The Effect of Financial Literacy and Financial Management Behavior on Retirement Confidence

Abstract

This research aims to analyze: (1) The effect of financial literacy toward retirement confidence (2) The effect of financial literacy toward financial management behavior (3) The effect of financial management behaviors toward retirement confidence (4) The mediating role of financial management behavior on the relation between financial literacy and retirement confidence. This type of research is causative research. The sample in this research is 200 employees of government and private agencies of Padang Pariaman regencies. This research was Analyzed with Structural Equation Modeling using IBM SPSS Amos 24. The result indicate that: (1) Financial literacy has not a significant effect on retirement confidence (2) Financial literacy has a significant effect on the behavior of financial management (3) Financial management behavior has a significant retirement on confidence (4) Financial management behaviors fully mediated relation between financial literacy and retirement confidence.