The Financial Management Practices on Savings of Young Urban Professionals in the National Capital Region

Abstract

The study aimed to assess the effectiveness of the financial management practices on savings of young urban professionals in the National Capital Region. The researcher utilized the quantitative method of research. The respondents were the 386 young urban professionals in the National Capital Region. A survey questionnaire was the primary tool used in this study. The respondents assessed their financial management practices on savings in terms of “Planning” and “Control” of funds as “Effective.” The researcher concluded that the profile of the respondents such as age, sex, civil status, highest educational attainment, and job position level did not significantly affect their assessments on the effectiveness of their financial management on savings in terms of planning and control of funds since there were no significant differences noted when they were grouped according to these profiles. However, when the respondents were grouped according to their average monthly income for the last two years, their assessments on the effectiveness of their “Planning of Funds” differed significantly while their assessments of the efficacy of their “Control” of funds were statistically the same. The young urban professionals shall also venture into businesses such as small manufacturing, retail, or professional firms. They should timely review the financial and operational status of their investment institutions; search for additional sources of income such as part-time jobs, small-time businesses and the like; place their savings to other investment vehicles; and always do proper research and analysis before investing; study first before investing; do background checking, read market updates, seek experts’ advice and still have back-up plans in case unexpected contingencies occur.