“AN EXPLORATORY STUDY OF FINANCIAL

LITERACY AMONG SENIOR HIGH SCHOOL

Practical Research: 1

ABM 11

January, 12, 2026

GROUP: 1

Cabangunay Earl Dheniel

Abanceña Aljean

Mabanan Geraldine

Pelagio Alexa Angel

Rago Michael
 Chapter 1

Introduction:

In today’s increasingly digital and interconnected economy, individuals are expected to make complex
financial decisions that influence their present needs and long-term security. The growing use of electronic
payments, online banking, and credit services has intensified the importance of financial literacy as a core
life skill. Financial literacy refers to the knowledge and ability to understand and apply fundamental
financial concepts such as budgeting, saving, spending, and debt management in everyday life. Recent
studies emphasize that financial literacy is essential for promoting financial well-being and economic
resilience, particularly among young people preparing for adulthood (Lusardi, 2019).

Empirical research conducted in the past decade indicates a strong relationship between financial literacy
and responsible financial behavior. Students with higher financial literacy levels are more likely to
demonstrate positive money management practices, including controlled spending, regular saving, and
financial planning. Conversely, low financial literacy is associated with poor budgeting skills, impulsive
spending, and financial vulnerability (Xiao & O’Neill, 2016). These findings highlight the need to
strengthen financial education during secondary schooling, when students begin to manage allowances and
make independent financial choices.

Senior high school students are a crucial population for financial literacy research because they are
transitioning toward higher education, employment, or entrepreneurship. However, international and local
assessments reveal that many students struggle to apply financial knowledge to real-life situations despite
formal instruction (Organisation for Economic Co-operation and Development [OECD], 2018). In this
context, the present study explores the financial literacy of senior high school students at Motiong National
High School, with the goal of identifying their level of financial knowledge, attitudes, and behaviors to
support the development of effective, school-based financial education initiatives.
 Background

Financial literacy has become a growing concern among educators, policymakers, and researchers due to its
strong influence on individuals’ financial well-being and life outcomes. It goes beyond familiarity with
financial terms and includes the ability to apply financial knowledge in managing personal finances, making
informed decisions, and planning for future needs. Recent studies emphasize that financial literacy is a key
component of financial well-being and economic participation, especially in an era characterized by digital
financial services and increasing financial complexity (Lusardi, 2019).

Despite its importance, evidence suggests that financial literacy levels remain relatively low among young
people worldwide. Many adolescents lack a practical understanding of essential financial concepts such as
budgeting, saving, and responsible spending, which may expose them to financial difficulties later in life.
Research has shown that students with limited financial literacy are more vulnerable to poor financial
behaviors, including impulsive spending and inadequate financial planning (OECD, 2018). These findings
highlight the urgency of strengthening financial education during the secondary school years.

Schools play a critical role in developing students’ financial capability, as they provide structured and
equitable access to financial education. Studies indicate that school-based financial education programs can
positively influence students’ financial knowledge, attitudes, and behaviors when appropriately designed
and implemented (Xiao & O’Neill, 2016). Integrating practical financial lessons into the curriculum allows
students to develop skills that are directly applicable to real-life financial situations.

In the Philippine context, recent reports and studies reveal persistent gaps in financial literacy among youth,
despite efforts to integrate financial education into the school system. National and local findings suggest
that many students still struggle to translate financial knowledge into effective financial behavior,
underscoring the need for context-specific assessments at the school level (Gabay et al., 2024). Examining
the financial literacy of senior high school students at Motiong National High School is therefore timely and
necessary to identify existing strengths and gaps that may guide targeted educational interventions.

Statement Of The Problem

Financial literacy skills are a common requirement for every ABM student. Budgeting, saving, emergency
funds, understanding credit and debt, and money management tools are expected skills for students in the
ABM strand. However, nowadays, only a few students have any knowledge about financial literacy.
This study aims to explore the level of financial literacy among ABM students at Motiong National High
School, why some students lack familiarity with financial literacy, and to address the problems that make it
difficult for them to acquire such knowledge. Specifically, it seeks to answer the following questions.

1. What attitudes and behaviors do students exhibit in terms of spending, saving, and managing money?
2. What challenges do ABM students encounter in learning financial literacy concepts such as
budgeting and saving?
3. What strategies can be proposed to improve the financial literacy of ABM students?
4. What are the common misconceptions ABM students have about financial literacy?
5. What is the level of financial literacy among ABM students at Motiong National High School?

Significance Of The Study

This study is significant because it addresses the growing need for financial literacy among senior high
school students, particularly those in the ABM strand at Motiong National High School, by examining
students’ financial knowledge, attitudes, and behaviors. The research will provide valuable insights that can
benefit various stakeholders.

For ABM Students, the findings of this study will help them become more aware of their current level of
financial literacy, including their strengths and weaknesses in budgeting, saving, spending, and money
management. Increased awareness can encourage students to develop responsible financial habits, correct
misconceptions about financial concepts, and improve their preparedness for future financial responsibilities
in college, work, or entrepreneurship.

For Teachers and School Administrators, the results will serve as a basis for improving teaching strategies
and integrating more practical, relevant financial literacy lessons into the ABM curriculum. Understanding
the challenges students face in learning financial concepts will allow educators to design classroom
activities, projects, and discussions that are more engaging and accurate with students’ real-life financial
experiences.

For Parents and Guardians, the study can highlight the importance of parental involvement and guidance in
shaping students’ financial attitudes and behaviors. Awareness of common challenges and misconceptions
may encourage families to take a more active role in discussing money management and financial
responsibility at home.
For Future Researchers, this research may serve as a reference for related studies on financial literacy among
senior high school students. It can provide a foundation for further investigations into effective teaching
methods, intervention programs, or comparative studies across different schools or strands.

Overall, this study contributes to the goal of developing financially literate and responsible young
individuals. By identifying gaps and proposing strategies for improvement, the research supports efforts to
equip ABM students with the knowledge and skills necessary to make informed financial decisions and
achieve long-term financial stability.

Scope of the Study

This research examines the level of financial literacy among Senior High School students at Motiong
National High School. It aims to assess their knowledge, attitudes, and practices in areas such as saving,
budgeting, responsible spending, understanding basic financial terms, and making simple financial
decisions.

The study will gather information using survey questionnaires and brief interviews. It will assess how well
students understand everyday financial concepts, how they manage their allowance or personal finances, and
how confident they are when making financial decisions.

The research covers only the current financial literacy level of SHS students and does not include Junior
High School students, school staff, parents, or students from other schools. It also focuses only on basic
financial concepts and does not include advanced financial topics such as investing, loans, taxes, or
entrepreneurship.

Overall, this study limits its investigation to the financial knowledge and behaviors of Senior High School
students enrolled at Motiong National High School during the time of data collection.
 Chapter 2:

REVIEW OF RELATED LITERATURE & STUDIES

Financial literacy is essential for youth to make informed financial decisions and develop responsible money
management skills. Despite exposure to financial concepts in school, many senior high school students
struggle to apply this knowledge in real-life situations, revealing a gap between understanding and practice
(OECD, 2018; Lusardi, 2019). In the Philippine context, students often face challenges in budgeting, saving,
and spending, highlighting the need for localized research to identify strengths and gaps (Gabay et al.,
2024). Effective financial education depends on school instruction, family guidance, and practical
experience, which collectively shape students’ financial behaviors (Xiao & O’Neill, 2016). This study
examines the financial literacy of senior high school students at Motiong National High School to provide
insights for improving their knowledge and practices.

Related Studies

Jayaraman and Jambunathan (2018) examined the level of financial literacy among 608 high school students
in Tamil Nadu, India, focusing on knowledge related to saving, investing, borrowing, and insurance using a
structured survey and follow-up interviews. The findings revealed generally low financial literacy, with
students performing better in basic numeracy skills but demonstrating difficulty in applying financial
concepts such as mutual funds, bond price–interest relationships, and long-term investment returns.
Variations in financial literacy were observed across demographic factors, with female students scoring
higher than males, commerce stream students outperforming science stream students, and parental
involvement positively influencing financial knowledge. Students from lower-income families exhibited
slightly higher financial literacy, which was attributed to greater practical exposure to budgeting and saving
practices. Additionally, self-assessed financial knowledge showed a positive relationship with actual
performance, while interviews indicated limited awareness of the broader societal and macroeconomic
implications of financial decisions. The findings are relevant to the present study as they provide insight into
how demographic and experiential factors influence financial literacy and financial decision-making among
students.

Scott (2024) investigated the impact of financial literacy and financial capability on the self-efficacy of low-
income, first-generation college students enrolled in a private university in the United States. The study
employed a mixed-methods research design, utilizing a 26-item survey to quantitatively measure students’
levels of financial literacy, financial capability, and self-efficacy, alongside optional semi-structured
interviews to gather qualitative insights. Anchored in Bandura’s Self-Efficacy Theory, the findings revealed
that students with higher financial literacy and financial capability exhibited greater confidence in managing
their finances, particularly in relation to budgeting, understanding financial aid, and handling student loans.
Qualitative results identified five major themes: financial guidance, proactive financial education, student
loans, academic effects, and financial stressors. Participants reported that limited financial knowledge and
unclear institutional financial support systems contributed to heightened stress, which in turn affected
academic focus and decision-making. Overall, the study concluded that financial literacy and financial
capability play a significant role in enhancing students’ financial self-efficacy and their ability to navigate
financial challenges during their college experience.

Ergün (2018) assessed financial literacy levels of university students across Estonia, Germany, Italy, the
Netherlands, Poland, Romania, Russia, and Turkey using online surveys, with 409 completed responses. The
results indicated a medium overall financial literacy level (72.2% correct), with higher scores observed
among male students, business majors, PhD students, those living in rental housing, students with high-
income parents, students who had received financial advice from friends or prior financial courses, and
students from Poland. The study highlights demographic and educational factors associated with higher
financial literacy among European university students. The findings are relevant to the present study as they
provide insight into how personal and educational characteristics influence financial literacy levels.

Jabar and Delayco (2021) investigated the relationship between financial literacy and impulse buying among
310 public elementary and high school teachers in Metro Manila, Philippines, using a survey research
design. Financial literacy was measured through ownership of financial instruments and the use of financial
records and record-keeping. The results showed that teachers commonly used savings accounts and debit
cards and practiced basic record-keeping activities such as comparing utility bills and tracking expenses,
while more advanced financial planning behaviors, including reviewing credit reports and setting long-term
financial goals, were less frequently observed. Statistical analysis revealed a weak negative correlation
between impulse buying and the use of financial records, indicating that teachers who actively engaged in
record-keeping were less likely to make impulsive purchases, whereas ownership of financial instruments
showed no significant relationship. Multiple regression analysis further confirmed that record-keeping and
financial information use accounted for a small but significant portion of the variance in impulse buying
behavior (2.6%). The findings are relevant to the present study as they demonstrate how practical financial
literacy practices, particularly record-keeping, influence impulse buying behaviour.

Balaza, Diama, Torrenueva, Alicaya, Ortiz, and Inocian (2021) investigated the integration of financial
literacy in the K–12 curriculum, focusing on students’ knowledge, attitudes, and practices related to
financial concepts. Using a survey research design, data were gathered from students across various grade
levels to assess their understanding of saving, budgeting, and responsible financial behavior, as well as the
effectiveness of the existing curriculum in promoting financial literacy. The results showed that while
students demonstrated basic awareness of concepts such as savings accounts, budgeting, and responsible
spending, they exhibited limited understanding of more advanced areas, including investing, credit
management, and long-term financial planning. Students who were exposed to practical financial activities,
such as classroom simulations and personal budgeting exercises, displayed higher levels of competence and
confidence in financial decision-making. The study also identified gaps in teacher preparedness and
instructional strategies related to financial literacy integration. The findings are relevant to the present study
as they illustrate how curriculum content, instructional practices, and practical exposure influence students’
financial literacy development.

Related Literature

Garg and Singh (2018) conceptualize financial literacy as a multidimensional construct composed of
financial knowledge, financial attitude, and financial behaviour. Financial knowledge encompasses
understanding financial concepts and products, financial attitude reflects one’s mindset toward money
management, and financial behaviour captures the practical application of this knowledge in decisions such
as budgeting, saving, and investing. The study also emphasizes that socio-economic and demographic
factors, including age, gender, marital status, income, and educational attainment, significantly influence the
financial literacy levels of youth. Furthermore, the authors present a framework showing that financial
knowledge shapes financial attitude, which in turn influences financial behaviour, highlighting the
interrelationship among these components. This conceptualization provides a foundation for understanding
how individual characteristics affect financial literacy and its practical outcomes, supporting the selection of
relevant variables in studies examining youth financial literacy and related behaviours .
The article “Financial Literacy in the Digital Age—A Research Agenda” explores how digitalization is
transforming personal financial management and the skills needed to navigate this landscape. Digital
innovations, or Fintech, are changing retail banking, payments, and investment services, offering both
opportunities and risks for consumers. While traditional financial literacy focuses on knowledge, skills, and
confidence to manage money, digital financial literacy also requires understanding digital tools, online
security, digital profiling, and algorithm-driven nudges. Consumers must adapt their financial behaviors to
online banking, mobile payments, robo-advisors, and other digital services, while being aware of risks such
as impulsive spending, fraud, and data misuse. Behavioral interventions, particularly digital nudging, can
guide financial decisions, improve financial capability, and promote long-term habits, but they also raise
ethical concerns about transparency and autonomy. The study highlights three main themes in digital
financial literacy: Fintech innovations, financial behavior in digital environments, and behavioral
interventions, and emphasizes the need for updated curricula, digital learning tools, measurement
frameworks, and collaboration between public and private sectors to ensure financial well-being in the
digital era.

The OECD (2018) PISA assessment frames financial literacy as the knowledge, skills, and attitudes required
to make informed and effective financial decisions, emphasizing both cognitive understanding and practical
application. The report identifies key concepts such as budgeting, saving, investment, risk management, and
the use of financial products, highlighting how these competencies vary among students across countries and
socio-economic backgrounds. The framework also emphasizes the influence of formal education and home-
based financial discussions in shaping students’ financial behaviors, suggesting that exposure to financial
knowledge enhances decision-making abilities. These ideas directly support the variables in this study, as
they provide a conceptual basis for examining how educational interventions, socio-economic status, and
financial habits influence students’ financial competence (Organisation for Economic Co-operation and
Development [OECD], 2018).

The article “The Philippines in ASEAN financial literacy research: insights from a bibliometric review
article “ situates the financial literacy within the broader framework of economic empowerment, financial
inclusion, and sustainable development, emphasizing that individual and community financial knowledge
influences decision-making, digital financial service usage, and long-term economic outcomes. Key
concepts include financial literacy education, which enhances knowledge and behavior; digital financial
literacy, which addresses the growing use of fintech and mobile banking; and socioeconomic determinants,
such as income, education, and employment, which shape financial behavior. The bibliometric analysis
identifies emerging frameworks in ASEAN financial literacy research, highlighting themes like financial
inclusion, access to finance, and the role of policy-driven education. These frameworks help explain
variables such as financial knowledge, financial behavior, and financial access by showing how exposure to
education, technology, and institutional support can influence individuals’ financial capabilities and
decisions. For instance, digital literacy is linked to responsible use of digital tools, while socioeconomic
factors moderate the effectiveness of education programs. The research also underscores the importance of
collaboration and publication in high-impact journals to enhance the visibility and applicability of findings,
suggesting that both local and international contexts shape the development and measurement of financial
literacy outcomes.

The journal article published in the Philippine Journal of Social Sciences and Humanities centers on the key
concepts of financial literacy, financial attitude, and financial behavior, which are commonly treated as
interrelated components of sound personal financial management. Financial literacy is explained as an
individual’s knowledge and understanding of financial concepts such as budgeting, saving, spending, and
basic financial decision-making, while financial attitude refers to personal beliefs, values, and mindsets
toward money management. Financial behavior, on the other hand, is framed as the actual application of
financial knowledge and attitudes in real-life financial practices. The study is grounded in the widely used
knowledge–attitude behavior framework, which posits that financial knowledge influences attitudes, and
these attitudes subsequently shape financial behavior. This framework provides a conceptual basis for
examining how improvements in financial literacy may lead to more positive financial attitudes and
responsible financial behaviors, thereby directly supporting studies that investigate the relationships among
these variables.

Synthesis

The reviewed studies and literature consistently emphasize that financial literacy is a multidimensional
construct involving financial knowledge, attitudes, and behaviors, all of which play a critical role in shaping
individuals’ financial decision-making. Empirical studies conducted in different contexts reveal that students
generally demonstrate basic awareness of financial concepts such as saving and budgeting but struggle to
apply more complex financial skills in real-life situations. Research by Jayaraman and Jambunathan (2018),
Ergün (2018), and Balaza et al. (2021) highlights that demographic factors, educational exposure, and
practical experience significantly influence financial literacy levels. Similarly, Scott (2024) and Jabar and
Delayco (2021) emphasize that higher financial literacy is associated with better financial confidence, self-
efficacy, and responsible financial behavior, while limited knowledge contributes to stress, impulsive
spending, and poor financial management. These findings are supported by related literature, which frames
financial literacy as an interaction between knowledge, attitude, and behavior, reinforced by education,
family influence, and socio-economic context (Garg & Singh, 2018; OECD, 2018).

Despite broad agreement on the importance of financial literacy and its determinants, gaps remain in the
existing body of literature. Many studies focus on university students, teachers, or international populations,
with limited attention given to senior high school students in specific local school contexts. While
international frameworks and digital-era discussions provide strong conceptual foundations, there is
insufficient localized evidence on how financial literacy manifests among ABM senior high school students
in Philippine public schools, particularly in terms of their attitudes, behaviors, misconceptions, and learning
challenges. Moreover, existing research often emphasizes outcomes rather than exploring students’ lived
experiences and difficulties in acquiring financial literacy. These gaps indicate the need for a school-based
exploratory study that assesses the level of financial literacy among ABM students at Motiong National
High School to generate context-specific insights that may inform targeted financial education strategies.

References

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Ergün, K. (2018). Financial literacy among university students: A study in eight European
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Gabay, P. J. V. (2024). Financial literacy among senior high school students: Basis for a financial
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Organisation for Economic Co-operation and Development. (2018). PISA 2018 results: Students’ financial
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