A model for predicting the financial status of university students is crucial to assist in identifying good or bad financial management which can affect their academic performance. Therefore, in this study, the predictive model was developed based on students spending behaviour regarding needs and wants. Nine basic needs items of Universiti Utara Malaysia (UUM) students were identified using past studies. An observational study was conducted in obtaining the actual cost for all the 9 items. Students spending behaviour were determined using a survey instrument. Comparisons were made between the actual cost of basic needs with students spending behaviour to determine their financial status either good, bad or struggling financially. Discriminant Analysis was used to develop the financial status predictive model. The findings showed that 41% of UUM students have good financial status, 21% as bad and 38% as struggling financially. The discriminant model has 94% accuracy which can be used to predict the future financial status of UUM students. Thus, can provide aids for those facing problem with financial management via financial counselling or financial management training course and etc.
Volume 11 | 08-Special Issue