Mary Help of Christians School (Pampanga) Inc.

Mabalacat City, Pampanga

DAILY ALLOWANCE AND SPENDING

BEHAVIOUR OF HIGH SCHOOL STUDENTS IN

MARY HELP OF CHRISTIANS SCHOOL

(PAMPANGA) INC.

Presented by:

De Guzman, Kramecila

Duro, Lorraine

Lugue, Jamey Lynn

Ortiz, Keithryn Lee

Presented to:

Ms. Anna Clarissa Regala

S.Y 2017-2018
 CHAPTER I

THE PROBLEM AND ITS BACKGROUND

Introduction

Allowance is a sum regularly provided for personal expenses which

means it is common to most students to receive allowance for their expenses in a

school year. There can be differences with the amount they are given depending

on their parents choice and family income. Parents usually give certain amounts

of money in accordance with how much they earn and how much their child

needs to strive in the economy. This gives students more responsibility in

handling their allowance which will result to different ways or behaviours on how

each child budgets their daily transactions. Analysing the factors affecting the

students allowance will give insights to how and why students manage money.

According to Mark Canlas (2014), it is a good idea to teach kids

budgeting skills as early as when they are high school. There is nothing more

real than the pain of a grumbling stomach to teach them about handling their

finances well. This emphasizes the critical stage when a child needs to fully

grasp the idea of budgeting. It was also mentioned in the article that for many

parents, the question of how much school allowance should they give their

children is a lingering one. The amount and the frequency of giving allowance

add up to the factors affecting students decisions. It is a matter of foreseeing

how much and how frequent parents should give their children to avoid any

financial or personal problems. According to Emma (2014), a mother of a college

student interviewed by Mark Canlas, giving too much allowance to a student

risks financial irresponsibility including unnecessary hanging out with friends.

This factor will be further examined in this study.

Every other family has their own strategy on how they teach their child

on spending money. One example is how often they give the allowance because

other parents give allowance weekly and monthly. Moreover, parents do not give

additional money to their children until the next allowance. With this idea, it is a

way of indicating to children that an allowance demands choices concerning

spending and saving.

Each child has their own spending behaviour. Younger children tend to

spend all of their money after receiving it. In this way, they will learn how to save

money the hard way because spending is done not just in a period of time but

within a budget. But with older children, they are more responsible on how they

use their allowance. They tend to save more and spend it for larger costs such as

clothing and other personal desires. There are more factors that affect different

spending behaviours of students such as personal needs and wants in relation to

their age, gender, and their environment.

Generally, this study aims to determine the daily allowance and spending

behaviour of the high school students in order to give them knowledge regarding

proper management of money.

Statement of the Problem

This study aims to identify the daily allowance and spending behaviour of

high school students in Mary Help of Christians School (Pampanga) Inc.,

Academic Year 2017-2018.

Specifically, this study seeks to answer these following questions:

1. How much is their daily allowance?

2. What are the factors that affect their allowance?

3. How often do students receive their allowance?

4. How do they spend their money?

5. What are the factors that affect their spending behaviour?

6. What assistance can be given to the students in order to properly

spend their allowance?

7. Is there a significant difference on the spending behavior of the high

school students in terms of their grade levels?

Scope and Delimitation of the Study

The scope of the study is the daily allowance and spending behaviour of

high school students. The study considers the name (optional), age and grade

level of the respondents.

The researchers limited the study to 100 high school students enrolled in

Mary Help of Christians School (Pampanga) Inc., Academic Year 2017-2018.

The respondents were given questionnaires to answer.

 This study includes gathering data through library research net surfing and

conducting survey. Findings of the study are true only for the subject of this study

during this period of time, while the generalization and interpretation were based

on findings of the study.

Significance of the Study

The findings will be beneficial to students, parents, and future researchers.

To the students, this will help them provide insights on the many ways of

managing allowance wisely. Moreover, this study can help them realize the

importance of budgeting and saving at an early age in order for them to use the

information for future benefits such as having financial backup, possessing good

decision-making skills, and enhancing personal responsibility.

To the parents, this study can benefit them by providing insights and

information about the allowance they give to their children and how and where

they generally use it. In addition, this study can inform them as to how much

allowance is accurate for their children to use for their needs. This study will also

give them assistance on how they will discipline their child on spending and

saving for their future desires.

To the future researchers, this study can serve as a guideline and basis to

the further studies related with the topic of this research that would be conducted

elsewhere.
 CHAPTER II

THEORETICAL FRAMEWORK

This chapter presents the review of related literature and studies, the

conceptual framework, and the definition of variables used in the research.

Related Literature

The researchers have mentioned that analysing the factors affecting the

students allowance will give insights to how and why students manage money.

This means that starting from how their allowances are given, every little detail

regarding money will determine how a student will most likely spend their money.

There are common mistakes regarding the allowance of each child even

with a good allowance system in place, issues can come up as early as they get

money. Some of the most common issues are having poor spending habits,

refusing to spend their own money, and complaining about not having enough

(DeCoursy, n.d.). These common mistakes are results that come from the

parents approaches to their childs allowance. According to Lieber (2015), there

are three basic ways that parents approach how they will deal with their childs

allowance. No chores necessary, no free money, and no allowance at all are the

three basic approaches most parents take. There are advantages and

disadvantages in every approach in which will shape each childs budgeting

habits.
 Cummins (2013) stated as she reviewed a study that children spent more

when they did not receive allowances at home and when they received store

credit while the others spent the same amount whether they were given cash or a

credit card when they got their allowances at home. Therefore, receiving an

allowance did indeed impact childrens financial responsibility, even at this young

age. These allows the researchers to fully grasp the idea that it is most likely that

receiving allowance and having discussions with parents will help their financial

management in the future.

Related Studies

According to a study conducted by Berari and Patil (2014), within 150

students in different educational categories specifically junior and senior

students, they differs significantly in spending their money on shopping, fast food,

alcohol and a like as analysed and collected using various statistical and

research tools. Moreover, it was also found that both female and male have

different spending patterns with a minimal similarity.

Manju (2016) studied how students spend their daily allowance and he

conducted his study among 240 students compromising of 120 males and 120

females. He stated that the result of his study is majority of the students spend

most of their allowance on their personal desires like out-of-school trips and

digital life than books, school materials or savings. Additionally, majority or ninety

percent of this student still depend on their parents for meeting their day-to-day

expenditures. Female students have more capability on saving their allowance

than male students. Therefore, spending patterns between females and males
have a difference based only in purchasing items for celebration, movies,

apparels and other necessities.

The relationship between Berari, Patil and Manjus studies and the

researchers is that all studies are focusing on what factors do influence high

school students when spend their daily allowance. These studies helped the

researchers to have additional information about the difference how female and

male students spend and how age and their grade level affect their spending

behaviour.

Conceptual Framework

Independent Variables Dependent Variables

Spending
Daily Behavior of High
Allowance school Students

The researchers are trying to measure the change in the consumption

behaviour of the high school students (dependent variable) as influenced by their

daily allowance (independent variable). The spending behaviour of the students

depends on the amount of their allowance. Large amount of students allowance

may cause excessive spending while small amount of allowance may cause

spending little.
Hypothesis of the Study

There is a significant difference in the consumption behaviour of the high

school students.

Definition of Variables

Daily allowance. It is an amount of money given to the students for a specific

purpose.

Spending behavior. It is the act of disbursing money in response to an action,

environment, or person in the satisfaction of needs and wants.

 CHAPTER III

RESEARCH METHODOLOGY

This chapter presents the methods and techniques of the study, the

population and sample of the study, the research instruments, the data gathering

procedure, and the data processing and statistical treatment used.

Methods and Techniques of the Study

This study will use quantitative method in the presentation and analysis of

findings. As stated by Kruger (2003), quantitative research methods allow us to

summarize huge sources of information and facilitate comparisons across

categories and over time. They provide venue for greater objectivity, reliability,

and accuracy of results.

Descriptive design will be used to determine the daily allowance and

consumption behavior of junior high school students from Mary Help of Christians

School in Pampanga.

Information related to the problem indicated will be collected through the

responses of the students from the survey form.

Descriptive approach will also be used to determine if there is a significant

difference among the consumption behaviour of students in terms of grade level.

POPULATION AND SAMPLE OF THE STUDY

Table 1 represents the population and sample of the study.

TABLE 1

Respondents of the Study

Respondents Population Sample Percentage

1. Grade 7 80 28 28%

2. Grade 8 89 30 30%

3. Grade 9 66 22 22%

4. Grade 10 68 20 20%

TOTAL: 303 100 100

Systematic Sampling was used by the researchers in identifying the

respondents per grade level. Table 1 shows the total number of population in

each grade level at Mary Help of Christians School (Pampanga) Inc. S.Y 2017-

2018 and its corresponding number of respondents of the study.

Research Instruments

Basically, the instrument that will be used in the collection of data is a

survey form. The chosen respondents were given questionnaires to answer. The

type of questions used is recognition type wherein fixed alternative answers are

already provided and the respondents simply choose from among the given

choices.
Data Gathering Procedure

In gathering the data, the researchers asked the school registrar for the

official list of enrolled high school students for school year 2017 - 2018. After this,

respondents were chosen using systematic sampling. Then, researchers

distributed the questionnaires for the respondents to answer.

Data Processing and Statistical Treatment

The statistical analysis and treatment of data will involve frequency,

percentage to determine the daily allowance and spending behaviour of the

students.