MONEY MANAGEMENT BEHAVIOR AND SPENDING

BEHAVIOR AMONG WORKING PROFESSIONALS

Undergraduate Thesis
Submitted to the Faculty of the
Department of Management
Cavite State University-Silang Campus
Biga I, Silang Cavite

In partial fulfillment
of the requirements for the degree of
Bachelor of Science in Business Management
Major in Financial Management

DERLA, JUSTINE M.
SAMBRANO, MARIE JOY A.
TOLEDO, MISSY FATE R.
VIDEÑA, JOZXA LOVIE

JANUARY 2023
Statement of the Problem

Generally, this study aims to ascertain the relationship between money

management behavior and spending behavior of working professionals in Silang, Cavite.

Specifically, it seeks to answer the following specific questions:

1. What is the sociodemographic profile of the working professional that resides in

Silang, Cavite in terms of their:

a) sex;

b) age;

c) occupation;

d) monthly income; and

e) monthly expenses?

2. What is the level of money management behavior of the working professionals in

Silang Cavite in terms of:

a) behavioral attitude;

b) subjective norms; and

c) perceived behavioral control?

3. What is the level of spending behavior of the working professionals in Silang

Cavite in terms of:

a) psychological factor;

b) personal factor; and

c) social factor?

4. Is there any significant relationship between money management behavior and

spending behavior of the working professionals in Silang, Cavite?

This chapter describes how the data for this study will be collected and analyzed

using statistical analysis to determine the overall validity and reliability of the study. This

chapter includes and explains the study's design, data sources, study respondents,

sampling technique, data gathering, and statistical treatment of data for the study. The

researcher designed a methodology to solve the research problem as it answers regarding

why a research study was conducted and how the research problem has been defined.

Research Design

In this study, the researchers will use a quantitative approach to examine and

describe the relationship between money management behavior and spending behavior,

specifically a Descriptive Correlational Research Design. According to Thompson Rivers

University (2022), the descriptive research method is used to create a snapshot of the

current state of affairs, and provides a reasonably complete picture of what is occurring at

a certain time. Additionally, descriptive research aims to accurately and systematically

describe a population, situation or phenomenon (McCombes, 2022). Descriptive variables

describe the variables that were used to predict the money management behavior and

spending behavior of professional workers in Silang, Cavite.

On the other hand, the correlational research design examines the link between

two or more variables without the researcher altering or manipulating them (Copeland,

2022). As stated in Formplus Blog (2022), correlational research is a form of research

method in which two variables are observed in order to establish a statistically significant
relationship between them. The goal of correlational research is to identify variables that

are related in such a way that a change in one creates a change in the other. This design is

appropriate for the study to determine if there is a significant relationship between money

management behavior and spending behavior of professional workers in Silang, Cavite.

Respondents

The town of Silang in Cavite will serve as the location for the study. The

respondents should be a professional worker who resides in Silang, Cavite. Respondents

will be selected among those who match the standards and criteria established by the

researchers. These qualifications may include being a professional worker who resides in

Silang, Cavite. The total sample size in this study will be 200.

Sampling Technique

This study will utilize convenience sampling technique. Convenience sampling is

a method of collecting samples by taking samples that are conveniently located around a

location or Internet service (Edgar, T.W. & Manz, D.O., 2017). According to Simkus

(2022), convenience sampling, also known as accidental sampling or grab sampling, is a

non-probability sampling method in which researchers choose their sample solely for

convenience. This sampling technique will be utilized since there is a large size of

population and there are the restrictions brought by Using convenient sampling, the

researchers will recruit respondents by simply asking random professional workers in

Silang, Cavite on the internet if they are willing to participate in the study to represent the

entire population of Silang, Cavite. The researchers who will look for respondents in the
internet will distribute the link to the survey questionnaire via Facebook for people to

respond via Google Forms.

Data to be gathered

The researchers will adapt a questionnaire for the research instrument, which is the

four dimensions of the Money Attitude Scale, and it will undergo validity, pilot testing,

and reliability testing. Four dimensions of the Money Attitude Scale were used to measure

money attitude (MAS). Four dimensions—power/prestige, retention time, distrust, and

anxiety—make up the Kent T. Yamauchi and Donald I. Templer (1982). The MAS is a

29-item money attitude measuring scale that has received empirical validation. The

researchers will use a 5-point Likert scale with the adapted questionnaire. Further, the

researchers will send the survey questionnaire link via Facebook Messenger and email to

the selected individuals who meet the criteria, alongside the informed consent and matrix

of the study. The mentioned survey form consists of 4 parts: informed consent, the study

matrix (demographic profile), and the adapted questionnaire containing the 5-point Likert

scale for the mentioned variables: money management behavior and spending behavior of

working professionals in Silang, Cavite.

The adapted questionnaire will initially be shown to the thesis supervisor and

psychometrician for reliability testing. to guarantee that the questions in the questionnaire

are relevant to the researchers' study. This will help to increase the integrity of the

respondents and eliminate confounding variables. Particularly, the questionnaire will

include the following parts: Part I. Consent Form, Part II. Demographic Profile of the
Respondents, and Part III. Adapted Questionnaire. Positive and negative items will be

scored in the degree as follows;

Sentiment level of positive items of statements

1 - Strongly Disagree, the respondent never experiences the said statement.

2 - Disagree, the said statement occurs irregularly to the respondent

3 - Neutral, statement is neither disagree or agree

4 - Agree, the said statement regularly happens to the respondent

5 - Strongly Agree, the said statement continually happens to the respondent

Sentiment level of negative items of statements

5 - Strongly Disagree, the said statement never happens to the respondent

4 - Disagree, the said statement irregularly happens to the respondent

3 - Neutral, statement is neither disagree or agree

2 - Agree, the said statement regularly happens to the respondent

1 - Strongly Agree, the said statement continually happens to the respondent

Scale Mean Range Agreement

1 4.21 – 5.00 Strongly Agree

2 3.41 – 4.20 Agree

3 2.21 – 3.40 Neutral

4 1.81 – 2.20 Disagree

5 1.00 – 1.80 Strongly Disagree

Statistical Treatment of Data

To measure and analyze the data, the researchers used statistical techniques such

as mean, standard deviation, and Pearson's correlation coefficient.

Mean. The results are totaled and divided by the sum of the weights to obtain the overall

average. This is a statistical tool used to determine the central location of a random

variable's distribution.

Formula:

Where:

x= Mean

x= Represent the value of each item

n= Total number of respondents

Standard Deviation. This will be used to calculate the amount of data variability or

dispersion around an average. This is a statistical tool for determining how dispersed data

is in relation to the mean.

Formula:
 Where:

x= Values given

x= Mean

n= Total number of values

Pearson r Correlation. This is a statistical tool used to calculate the correlation between

two linearly related variables.

Formula: