International Journal of Science and Research (IJSR) ISSN: 2319-7064 SJIF (2020): 7.803 Volume 10 Issue 10, October 2021 www.ijsr.net Licensed Under Creative Commons Attribution CC BY Financial Literacy of Filipino Public School Teachers and Employees: Basis for Intervention Program Arjay S. Tilan 1 , Esmen M. Cabal 2 1 Teacher III, Rofulo M. Landa High School, Zambales, Philippines 2 Professor VI, President Ramon Magsaysay State University, Zambales, Philippines Abstract: Background : Financial literacy among teachers is an important skill to have a stable and financially secure life. This study aimed to explore the teachers’ and employees’ financial literacy towards crafting an intervention program. Materials and Methods : The study used descriptive-survey research design with survey questionnaires as the main instrument in gathering the required data. The respondents of this study were drawn from teachers and employees of public secondary schools in Central Luzon, Philippines. Results : The study revealed that a typical respondent is a young adult, female, married, Roman Catholic, BS/AB holders with master’s units, a teacher, new in the teaching profession, receives low monthly net take home pay and do not have other sources of income. The teachers and employees are literate in all aspects of financial literacy which include relating income and education; money management; planning, saving & investing; community and financial responsibility; credit and debt management; becoming a critical consumer; and risk management. Conclusion : There are statistically significant differences in the teachers’ financial literacy when grouped according to profile variables. There are significant positive correlations between teacher’s monthly income and financial literacy. The proposed intervention program may not be prescriptive but can be modified, contextualized and enhanced to suit the school setting. Keywords: financial literacy, financial management, public school teachers, teachers’ salary 1. Introduction Experts in investment and financial management often say that ignorance is the greatest risk in investment and financial management. Experts also generally agree that people lack the financial literacy necessary to make important personal financial decisions in their own best interests. Societal financial changes occur daily. These changes impact key financial concepts such as budget, management, and wealth. Within any profession that an individual decides to pursue, financial literacy is a key component to achieve success [1]. Teachers and parents may recognize the need to teach these concepts in secondary education to students between the ages of 11-18, however, due to past economic depression and recession statuses, learning financial literacy as an essential life skill should be implemented thoroughly within a secondary education curriculum [2]. Becoming financially literate is not seen as an “absolute state; but rather, a continuum of abilities that is subject to variables throughout the life cycle. It is an evolving state of competency that enables individuals to respond effectively to ever changing personal and economic circumstances” [3]. Hepburn [4] states that, literacy is the ability to comprehend and be knowledgeable in a specific area. Using literacy at all levels of Bloom’s Taxonomy Model that includes remembering, understanding, applying, analyzing, evaluating, and creating, information literacy involves traditional skills such as reading, researching, and writing, but new ways to read and write have also introduced new skills [5]. The abundance of financial information requires students to gain skills to ensure comprehension. In the past, student information was obtained through official publications like books, newspapers, and magazines, where students encountered data that had been prepared by professionals [6]. According to Callens [6], many students are being branded as digital natives. They are content being online rather than offline. The internet enables endless educational possibilities, with constantly evolving information streams [4]. However, the unpredictability of the internet can be a hindrance to those learners who cannot effectively go through and interpret the material presented, as information is prepared by both professionals and amateurs. To enhance students’ financial literacy skills, financial education programs need to be effective. These programs must be built around the various dimensions of financial literacy such as financial knowledge, financial behavior and financial attitudes so that students will benefit the most out of financial literacy programs [7]. In the Philippines, Education Secretary Leonor Briones is considering making it mandatory for teachers to take financial literacy workshops, given the recent controversy over teachers’ loan payments [8]. Briones in Cepeda [8] said teachers themselves must be wise in their finances to set a good example to their students, who will soon count financial literacy among their subjects in compliance with Republic Act No 10679 or the Youth Entrepreneur Act. The Department of Education (DepEd) chief also cited Republic Act No 10922, which declares every second week of November as Economic and Financial Literacy Week. Briones is now mulling requiring financial literacy for current teachers after their debts from the Government Service Insurance System's (GSIS) loan programs have Paper ID: SR211022071618 DOI: 10.21275/SR211022071618 1104