The Financial Behavior Scale: Development and Validation
Document Type
Article
Journal/Book Title/Conference
Journal of Financial Counseling and Planning
Volume
22
Publication Date
2011
First Page
19
Last Page
35
Abstract
Although research on financial management behavior is common, few financial management behavior scales exist that are simultaneously multi-dimensional, psychometrically validated, and validated using nationally representative data. Using data from a nationally representative sample of adults, this study developed and examined the psychometric properties of a new scale of financial management behaviors. The Financial Management Behavior Scale (FMBS) displayed adequate reliability (alpha = .81). The FMBS was highly associated with other measures of financial management behaviors and was predictive of participants’ actual levels of savings and consumer debt. These findings suggest that the full FMBS is a reliable and valid measure of financial management behaviors, though the subscales need refinement.
Recommended Citation
Dew, J. P. & Xiao, J. J. (2011). The Financial Behavior Scale: Development and validation. Journal of Financial Counseling and Planning, 22, 19 – 35