The Effect Of Financial Literacy And Income To Financial Behavior Through Lifestyle On Millennial Members Of Prima Danarta Credit Union

Abstract

This research is a quantitative study which aims to analyze the effect of financial literacy and income on financial behavior through lifestyle as an intervening variable. The population of 958 correspondents are millennial members of Credit Union Prima Danarta spread across four cities, Surabaya, Semarang, Jember, Magelang and who already have income. A sample of 283 correspondents was determined based on the slovin formula. The method of collecting data with an accidental sampling system uses a research instrument in the form of a questionnaire. The analysis technique used is instrument testing including validity and reliability tests, classical assumption tests including normality, collinearity and heteroscedasticity tests, data analysis includes multiple linear regression using SPSS version 25 software, path analysis and is strengthened by the sobel test. The results of the study show that Financial Literacy influences Lifestyle with a path coefficient value of 0.156, Income influences Lifestyle with a path coefficient value of 0.179, Financial Literacy influences Financial Behavior with a path coefficient value of 0.490, Income influences Financial Behavior with a coefficient value path of 0.297 and Lifestyle as an intervening variable has no effect on Financial Behavior with a path coefficient value of 0.048.