Be money smart! : a financial literacy resource pack for low-income single-parent families

Abstract

A number of research studies on financial literacy have been conducted at the local level, focusing on the awareness, knowledge, skills, attitudes, and behaviours required to make sound financial decisions and attain economic wellbeing. However, a knowledge gap exists with regards to the level of financial literacy among low-income single-parent households, despite being recognised as the household type that is most vulnerable to poverty. The primary objective of this research was to gain an understanding of the financial challenges encountered by single parents and to create an educational resource pack that equips them with the essential financial knowledge and competencies to surmount financial obstacles and enhance their quality of life. A quantitative approach was employed to conduct a needs assessment, serving as the primary survey for the subsequent stage of the research which entailed the creation of an original product. Fifteen paper-based questionnaires were administered to low-income single parents, with the aid of an intermediary, to gain insight into their financial challenges. The findings of the statistical analysis indicate that a notable percentage of the participants exhibit concerning behaviour and attitudes towards the management of their finances. Most of the respondents indicated a lack of budget planning, and even those who do engage in such planning often struggle to develop an efficient and effective budget plan. Furthermore, single parents have conveyed their concerns regarding their inability to save funds for unforeseen circumstances due to an ineffective budget plan. Following the aforementioned findings, the researcher developed an educational resource pack that was deemed suitable for the single parents who participated in this study. The utilisation of andragogy theory was incorporated by the researcher throughout the creation of the educational resource pack, with a focus on adult learners. The selection of appropriate pedagogies was made to facilitate optimal learning outcomes among this demographic. The educational resource pack, titled 'Be Money Smart', exhibits potential for implementation across diverse organisations that prioritise the needs of single parents by offering support for overcoming financial challenges.