Improving financial wellbeing in Indonesia: the role of social media as a mediating factor in financial behavior

This research examines the impact of an external locus of control, financial literacy, financial self-efficacy, an internal locus of control, and social media on financial well-being, focusing on the mediating role of financial behavior. Financial wellbeing can be improved by reducing the external l...

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Main Authors: Taufik Faturohman, Tarada Berlian Megananda, Henndy Ginting
Format: Article
Language:English
Published: Taylor & Francis Group 2024-12-01
Series:Cogent Social Sciences
Subjects:
Online Access:https://www.tandfonline.com/doi/10.1080/23311886.2024.2319374
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author Taufik Faturohman
Tarada Berlian Megananda
Henndy Ginting
author_facet Taufik Faturohman
Tarada Berlian Megananda
Henndy Ginting
author_sort Taufik Faturohman
collection DOAJ
description This research examines the impact of an external locus of control, financial literacy, financial self-efficacy, an internal locus of control, and social media on financial well-being, focusing on the mediating role of financial behavior. Financial wellbeing can be improved by reducing the external locus of control, increasing individual financial self-efficacy and financial literacy, and using social media appropriately. Furthermore, the importance of financial behavior is emphasized by the indirect effects of external locus of control, financial literacy, financial self-efficacy, and social media on financial wellbeing. The study features an online survey questionnaire with 438 respondents. The relationships were investigated using PLS-SEM. According to the study’s findings, financial influencers are social media data variables that significantly affect financial behavior. These findings can assist policymakers, and business leaders in understanding the most influential factors affecting Indonesia’s financial wellbeing. Furthermore, the Indonesian government encourages the younger generation to improve its literacy index through public financial education. Research into financial wellbeing is critical because it aligns with the government’s goal of improving the stability and health of the population’s finances. Individuals can maintain financial control, allowing them to meet financial goals, manage unexpected expenses during emergencies, deal with financial problems, and enjoy life.
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spelling doaj-art-1ac400d7d8564cf7b84ff6fde770a9da2025-08-20T03:44:11ZengTaylor & Francis GroupCogent Social Sciences2331-18862024-12-0110110.1080/23311886.2024.2319374Improving financial wellbeing in Indonesia: the role of social media as a mediating factor in financial behaviorTaufik Faturohman0Tarada Berlian Megananda1Henndy Ginting2School of Business and Management, Institut Teknologi, Bandung, IndonesiaSchool of Business and Management, Institut Teknologi, Bandung, IndonesiaSchool of Business and Management, Institut Teknologi, Bandung, IndonesiaThis research examines the impact of an external locus of control, financial literacy, financial self-efficacy, an internal locus of control, and social media on financial well-being, focusing on the mediating role of financial behavior. Financial wellbeing can be improved by reducing the external locus of control, increasing individual financial self-efficacy and financial literacy, and using social media appropriately. Furthermore, the importance of financial behavior is emphasized by the indirect effects of external locus of control, financial literacy, financial self-efficacy, and social media on financial wellbeing. The study features an online survey questionnaire with 438 respondents. The relationships were investigated using PLS-SEM. According to the study’s findings, financial influencers are social media data variables that significantly affect financial behavior. These findings can assist policymakers, and business leaders in understanding the most influential factors affecting Indonesia’s financial wellbeing. Furthermore, the Indonesian government encourages the younger generation to improve its literacy index through public financial education. Research into financial wellbeing is critical because it aligns with the government’s goal of improving the stability and health of the population’s finances. Individuals can maintain financial control, allowing them to meet financial goals, manage unexpected expenses during emergencies, deal with financial problems, and enjoy life.https://www.tandfonline.com/doi/10.1080/23311886.2024.2319374Financial wellbeingfinancial behaviorsocial mediaKomalsingh Rambaree, Social Work and Criminology, University of Gävle, Gävle, SwedenEconomic PsychologyEconomics
spellingShingle Taufik Faturohman
Tarada Berlian Megananda
Henndy Ginting
Improving financial wellbeing in Indonesia: the role of social media as a mediating factor in financial behavior
Cogent Social Sciences
Financial wellbeing
financial behavior
social media
Komalsingh Rambaree, Social Work and Criminology, University of Gävle, Gävle, Sweden
Economic Psychology
Economics
title Improving financial wellbeing in Indonesia: the role of social media as a mediating factor in financial behavior
title_full Improving financial wellbeing in Indonesia: the role of social media as a mediating factor in financial behavior
title_fullStr Improving financial wellbeing in Indonesia: the role of social media as a mediating factor in financial behavior
title_full_unstemmed Improving financial wellbeing in Indonesia: the role of social media as a mediating factor in financial behavior
title_short Improving financial wellbeing in Indonesia: the role of social media as a mediating factor in financial behavior
title_sort improving financial wellbeing in indonesia the role of social media as a mediating factor in financial behavior
topic Financial wellbeing
financial behavior
social media
Komalsingh Rambaree, Social Work and Criminology, University of Gävle, Gävle, Sweden
Economic Psychology
Economics
url https://www.tandfonline.com/doi/10.1080/23311886.2024.2319374
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