THE ROLE OF PSYCHOLOGICAL FACTORS AND SITUATIONAL FACTORS ON THE FINANCIAL PLANNING BEHAVIOR OF PRIVATE SECTOR EMPLOYEES IN THAILAND

Abstract

Financial planning is a vital component of business operations that improves the financial health of an organization, and it demands the attention of new researchers and seasoned policymakers. Consequently, this paper analyzes the influence of psychological and situational factors on the financial planning behavior of Thai private sector employees. This study also investigates the moderating effect of employee background on the relationship between psychological and environmental characteristics and the financial planning behavior of private sector employees in Thailand. Survey questionnaires were used to collect data from the sampled respondents. The researchers also used PLS-SEM with smart-PLS to examine the relationship between the variables. The findings demonstrated a positive relationship between psychological and environmental characteristics and the financial planning behavior of private sector employees in Thailand. In addition, the results suggested that employee background considerably affected the relationship between psychological and situational characteristics and the financial planning behavior of private sector employees in Thailand. The research assists policymakers in formulating successful financial planning regulations based on psychological and situational elements.