Main Article Content
Abstract
Purpose – This study explores the interconnections between financial attitudes, subjective norm, perceived behavioral control, and Islamic social finance toward financial well-being. It examines how these factors contribute to financial stability, particularly within the context of Islamic finance.
Methodology – This study used a quantitative approach, and data analysis was conducted using SPSS 30. This study applied regression, correlation, and factor analyses to examine the relationships between the variables. Data were validated through reliability testing, normality assessments, and evaluations of construct validity to ensure methodological rigor and accuracy.
Findings – The results showed a significant relationship between attitudes, subjective norm, strong perceived behavioral control, and Islamic social finance toward financial well-being. These findings validated our hypotheses.
Implications – This study provides valuable insights for policymakers, financial institutions, and educators by highlighting the importance of fostering positive financial attitudes, enhancing financial self-efficacy, and promoting Islamic social finance practices. These findings can guide strategies to improve financial well-being across diverse socioeconomic groups.
Originality – This study contributes to the literature by providing a comprehensive analysis of how the theory of planned behavior and Islamic social finance collectively influence financial well-being.
Keywords
Article Details
Copyright (c) 2025 Siti Noraisyah Binti Norizan, Nashirah Binti Abu Bakar, Muhammad Saeed Iqbal, Izzyan Binti Mohd Idris
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References
- Abid, A., & Jie, S. (2023). Understanding farmers’ decision-making to use Islamic finance through the lens of theory of planned behavior. Journal of Islamic Marketing, 14(4), 1084–1106. https://doi.org/10.1108/JIMA-10-2020-0324
- Acharya, P., & Poudel, O. (2023). Interplay of financial socialization, financial behavior, and adult financial well-being. Management Dynamics, 26(1), 33–42. https://doi.org/10.3126/md.v26i1.59149
- Adam, A. M., Frimpong, S., & Opoku Boadu, M. (2017). Financial literacy and financial planning: Implication for financial well-being of retirees. Business and Economic Horizons, 13(2), 224–236. https://doi.org/10.15208/beh.2017.17
- Adiputra, I. G. (2021). The influence of financial literacy, financial attitude and locus of control on financial satisfaction: Evidence from the community in Jakarta. KnE Social Sciences. 636-654 https://doi.org/10.18502/kss.v5i5.8848
- Ahmad, G. N., Widyastuti, U., Susanti, S., & Mukhibad, H. (2020). Determinants of the Islamic financial literacy. Accounting, 961–966. https://doi.org/10.5267/j.ac.2020.7.024
- Ahmad, S., Lensink, R., & Mueller, A. (2023). Religion, social desirability bias and financial inclusion: Evidence from a list experiment on Islamic (micro) finance. Journal of Behavioral and Experimental Finance, 38, 100795. https://doi.org/10.1016/j.jbef.2023.100795
- Ajzen, I. (1991). The theory of planned behavior. Organizational Behavior and Human Decision Processes, 50(2), 179–211. https://doi.org/10.1016/0749-5978(91)90020-T
- Albaity, M., & Rahman, M. (2019). The intention to use Islamic banking: An exploratory study to measure Islamic financial literacy. International Journal of Emerging Markets, 14(5), 988–1012. https://doi.org/10.1108/IJOEM-05-2018-0218
- Babbie, E. (2021). The practice of social research (13th ed.). Cengage Learning.
- Belal, A. R., Abdelsalam, O., & Nizamee, S. S. (2015). Ethical reporting in Islamic bank Bangladesh Limited (1983–2010). Journal of Business Ethics, 129(4), 769–784. https://doi.org/10.1007/s10551-014-2133-8
- Byrne, B. M. (2010). Structural equation modeling with Amos: Basic concepts, applications, and programming (2nd ed.). Routledge.
- Creswell, J. W. (2003). Research design: Qualitative, quantitative, and mixed method approaches (2nd ed). Sage Publications.
- Dwiastanti, A. (2015). Financial literacy as the foundation for individual financial behavior. Journal of Education and Practice, 6(33), 99-104. https://www.iiste.org/Journals/index.php/JEP/article/view/27373/28063
- Erfani, G. R., & Vasigh, B. (2018). The impact of the global financial crisis on profitability of the banking industry: A comparative analysis. Economies, 6(4), 66. https://doi.org/10.3390/economies6040066
- Etikan, I. (2016). Comparison of convenience sampling and purposive sampling. American Journal of Theoretical and Applied Statistics, 5(1), 1. https://doi.org/10.11648/j.ajtas.20160501.11
- Hair, J. F., Hult, G. T. M., Ringle, C. M., & Sarstedt, M. (2010). A primer on partial least squares structural equation modeling (PLS-SEM). Sage Publications.
- Haruna, A., Oumbé, H. T., Kountchou, A. M., & Pilag Kakeu, C. B. (2024). Can Islamic finance enhance the innovation capacity of Cameroonian SMEs? Empirical evidence based on a multivariate probit approach. Borsa Istanbul Review, 24(1), 187–200. https://doi.org/10.1016/j.bir.2023.11.006
- Ishak, M. S. I., & Asni, F. (2022). Usul fiqh and its application in Islamic finance. Penerbit UniSZA.
- LeBaron‐Black, A. B., Curran, M. A., Hill, E. J., Toomey, R. B., Speirs, K. E., & Freeh, M. E. (2023). Talk is cheap: Parent financial socialization and emerging adult financial well‐being. Family Relations, 72(3), 1201–1219. https://doi.org/10.1111/fare.12751
- Lusardi, A., & Mitchell, O. S. (2011). Financial literacy around the world: An overview. Journal of Pension Economics and Finance, 10(4), 497–508. https://doi.org/10.1017/S1474747211000448
- Lusardi, A., & Mitchell, O. S. (2014). The economic importance of financial literacy: Theory and evidence. Journal of Economic Literature, 52(1), 5–44. https://doi.org/10.1257/jel.52.1.5
- Lusardi, A., Mitchell, O. S., & Curto, V. (2010). Financial literacy among the young. Journal of Consumer Affairs, 44(2), 358–380. https://doi.org/10.1111/j.1745-6606.2010.01173.x
- Madah Marzuki, M., Nik Abdul Majid, W. Z., & Rosman, R. (2023). Corporate social responsibility and Islamic social finance impact on banking sustainability post-Covid-19 pandemic. Heliyon, 9(10), e20501. https://doi.org/10.1016/j.heliyon.2023.e20501
- Masrizal, Sukmana, R., & Trianto, B. (2024). The effect of Islamic financial literacy on business performance with emphasis on the role of Islamic financial inclusion: Case study in Indonesia. Journal of Islamic Marketing. https://doi.org/10.1108/JIMA-07-2022-0197
- Maulina, R., Dhewanto, W., & Faturohman, T. (2023). The integration of Islamic social and commercial finance (IISCF): Systematic literature review, bibliometric analysis, conceptual framework, and future research opportunities. Heliyon, 9(11), e21612. https://doi.org/10.1016/j.heliyon.2023.e21612
- Mulyono, K. B. (2021). Decision model for saving stocks based on TPB and financial literacy. Dinamika Pendidikan, 16(1), 94–102. https://doi.org/10.15294/dp.v16i1.29164
- Osman, I., Syed Alwi, S. F., Rehman, M. A., Muda, R., Hassan, F., Hassan, R., & Abdullah, H. (2024). The dilemma of millennial Muslims towards financial management: An Islamic financial literacy perspective. Journal of Islamic Marketing, 15(1), 59–78. https://doi.org/10.1108/JIMA-09-2021-0283
- Pala, F., Erdoğdu, A., Ali, M., Alnori, F., & Barut, A. (2024). Analyzing the linkage between Islamic financial literacy and Islamic banking services adoption: Evidence from Turkey. Journal of Islamic Accounting and Business Research, 15(5), 784–817. https://doi.org/10.1108/JIABR-12-2021-0324
- Pepinsky, T. B. (2013). Development, social change, and Islamic finance in contemporary Indonesia. World Development, 41, 157–167. https://doi.org/10.1016/j.worlddev.2012.06.007
- Purboningrum, S., & Fathoni, M. (2023). Determination factors of Islamic financial management with behavior of financial as a mediation variable. Proceedings of the 3rd International Conference of Islamic Finance and Business, ICIFEB 2022, 19-20 July 2022, Jakarta, Indonesia. https://doi.org/10.4108/eai.19-7-2022.2328205
- Rashid, A., Yousaf, S., & Khaleequzzaman, M. (2017). Does Islamic banking really strengthen financial stability? Empirical evidence from Pakistan. International Journal of Islamic and Middle Eastern Finance and Management, 10(2), 130–148. https://doi.org/10.1108/IMEFM-11-2015-0137
- Sajid, M., Mushtaq, R., Murtaza, G., Yahiaoui, D., & Pereira, V. (2024). Financial literacy, confidence and well-being: The mediating role of financial behavior. Journal of Business Research, 182, 114791. https://doi.org/10.1016/j.jbusres.2024.114791
- Selvia, G., Rahmayanti, D., Afandy, C., & Zoraya, I. (2021). The effect of financial knowledge, financial behavior and financial inclusion on financial well-being. Proceedings of the 3rd Beehive International Social Innovation Conference, BISIC 2020, 3-4 October 2020, Bengkulu, Indonesia. https://doi.org/10.4108/eai.3-10-2020.2306600
- Sevriana, L., Febrian, E., Anwar, M., & Ahmad Faisal, Y. (2024). A proposition to implement inclusive Islamic financial planning in Indonesia through bibliometric analysis. Journal of Islamic Accounting and Business Research, 15(2), 225–243. https://doi.org/10.1108/JIABR-01-2022-0022
- Shafique, A., Faheem, M. A., & Abdullah, I. (2012). Impact of global financial crises on the Islamic banking system: analysis of Islamic financial system during financial crunch 2008. Oman Chapter of Arabian Journal of Business and Management Review, 1(9), 124–134. https://doi.org/10.12816/0002166
- She, L., Ma, L., Voon, M. L., & Lim, A. S. S. (2023). Excessive use of social networking sites and financial well-being among working millennials: A parallel-serial mediation model. International Journal of Bank Marketing, 41(1), 158–178. https://doi.org/10.1108/IJBM-04-2022-0172
- Silvia, A., Viverita, V., & Chalid, D. A. (2024). The effects of formal institutions and national culture on equity-based financing in Islamic banks. Pacific-Basin Finance Journal, 86, 102467. https://doi.org/10.1016/j.pacfin.2024.102467
- Sivaramakrishnan, S., Srivastava, M., & Rastogi, A. (2017). Attitudinal factors, financial literacy, and stock market participation. International Journal of Bank Marketing, 35(5), 818–841. https://doi.org/10.1108/IJBM-01-2016-0012
- Taber, K. S. (2018). (n.d.). The use of Cronbach’s alpha when developing and reporting research instruments in science education. Research in Science Education, 48(6), 1273-1296. https://link.springer.com/article/10.1007/s11165-016-9602-2
- Widiastuti, T., Mawardi, I., Zulaikha, S., Herianingrum, S., Robani, A., Al Mustofa, M. U., & Atiya, N. (2022). The nexus between Islamic social finance, quality of human resource, governance, and poverty. Heliyon, 8(12), e11885. https://doi.org/10.1016/j.heliyon.2022.e11885
- Zhang, Y., Qi, J., & Chatterjee, S. (2024). Exploring the role of help‐seeking behavior, family financial socialization, and capability on financial well‐being. Family Relations, 73(5), 3054–3072. https://doi.org/10.1111/fare.13089
References
Abid, A., & Jie, S. (2023). Understanding farmers’ decision-making to use Islamic finance through the lens of theory of planned behavior. Journal of Islamic Marketing, 14(4), 1084–1106. https://doi.org/10.1108/JIMA-10-2020-0324
Acharya, P., & Poudel, O. (2023). Interplay of financial socialization, financial behavior, and adult financial well-being. Management Dynamics, 26(1), 33–42. https://doi.org/10.3126/md.v26i1.59149
Adam, A. M., Frimpong, S., & Opoku Boadu, M. (2017). Financial literacy and financial planning: Implication for financial well-being of retirees. Business and Economic Horizons, 13(2), 224–236. https://doi.org/10.15208/beh.2017.17
Adiputra, I. G. (2021). The influence of financial literacy, financial attitude and locus of control on financial satisfaction: Evidence from the community in Jakarta. KnE Social Sciences. 636-654 https://doi.org/10.18502/kss.v5i5.8848
Ahmad, G. N., Widyastuti, U., Susanti, S., & Mukhibad, H. (2020). Determinants of the Islamic financial literacy. Accounting, 961–966. https://doi.org/10.5267/j.ac.2020.7.024
Ahmad, S., Lensink, R., & Mueller, A. (2023). Religion, social desirability bias and financial inclusion: Evidence from a list experiment on Islamic (micro) finance. Journal of Behavioral and Experimental Finance, 38, 100795. https://doi.org/10.1016/j.jbef.2023.100795
Ajzen, I. (1991). The theory of planned behavior. Organizational Behavior and Human Decision Processes, 50(2), 179–211. https://doi.org/10.1016/0749-5978(91)90020-T
Albaity, M., & Rahman, M. (2019). The intention to use Islamic banking: An exploratory study to measure Islamic financial literacy. International Journal of Emerging Markets, 14(5), 988–1012. https://doi.org/10.1108/IJOEM-05-2018-0218
Babbie, E. (2021). The practice of social research (13th ed.). Cengage Learning.
Belal, A. R., Abdelsalam, O., & Nizamee, S. S. (2015). Ethical reporting in Islamic bank Bangladesh Limited (1983–2010). Journal of Business Ethics, 129(4), 769–784. https://doi.org/10.1007/s10551-014-2133-8
Byrne, B. M. (2010). Structural equation modeling with Amos: Basic concepts, applications, and programming (2nd ed.). Routledge.
Creswell, J. W. (2003). Research design: Qualitative, quantitative, and mixed method approaches (2nd ed). Sage Publications.
Dwiastanti, A. (2015). Financial literacy as the foundation for individual financial behavior. Journal of Education and Practice, 6(33), 99-104. https://www.iiste.org/Journals/index.php/JEP/article/view/27373/28063
Erfani, G. R., & Vasigh, B. (2018). The impact of the global financial crisis on profitability of the banking industry: A comparative analysis. Economies, 6(4), 66. https://doi.org/10.3390/economies6040066
Etikan, I. (2016). Comparison of convenience sampling and purposive sampling. American Journal of Theoretical and Applied Statistics, 5(1), 1. https://doi.org/10.11648/j.ajtas.20160501.11
Hair, J. F., Hult, G. T. M., Ringle, C. M., & Sarstedt, M. (2010). A primer on partial least squares structural equation modeling (PLS-SEM). Sage Publications.
Haruna, A., Oumbé, H. T., Kountchou, A. M., & Pilag Kakeu, C. B. (2024). Can Islamic finance enhance the innovation capacity of Cameroonian SMEs? Empirical evidence based on a multivariate probit approach. Borsa Istanbul Review, 24(1), 187–200. https://doi.org/10.1016/j.bir.2023.11.006
Ishak, M. S. I., & Asni, F. (2022). Usul fiqh and its application in Islamic finance. Penerbit UniSZA.
LeBaron‐Black, A. B., Curran, M. A., Hill, E. J., Toomey, R. B., Speirs, K. E., & Freeh, M. E. (2023). Talk is cheap: Parent financial socialization and emerging adult financial well‐being. Family Relations, 72(3), 1201–1219. https://doi.org/10.1111/fare.12751
Lusardi, A., & Mitchell, O. S. (2011). Financial literacy around the world: An overview. Journal of Pension Economics and Finance, 10(4), 497–508. https://doi.org/10.1017/S1474747211000448
Lusardi, A., & Mitchell, O. S. (2014). The economic importance of financial literacy: Theory and evidence. Journal of Economic Literature, 52(1), 5–44. https://doi.org/10.1257/jel.52.1.5
Lusardi, A., Mitchell, O. S., & Curto, V. (2010). Financial literacy among the young. Journal of Consumer Affairs, 44(2), 358–380. https://doi.org/10.1111/j.1745-6606.2010.01173.x
Madah Marzuki, M., Nik Abdul Majid, W. Z., & Rosman, R. (2023). Corporate social responsibility and Islamic social finance impact on banking sustainability post-Covid-19 pandemic. Heliyon, 9(10), e20501. https://doi.org/10.1016/j.heliyon.2023.e20501
Masrizal, Sukmana, R., & Trianto, B. (2024). The effect of Islamic financial literacy on business performance with emphasis on the role of Islamic financial inclusion: Case study in Indonesia. Journal of Islamic Marketing. https://doi.org/10.1108/JIMA-07-2022-0197
Maulina, R., Dhewanto, W., & Faturohman, T. (2023). The integration of Islamic social and commercial finance (IISCF): Systematic literature review, bibliometric analysis, conceptual framework, and future research opportunities. Heliyon, 9(11), e21612. https://doi.org/10.1016/j.heliyon.2023.e21612
Mulyono, K. B. (2021). Decision model for saving stocks based on TPB and financial literacy. Dinamika Pendidikan, 16(1), 94–102. https://doi.org/10.15294/dp.v16i1.29164
Osman, I., Syed Alwi, S. F., Rehman, M. A., Muda, R., Hassan, F., Hassan, R., & Abdullah, H. (2024). The dilemma of millennial Muslims towards financial management: An Islamic financial literacy perspective. Journal of Islamic Marketing, 15(1), 59–78. https://doi.org/10.1108/JIMA-09-2021-0283
Pala, F., Erdoğdu, A., Ali, M., Alnori, F., & Barut, A. (2024). Analyzing the linkage between Islamic financial literacy and Islamic banking services adoption: Evidence from Turkey. Journal of Islamic Accounting and Business Research, 15(5), 784–817. https://doi.org/10.1108/JIABR-12-2021-0324
Pepinsky, T. B. (2013). Development, social change, and Islamic finance in contemporary Indonesia. World Development, 41, 157–167. https://doi.org/10.1016/j.worlddev.2012.06.007
Purboningrum, S., & Fathoni, M. (2023). Determination factors of Islamic financial management with behavior of financial as a mediation variable. Proceedings of the 3rd International Conference of Islamic Finance and Business, ICIFEB 2022, 19-20 July 2022, Jakarta, Indonesia. https://doi.org/10.4108/eai.19-7-2022.2328205
Rashid, A., Yousaf, S., & Khaleequzzaman, M. (2017). Does Islamic banking really strengthen financial stability? Empirical evidence from Pakistan. International Journal of Islamic and Middle Eastern Finance and Management, 10(2), 130–148. https://doi.org/10.1108/IMEFM-11-2015-0137
Sajid, M., Mushtaq, R., Murtaza, G., Yahiaoui, D., & Pereira, V. (2024). Financial literacy, confidence and well-being: The mediating role of financial behavior. Journal of Business Research, 182, 114791. https://doi.org/10.1016/j.jbusres.2024.114791
Selvia, G., Rahmayanti, D., Afandy, C., & Zoraya, I. (2021). The effect of financial knowledge, financial behavior and financial inclusion on financial well-being. Proceedings of the 3rd Beehive International Social Innovation Conference, BISIC 2020, 3-4 October 2020, Bengkulu, Indonesia. https://doi.org/10.4108/eai.3-10-2020.2306600
Sevriana, L., Febrian, E., Anwar, M., & Ahmad Faisal, Y. (2024). A proposition to implement inclusive Islamic financial planning in Indonesia through bibliometric analysis. Journal of Islamic Accounting and Business Research, 15(2), 225–243. https://doi.org/10.1108/JIABR-01-2022-0022
Shafique, A., Faheem, M. A., & Abdullah, I. (2012). Impact of global financial crises on the Islamic banking system: analysis of Islamic financial system during financial crunch 2008. Oman Chapter of Arabian Journal of Business and Management Review, 1(9), 124–134. https://doi.org/10.12816/0002166
She, L., Ma, L., Voon, M. L., & Lim, A. S. S. (2023). Excessive use of social networking sites and financial well-being among working millennials: A parallel-serial mediation model. International Journal of Bank Marketing, 41(1), 158–178. https://doi.org/10.1108/IJBM-04-2022-0172
Silvia, A., Viverita, V., & Chalid, D. A. (2024). The effects of formal institutions and national culture on equity-based financing in Islamic banks. Pacific-Basin Finance Journal, 86, 102467. https://doi.org/10.1016/j.pacfin.2024.102467
Sivaramakrishnan, S., Srivastava, M., & Rastogi, A. (2017). Attitudinal factors, financial literacy, and stock market participation. International Journal of Bank Marketing, 35(5), 818–841. https://doi.org/10.1108/IJBM-01-2016-0012
Taber, K. S. (2018). (n.d.). The use of Cronbach’s alpha when developing and reporting research instruments in science education. Research in Science Education, 48(6), 1273-1296. https://link.springer.com/article/10.1007/s11165-016-9602-2
Widiastuti, T., Mawardi, I., Zulaikha, S., Herianingrum, S., Robani, A., Al Mustofa, M. U., & Atiya, N. (2022). The nexus between Islamic social finance, quality of human resource, governance, and poverty. Heliyon, 8(12), e11885. https://doi.org/10.1016/j.heliyon.2022.e11885
Zhang, Y., Qi, J., & Chatterjee, S. (2024). Exploring the role of help‐seeking behavior, family financial socialization, and capability on financial well‐being. Family Relations, 73(5), 3054–3072. https://doi.org/10.1111/fare.13089