A study of financial planning behavior of women college teachers working in Delhi-NCR

Abstract

Financial planning is based on an understanding of personal financial goals and methodology to fulfill those goals. It includes estimating the financial needs of a person in his/her lifetime and implementing a comprehensive plan of action to meet them. Financial planning involves choosing right investments through well-planned budget, savings to fulfill future needs. A good financial plan includes contingency planning, risk planning (insurance), Tax Planning, retirement planning etc., along with investment and saving management. It is advised to start financial planning at an early stage.

Indian financial market has been growing over the period and there is a sturdy rise in the number of women investors. Employed women have a larger tendency to save and invest because of their independent earning power. Women need to have a strong financial strategy as it can have a major impact on their income and wealth and consequently their retired life.  Women may face more challenges than men as they live longer, have lower lifetime earning potential, and have greater family responsibilities[1-3]. For urban Indian women, the service sector has become increasingly significant, with its share in employment rising from 35.7% in 1977-78 to 60.7% in 2017-18. In this sector, women are found more in professions such as teaching and nursing [4].

Teachers are important pillars of a civilized and progressive society. They not only impart knowledge but also prepare more responsible citizens with high moral values. Personal financial planning is important to teachers as it will not just improve their well-being but also help them to produce students who are fiscally and socially responsible citizens [5] It becomes important to understand the financial behavior of female college teachers. An attempt is being made to examine the personal financial planning behavior of the women teachers in higher education in Delhi-NCR[6-8].

Objective:

To study the level of personal financial planning among women teachers of higher education institutions in Delhi-NCR.

Hypothesis

H1. Women teachers in higher education institutions in Delhi- NCR are financially well aware.

H2. Women teachers in higher education institutions in Delhi- NCR exhibit a well-planned financial behavior.

Methodology

The study is based on primary data collected from 425 women teachers working in colleges in Delhi NCR through simple random sampling. The research tool is based on closed ended questionnaire designed on guidelines of OECD financial literacy model and in consultation with experts from SEBI and academicians. The Cronbach's Alpha reliability scores indicate good internal consistency. The data is analyzed using SPSS and mean and percentage methods are used to find the financial planning behavior of women college teachers.