Personal Financial Management Practices of Secondary Educators in the National Capital Region

Abstract

The study aims to assess the level effectiveness of the personal financial management practices of secondary educators in the National Capital Region. A descriptive method of research was employed to the study in determining the effectiveness of financial management practices of the respondents. Respondents were composed of 410 secondary educators of different schools in Metro Manila. There are 5 aspects used in the study to determine the level of effectiveness of personal financial management of the respondents such as Savings, Financial Investment, Business Investment, Career Development and Risk Management. All of the aspects resulted to be in effective except for Financial Investment and Business Investment which the study showed to be somewhat effective. The study also noted several significant differences in terms of age, sex, civil status, highest educational attainment, average monthly income, number of years in teaching experience and type of school employed at which affected the assessment on the Financial Management Practices of the Secondary educators. The study concluded that a strong background in financial literacy totally affects the level of effectiveness on teachers’ personal financial management practices. Based on the data gathered and discovered from the study, the researcher recommends that financial literacy seminars, trainings or workshops should be conducted on continuing or cyclical basis that will cover the aspect on how to invest their money wisely in different financial instruments available in the market. Furthermore, the researcher recommends that the teachers should seek professional growth because of the fact that one of the most important factors that contribute to their career advancement, as savings and investment has a direct relationship with individual’s income. Moreover, the researcher recommends that teachers should start saving and investing at their early age to achieve financial freedom in a long run and be prepared during their retirement. Additionally, the researcher recommends that teachers should enhance their saving habits and avoid teachers’ loans and weigh the amount of interest they are paying on different loans they have. Lastly, the researcher recommends that teachers should learn different avenues on how to earn additional income using their available skills and capabilities such as online services, retailer, caterer or stocks investing.