Financial Well-Being Scale:  Evidence of Validity and Reliability in Peruvian Context

Dany Yudet  Millones-Liza; Elizabeth Emperatriz  García-Salirrosas

doi:10.36941/ajis-2024-0085

Authors

Dany Yudet Millones-Liza UPG Ciencias Empresariales, Escuela de Posgrado Universidad Peruana Unión, Facultad de Ciencias Empresariales, Escuela de Administración, Universidad Peruana Unión, Carretera Central Km 19.5 Ñaña, Chosica, Peru
Elizabeth Emperatriz García-Salirrosas Faculty of Management Science, Universidad Autónoma del Perú, Panamericana Sur Km. 16.3, Villa EL Salvador, Peru

DOI:

https://doi.org/10.36941/ajis-2024-0085

Keywords:

Financial well-being, Scale, Peru, Reliability, validity

Abstract

The objective of the study is to analyze the reliability and validity evidence based on the internal structure of the InCharge Finance Distress / Financial Wellbeing (IFDFW). It was administered to 545 citizens from the three regions of Peru (coast, the Andes and the rainforest). There were 296 women and 243 men, with an average age of 33.45 years (SD= 9.65). Confirmatory factor analysis provided adequate support for the 8-item one-dimensional model with the presence of correlated errors (CMIN= 58.635, DF = 17.00; CMIN/DF =3.449; CFI = 0.979; RMSEA= 0.067; SRMR= 0.032; and PClose = 0.061), also showed a good convergent internal validity based on the value of AVE = 0.554. Regarding reliability, a Cronbach's alpha = 0.881 and a CR= 0.91 are observed, which indicates adequate reliability of the one-dimensional model of the InCharge. The results suggest that the Peruvian version of the InCharge presents adequate psychometric evidence to measure the financial well-being of employees in a Peruvian context. Thus, it seeks to contribute to the advancement of the scientific study of financial well-being in Latin America.

Received: 1 September 2023 / Accepted: 16 March 2024 / Published: 5 May 2024