Money types, money beliefs, and financial worries: An Australian study

Abstract

Objective - To examine correlates of beliefs about money in Australia. The focus of this study was on correlates of individual money types, which looks at the extent to which money was associated with Freedom, Love, Power, and Security. Method - The National Money Research was conducted in Australia in May 2017. The total sample size was 3,285 adult respondents (18+) throughout the Commonwealth of Australia. The sample was representative of Australian adult population with regard to gender and age ratios. All participants completed a 115‐item questionnaire on money beliefs and behaviours. They also completed questionnaires on their financial general life satisfaction. Results - Factor analysis of the different measures yielded an interpretable factor structure. Those who associated money with Power and Freedom tended to be less satisfied with many aspects of their life (finances, friends, family life) while those who associated money with Security were more happy with their finances and health. Those who saw money as Love were happy with most aspects of their life, particularly their family life. The Money Mindset questionnaire factored into four clear factors labelled Security, Politics, Openness, and Trust of which the former was related to all of the four money types. There were also money type gender differences in who participants talked to about their financial situation. Implications and limitations are discussed. Conclusion - The results were both similar to, and different from, studies conducted in other countries.

Money types, money beliefs, and financial worries: An Australian study