The Effects of Financial Literacy, Pocket Money, and Lifestyle on Saving Behavior among Students of the Faculty of Economics and Business at Universitas Muhammadiyah Cirebon

Saving behavior is an important indicator of personal financial management, particularly among university students who are beginning to become financially independent. However, students' limited saving habits indicate that their financial management skills remain underdeveloped. This study aims to analyze the effects of financial literacy, pocket money, and lifestyle on saving behavior among students of the Faculty of Economics and Business at Universitas Muhammadiyah Cirebon. The study employed a quantitative approach with an explanatory research design. Data were collected through questionnaires administered to 230 respondents selected using purposive sampling. The data were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM) with SmartPLS 4. The findings show that financial literacy and pocket money have positive and significant effects on saving behavior. In contrast, lifestyle has no significant effect on students' saving behavior. These findings indicate that improving financial knowledge and the ability to manage pocket money are key factors in shaping students' saving behavior, whereas lifestyle is not a determining factor. The study contributes to the literature on students' financial behavior and provides practical implications for higher education institutions in improving financial literacy education and personal financial management.