that financial

literacy equips individuals with the ability to evaluate financial risks,

understand key financial concepts (e.g., interest rates and inflation), and

make sound choices regarding savings and investments. These skills are

crucial for effective money management, supporting the idea that financial

knowledge positively influences practical financial behavior.

 33

The results validate the findings of Montalto et al. (2019), which

emphasized the role of financial education in enhancing young individuals’

ability to manage their finances, particularly in budgeting, controlling

spending, and saving for future goals. This underscores the importance of

incorporating financial literacy programs in educational settings to prepare

students for real-world financial challenges.

Additionally, research by Shim et al. (2015) has shown that financial

education positively influences not only financial knowledge but also practical

application, leading to better financial well-being. Proactive money

management behaviors, such as planning for future financial needs, tracking

expenses, and setting realistic financial goals, are often observed in

individuals with higher financial literacy levels.

Summary of the Study

The study was conducted in Calatrava National High School,

Barangay San Roque, Municipality of Calatrava Province of Romblon. This

study aimed to determine the significant relationship between the financial

literacy and money management of grade 12 HUMSS students of CNHS

during the school year 2024-2025.

Specifically, the investigation sought answers to the following

questions:

1. What is the demographic profile of the respondents in terms of:

a. Age;

b. Gender;
 34

c. Grade Level/Section; and

d. Weekly Allowance?

2. What is the level of financial literacy among grade 12 HUMSS

students?

3. What money management practices do these students exhibit? and

4. Is there a significant relationship between the students' financial

literacy and their money management practices?

Descriptive-correlation method of research was employed in this

study. A total of 111 grade 12 HUMSS Students of Calatrava National High

School served as the respondents of the study.

Data was collected through a questionnaire. It was analyzed using the SPSS

software for more accurate results.

Findings

1. Findings revealed that the majority of the students are 17 years old,

with 62.2% of the total respondents, and are female, comprising 57.7% of the

population. The grade 12 HUMSS section Pythagoras had the highest

number of respondents with 29 students (26.1%). The weekly allowance of

the majority of the students was less than ₱100 (36.9%), indicating limited

financial resources.

2. Findings showed that the financial literacy of the grade 12 HUMSS

students is high, with an overall weighted mean of 3.63, interpreted as

"Agree." Students displayed confidence in distinguishing between needs and

 35

wants and creating monthly budgets but had neutral responses regarding

complex financial calculations such as interest rates and inflation.

3. The money management of the grade 12 HUMSS students is often

practiced, as reflected in the overall weighted mean of 3.81, interpreted as

"Often." Students regularly monitor expenses, save a portion of their money,

and plan ahead for future financial needs.

4. There is a significant positive relationship between financial literacy

and money management, as indicated by the Pearson correlation coefficient

of r = 0.577 (p < 0.01). This demonstrates that students with higher financial

literacy are better at managing their money.

Conclusions

Based on the findings of the study, the following conclusions were drawn:

1. The majority of the grade 12 HUMSS students are 17 years old and

female. Most of them come from the Pythagoras section and have limited

financial resources, as evidenced by their weekly allowance of less than

₱100.

2. The grade 12 HUMSS students have a high level of financial literacy,

particularly in creating budgets, setting financial goals, and understanding

financial products. However, their ability to handle advanced financial

concepts like interest rate calculation and inflation is less developed.

3. The students display strong money management practices, such as

monitoring expenses, saving money, and planning for future financial needs.

Financial literacy significantly influences money management behaviors.

 36

Students with better financial knowledge demonstrate stronger financial

habits, supporting the idea that financial education is critical in improving

money management skills.

4. There is a significant relationship between the financial literacy and

money management of grade 12 HUMSS students of Calatrava National

High School.

Recommendations

In the light of the principal findings and conclusions, the following

recommendations are hereby offered:

1. Parents should actively discuss financial matters with their children and

provide guidance on budgeting and saving. Encouraging financial

responsibility at home can complement the school’s financial literacy efforts.

2. Students are encouraged to continue practicing strong money

management habits, such as tracking expenses and setting financial goals,

while seeking opportunities to expand their understanding of advanced

financial concepts.

3. For school, integrate financial literacy programs into the curriculum to

enhance students’ knowledge of advanced financial topics, such as inflation,

interest rates, and financial products. This will provide them with the skills

needed to handle more complex financial situations

4. Future studies can explore the relationship between financial literacy,

money management, and other variables such as academic performance,

 37

family income, or access to financial education resources. Expanding the

scope of the research may reveal additional insights into how financial

behaviors develop among students.

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 41

APPENDICES

Appendix A
LETTER OF PERMISSION

CALATRAVA NATIONAL HIGH SCHOOL

San Roque, Calatrava, Romblon

October 28, 2024

JOB F. MALLORCA
Principal I
Calatrava National High School
San Roque, Calatrava, Romblon

Sir:

Greetings!

We are writing to seek your permission to conduct our research study

titled "Financial Literacy and Money Management Among Grade 12 HUMSS
 42

Students in Calatrava National High School" at Calatrava National High

School. This study is a requirement for the completion of our Senior High
School Program under the Academic Track – Humanities and Social
Sciences Strand.

We are hoping for your positive approval for this request.

Thank you very much.

Respectfully yours,
PRINCE FAJUTAGANA
AVRILLE GEM FAMINI
JOHN LOIYD MANZO
MARK FACTOR
Researchers
Noted:

(SGD) MARICAR R. FRANCISCO

Adviser

(SGD) NOEMI GAY M. FADRIQUELAN

Senior High School Coordinator

Approved:

(SGD) JOB F. MALLORCA

Principal
Appendix B
LETTER OF REQUEST

CALATRAVA NATIONAL HIGH SCHOOL

San Roque, Calatrava, Romblon

October 28, 2024

NOEMI GAY M. FADRIQUELAN

Senior High School Department
Calatrava National High School
San Roque, Calatrava, Romblon

Madam:

Greetings!

We are currently conducting a research study titled "Financial Literacy

and Money Management Among Grade 12 HUMSS Students in Calatrava
National High School" as part of our academic requirements. This study will
 43

utilize a descriptive correlational research design to assess students'

financial literacy and its relationship to money management practices.

In this connection, we would like to ask your permission to allow us to

conduct our study with senior high school students and distribute a survey
questionnaire to them on the scheduled date and time.

We are hoping for your good and kind consideration.

Thank you very much.

Respectfully yours,
PRINCE FAJUTAGANA
AVRILLE GEM FAMINI
JOHN LOIYD MANZO
MARK FACTOR
Researchers
Noted:

(SGD) MARICAR R. FRANCISCO

Adviser

Approved:

(SGD) NOEMI GAY M. FADRIQUELAN

Senior High School Coordinator
Appendix C
QUESTIONNAIRE FOR THE RESPONDENTS

“FINANCIAL LITERACY AND MONEY MANAGEMENT AMONG GRADE

12 HUMSS STUDENTS OF CALATRAVA NATIONAL HIGH SCHOOL”

Dear respondents:
The researcher is currently conducting research regarding “Financial
Literacy and Money Management Among Grade 12 HUMSS Students of
Calatrava National High School”.
The results of this study will be presented in summary form and
individual responses will be kept confidential. I would, therefore, highly
appreciate if you could complete this questionnaire and return at your earliest
convenience.

Thank you for your cooperation.

The Researchers
 44

PART I. DEMOGRAPHIC PROFILE

Name (Optional): ___________Sex (Please Check): ____ Male____ Female

Age_________ Grade Level/Section: ________________________
Weekly Allowance: (Please Select one)
o Less than ₱100
o ₱101-150
o ₱151 - ₱200
o ₱201 - ₱250
o More than ₱250

PART II. FINANCIAL LITERACY (PISA 2022 Assessment and Analytical

Framework by Prevett, 2020)
Directions: Please indicate how much you agree or disagree with the
following statements regarding financial literacy using the scale provided.

5 4 3 2
5 4 3 12 1

Strongly Agree Neutral Disagree Strongly

Agree Disagree
Financial Literacy Areas
1. I am able to distinguish between needs,
wants, and aspirations.
2. I can provide examples of how a person's
financial needs change throughout different
stages of their life.
3. Given a loan amount and interest rate, I can
calculate the annual interest payable.
4. I can identify some of the factors that
contribute to inflation.
5. I can determine the key features of a financial
product that are important to consider when
planning (e.g., APR).
6. I can create a monthly budget that
accurately reflects my cash flow.
7. I can formulate a financial action plan to help
me achieve my financial goals.
 45

8. I am confident in my ability to categorize a

financial product according to its level of risk,
aiding in my evaluation of options.
9. I am confident that I can explain the roles of
various types of financial advisors.
10. I am confident that I can describe how
different external economic factors affect
financial institutions.

Adapted from: Dew, J., & Xiao, J. J. (2011). The Financial Management
Behavior Scale: Development and Validation. Journal of Financial
Counseling and Planning, 22(1), 43-59.
https://www.afcpe.org/assets/pdf/Journal/2011-Volume-22-Issue-1/Dew-
Xiao-FinancialManagement-Behavior.pdf

PART III. MONEY MANAGEMENT (Money Management Behavior Scale

(MMBS), developed by Dew and Xiao, 2011)
Directions: Please indicate how often you perform the following money
management behaviors using the scale provided.
5 4 3 2 1

Always Often Sometimes Seldom Never

Statements 5 4 3 2 1
1. I regularly monitor my expenses.
2. I make and follow a budget.
3. I save a portion of my money every month.
4. I prioritize my needs over wants when spending.
5. I pay my bills or debts on time.
6. I avoid unnecessary spending to save money.
7. I set financial goals for myself.
8. I compare prices before making purchases.
9. I keep track of my income and expenses.
10. I plan ahead for future financial needs, such as
saving for emergencies or education.

Adapted from: Prevett, P. S. (2020). A situated learning approach to

measuring financial literacy self-efficacy (pp. 19-22).
https://files.eric.ed.gov/PDF/
 46

________________________

Signature of Respondent

APPENDIX D
MS EXCEL – GENERATED COMPUTATION RESULTS

Correlations

WA

FLMEAN Pearson Correlation

.204*

Sig. (2-tailed)
.032

N
111

MMMEAN Pearson Correlation

.269**

Sig. (2-tailed)
.004

N
111

VAR00027 Pearson Correlation

.270**

Sig. (2-tailed) .004

 47

N
111

*. Correlation is significant at the 0.05 level (2-tailed).

**. Correlation is significant at the 0.01 level (2-tailed).

Descriptive Statistics
Std.
N Minimum Maximum Mean Deviation
FLMEAN 111 1.40 5.00 3.6252 .60053
MMMEAN 111 1.80 5.00 3.8144 .66508
VAR00027 111 1.75 5.00 3.7198 .55854
Valid N
111
(listwise)

Descriptive Statistics
Std.
N Minimum Maximum Mean Deviation
MM1 111 1.00 5.00 3.9009 .96252
MM2 111 1.00 5.00 3.6847 .95329
MM3 111 1.00 5.00 3.6757 1.06312
MM4 111 1.00 5.00 3.8829 .92184
MM5 111 1.00 5.00 3.5225 1.06042
MM6 111 1.00 5.00 3.7117 .99442
MM7 111 1.00 5.00 3.8649 1.14007
MM8 111 1.00 5.00 3.9189 .99211
MM9 111 1.00 5.00 3.9099 .99590
MM10 111 1.00 5.00 4.0721 .94110
MMMEAN 111 1.80 5.00 3.8144 .66508
Valid N
111
(listwise)

Descriptive Statistics
Std.
N Minimum Maximum Mean Deviation
FL1 111 1.00 5.00 3.8559 .84042
FL2 111 1.00 5.00 3.5766 .91998
FL3 111 1.00 5.00 3.3964 1.08945
FL4 111 1.00 5.00 3.4685 .87199
 48

FL5 111 1.00 5.00 3.6847 .86321

FL6 111 1.00 5.00 3.6757 .94544
FL7 111 1.00 5.00 3.7117 .91837
FL8 111 1.00 5.00 3.6396 .97041
FL9 111 1.00 5.00 3.4955 .96176
FL10 111 1.00 5.00 3.7477 .92901
FLMEAN 111 1.40 5.00 3.6252 .60053
Valid N
111
(listwise)

Statistics
Sex Age Section WA
N Valid 111 111 111 111
Missing 0 0 0 0
Mean 1.5766 17.4505 2.5405 2.8559

Frequency Table
Sex
Valid Cumulative
Frequency Percent Percent Percent
Valid MALE 47 42.3 42.3 42.3
FEMALE 64 57.7 57.7 100.0
Total 111 100.0 100.0

Age
Cumulative
Frequency Percent Valid Percent Percent
Valid 16 3 2.7 2.7 2.7
17 69 62.2 62.2 64.9
18 27 24.3 24.3 89.2
19 10 9.0 9.0 98.2
20 2 1.8 1.8 100.0
Total 111 100.0 100.0
 49

Section
Frequenc Valid Cumulative
y Percent Percent Percent
Valid HIEROCLES 26 23.4 23.4 23.4
SOCRATES 28 25.2 25.2 48.6
VOLTAIRE 28 25.2 25.2 73.9
PYTHAGOR
29 26.1 26.1 100.0
AS
Total 111 100.0 100.0

WA (Weekly Allowance)
Frequency Percent
Valid
Less than
41 36.9
100
101-150 13 11.7
151-200 9 8.1
201-250 17 15.3
More than
31 27.9
250
Total 111 100.0

builds confidence, and equips learners with skills such as goal-setting, time
management, and self-reflection—all of which are crucial for sustained
academic performance. However, despite its proven benefits, many
 50

students still struggle with managing their learning effectively, especially in

public school settings where resources and guidance may be limited. At
Calatrava National High School, SHS students face a range of challenges,
from adjusting to specialized tracks to balancing academic and personal
responsibilities. Understanding how well they utilize self-regulated learning
strategies—and how these strategies influence their academic performance
—is essential for developing effective interventions and support systems.
This study is grounded in the need to explore and promote SRL among SHS
students as a catalyst for academic achievement. By identifying which
strategies are most commonly used and most effective, the research aims to
contribute to improved teaching practices, better learning outcomes, and a
more empowered generation of learners who are ready to face future
academic and life challenges