Improving Financial Management through Financial Literacy Training at SMAN 1 Padalarang, West Bandung Regency
Improving Financial Management through Financial Literacy Training at SMAN 1 Padalarang, West Bandung Regency
Fulfill Your Potential to Manage Your Financing
Financial literacy is defined as the level of financial knowledge and the ability to apply knowledge to improve financial status. Unfortunately, in reality, people are still confused about the difference between savings and investment and there is still an opinion that investment is used as a means of savings. This is one of the factors that reduce the propensity to invest in most people (Lokhande, MA, 2015).
Educational institutions are considered to be the right tool in improving knowledge and understanding of the importance of financial literacy among the public. The introduction of how to invest properly, financial management and introduction to capital market products can attract people who are potential investors.
The younger generation’s interest in investing in certain financial instruments is influenced by awareness, income level and skills. When someone realizes the importance of investment, it must be accompanied by good financial literacy so that their financial decisions are more directed and on the right track. The importance of financial literacy can be given early, one of which is through training for high school students where they can be able to know basic knowledge about investment, financial management and capital markets, so that in the future they will be better prepared to manage the finances they will get later.
The community service carried out is the provision of training related to financial literacy to students of SMAN 1 Padalarang to increase students’ knowledge in conducting financial management. this service was organized by lecturers of the Faculty of Economics Business – Telkom University namely Andrieta Shintia Dewi, S.Pd., M.M, Muhamad Muslih, SE., MM, and Kurnia, S.AB., MM on Tuesday, June 4, 2023. This training began with mapping the training participants to find out how far their knowledge of financial literacy, especially about investment and financial management and the capital market. This training activity is divided into 3 sub-materials, namely financial literacy about investment, financial literacy about financial management, and financial literacy about the capital market. The delivery method was delivered interactively so that students could better understand the material presented. After each material presentation, a post test in the form of a quiz was given to assess how far the students’ understanding of the material that had been explained. At the end of the event, a questionnaire was also given to participants regarding the benefits obtained after attending the training. The measure of success of this program is the increase in knowledge and understanding of training participants about financial literacy, especially about investment, financial management and capital markets.
