Exploratory Factor Analysis (EFA) And Reliability Analysis of Financial Well-being Instrument Among Trainee Teachers

Financial Well-Being (FWB) of a person leads to a prosperous and happy life. Financial problems such as bankruptcy become an obstacle to the achievement of the desire to achieve FWB. Nevertheless, as per past literature with respect to FWB, financial problems with high indebtedness are among the youth. Therefore, Exploratory Factor Analysis (EFA) was employed in this study to test the validity and reliability of instruments that can measure FWB. To establish reliable measurements with regard to the FWB construct, this paper utilised a cross-sectional research methodology. The items were adapted as well as modified to fit the needs of this study. A structured questionnaire was used to collect data from 100 randomly chosen young people from the Institute of Teacher Education (IPG). The study then used Statistical Package for the Social Science (IBM-SPSS) version 22.0 to perform EFA. Initially, a total of 19 items were created to measure the FWB construct. Nonetheless, after completing the EFA technique, this research discovered that all 19 items with factor loadings more than the threshold of .60 were kept and declared fit for measuring the FWB construct. This investigation evaluated the parameters used to calculate FWB. As a result, this instrument is helpful to Malaysian universities or institutions responsible for training teachers by testing their FWB before graduation. This study presents that this measuring tool has construct validity and reliability that can be used for research purposes to measure the FWB of youth among trainee teachers.