This study proposed a hierarchy of savings motives and identified factors that influence the movement to higher levels of the hierarchy. Continuation ratio analysis utilizing data from the 2001 Survey of Consumer Finances shows the likelihood of advancing to higher levels of savings motives from the current level. Age, family size, and length of the planning horizon are important predictors for advancing from lower levels to higher levels in the proposed hierarchy. Implications are offered for public policy regarding education and programs.

Purpose The purpose of this paper is to investigate the effects of financial incentives on consumers’ intention to adopt near field communication (NFC) mobile payment. Design/methodology/approach An online experiment was conducted crossing two levels of incentive types (cash back and discount), two levels of incentive amounts (5 and 10 percent), and two levels of incentive promotion periods (one and three months). A total of eight treatment conditions plus one control group comprised the 2×2×2 factorial design. A sample of 463 subjects with no prior experience with NFC mobile payment was recruited using a Qualtrics panel. Findings This study found that: the availability of financial incentives had a positive effect on intention to adopt NFC mobile payment; financial incentives indirectly affected intention through perceived risk; and while different types, amounts or promotion periods did not seem to matter for those in the low perceived risk group, the main effect of promotion period and the interaction effect between amount and promotion period were significant for those in the high perceived risk group. Research limitations/implications The study sample was limited from 18 to 35 age group, which could have affected the varied effect of the different attributes of incentives that were examined. Originality/value This study is the first to give some empirical evidence about the impact of financial incentives on NFC mobile payment adoption. The results provide insight to providers as well as retailers offering the incentive payment option.

Financial socialization, or who and how individuals were influenced financially, while growing up, has an impact on their current financial literacy and well-being. Little is known about African Americans’ financial socialization, so this study explored their financial socialization through the best and brightest of the community-educated African Americans; and then determine if the way in which they were socialized has an impact on their financial knowledge. The African American community is a heterogeneous community and differences in education levels would probably produce differences in financial outcomes. Primary data and 2015 FINRA survey data were used in this study. This study found that participants’ top three financial influences were parents, followed by life experiences, and then formal influences. Furthermore, those who were financial socialization by self-directed influences were more likely to be more financially knowledgeable than those who were financially socialized by other informal influences.

This study investigated whether spending habits before and during the Great Recession predicted financial distress. Financial distress was defined as failing to make mortgage and non-mortgage loan payments on time. Data from the 2007–2009 panel of the Survey of Consumer Finances revealed that one’s prerecession spending habit did not seem to matter. Respondents who reported in the earlier wave that they spent more than income but had begun to spend less than income during the recession were twice as likely to become financially distressed. However, those who were spending more than their income during the recession were three times as likely to be financially distressed. Being in good health, having income certainty, and above average risk tolerance lowered the odds of financial distress.

This research examined the effects of seeking professional financial advice and being employed in different industries on a household’s likelihood of holding adequate emergency funds to cover six or more months without income. The theory of precautionary savings provided a conceptual framework for the study. Three measures of emergency funds were analyzed: Subjective funds, Quick funds, and Comprehensive funds. The sample consisted of working household heads in the 2007 Survey of Consumer Finances. Seeking professional financial advice significantly increased the likelihood of holding adequate Comprehensive funds. Only household heads employed in financial, insurance, real estate, repair, and advertising industries were more likely to have adequate levels of Subjective and Comprehensive funds. Household heads employed in manufacturing, construction, and retail industries, which are more likely to be affected by a recession, did not have increased likelihood of holding adequate emergency funds. Financial educators and advisors need to stress the importance of adequate emergency savings.