The Role of Financial Literacy on Investment Decisions at the West Semarang Pratama Tax Office, Moderated by Age Factors

Susan Sulistyani, Heru Sulistyo

Abstract


As part of the government system tasked with serving the public, Civil Servants are expected to manage their finances wisely to support financial stability, personal well-being, and efficiency in carrying out their duties. Behavioral patterns and lifestyles that are still considered hedonistic occur among Civil Servants, this is because Civil Servants are one of the jobs with a relatively stable and relatively high income level. Higher incomes can also lead to greater expenses. This study aims to analyze the influence of financial literacy and approaches on investment decisions, as well as examine the role of generational age as a moderating variable in the West Semarang Pratama Tax Office environment. The research method used is a quantitative approach with an explanatory research type. This approach is appropriate for testing causal relationships between variables, as well as explaining the direct influence and interactions between constructs in the research model. The results of the moderation analysis indicate that generational age cannot significantly moderate the influence of financial literacy on investment decisions in the West Semarang Pratama Tax Office environment. Variations in age groups and demographic characteristics, although providing their own patterns in financial behavior, do not show significant differentiation of influence in the relationship between financial literacy levels and employee investment decisions.

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