Money management in high school students:literature review

Abstract

The purpose of this study is to investigate young people’s ability to manage money and their prospects for the future. The financial competence of Youth has an important impact in improving the quality of life as well as the financial and economic system of a country. This paper addresses issues related to youth’s money management competence, through researching aspects such as consumption, the role of the family, other financial socialization agents and their future. Youth attending university are an important factor in this research. During university years, young people have to take important decisions pertaining directly their finances. The study presents findings from the work of other authors on the topic of youth financial management competence, highlighting similarities and differences among them. Early financial education within the family will impact youth’s financial management competence. The majority of findings indicated that several socio-demographic factors such as education within family, education at school or inclusion in labor market impacts youth’s ability to manage money. To conclude this study, we will present several important conclusions, which are supported by the work of many authors as well as topical literature review. We will also provide suggestions and recommendations for further research in order to complete the studies and findings related to youth’s competence to manage money.