The Effect of Financial Literacy, Income Level, and Peer Influence on Saving Behavior Among Generation Z in Thailand

Abstract

This study explores the influence of financial literacy, income level, and peer influence on the saving behavior of Generation Z in Thailand. As digital natives, Gen Z individuals face unique financial challenges and opportunities shaped by technology, social media, and evolving economic conditions. A quantitative, descriptive-correlational research design was employed, surveying 400 Thai respondents aged 18–27. Findings from Pearson’s correlation and multiple linear regression analyses indicate that financial literacy has the strongest positive effect on saving behavior, followed by income level and peer influence. Together, these variables account for 48% of the variance in saving behavior. The study affirms the relevance of the Theory of Planned Behavior, the Permanent Income Hypothesis, and Social Learning Theory in explaining youth financial behavior. The results highlight the need for targeted financial education programs and peer-driven financial awareness campaigns to promote responsible saving habits among Thai Gen Z.