Catch them young: Impact of financial socialization, financial literacy and attitude towards money on financial well-being of young adults

A stream of research has examined the financial well-being of individuals. However, less research has been conducted on the financial well-being of young adults in developing economies. To further examine this domain, we developed a conceptual framework based on the existing literature of consumer research and financial well-being and assessed how financial literacy, socialization and attitude towards money influence the financial well-being of young adults. Two cross-sectional surveys were conducted on 446 young adults (preliminary study n = 156; main study n = 290; mean age 22 years) in India. This study contributes to the literature by demonstrating that financial discussion with parents during childhood positively influences financial well-being of young adults. In addition, we found that relationship between financial literacy and financial well-being is not significant. Furthermore, the study reveals the role of attitude towards money as a strong predictor of financial well-being. The results provide implications for educational and financial institutions and policymakers for improving the financial well-being of young adults.