Financial Literacy Competencies on Retirement Planning Among Public Sector Employees at Mzinga Corporation, Tanzania

This study explores the impact of financial literacy competencies on personal retirement planning among public sector employees at Mzinga Corporation, Tanzania. It examines the relationships between financial knowledge, computational capability, financial education, and risk attitudes in shaping retirement preparedness. The research employs a positivist philosophy and a quantitative approach, utilising a causal-effect research design. A total of 65 employees participated in the study, with data collected via structured questionnaires. Descriptive and inferential statistics, including Pearson correlation and multiple regression analysis, were used to analyse the data. The findings indicate strong, positive, and significant relationships between all independent variables and personal retirement planning. Specifically, financial knowledge, computational skills, and financial education significantly enhance employees’ ability to plan for retirement, while risk attitude showed a positive but statistically insignificant impact. The regression model demonstrated that 92% of the variance in retirement planning is explained by these competencies. The study highlights the critical role of computational skills, particularly in projecting savings and assessing financial goals. The findings suggest that workplace-based financial literacy programs are essential for improving retirement preparedness, particularly in the absence of robust pension systems. The study concludes by offering policy recommendations to enhance financial literacy through targeted education and training, aimed at equipping public sector employees with the tools to secure their financial future.