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Mental budgeting and the management of household finance

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  • Antonides, Gerrit
  • Manon de Groot, I.
  • Fred van Raaij, W.

Abstract

Mental budgeting and financial management were investigated in a large sample of the Dutch population. Mental budgeting was quite common, and was explained from general education, having saving goals, financial knowledge, time orientation, and financial situation. Also, mental budgeting, in addition to effects of financial situation, time orientation and financial knowledge, was positively associated with having an overview of expenses and current accounts, and household financial management.

Suggested Citation

  • Antonides, Gerrit & Manon de Groot, I. & Fred van Raaij, W., 2011. "Mental budgeting and the management of household finance," Journal of Economic Psychology, Elsevier, vol. 32(4), pages 546-555, August.
  • Handle: RePEc:eee:joepsy:v:32:y:2011:i:4:p:546-555
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    References listed on IDEAS

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    Cited by:

    1. Stephan Muehlbacher & Erich Kirchler, 2013. "Mental Accounting of Self-Employed Taxpayers: On the Mental Segregation of the Net Income and the Tax Due," FinanzArchiv: Public Finance Analysis, Mohr Siebeck, Tübingen, vol. 69(4), pages 412-438, December.
    2. Bao, Yue & Gao, Ziyou & Xu, Meng & Sun, Huijun & Yang, Hai, 2015. "Travel mental budgeting under road toll: An investigation based on user equilibrium," Transportation Research Part A: Policy and Practice, Elsevier, vol. 73(C), pages 1-17.
    3. Johanna Peetz & Melanie Simmons & Jingwen Chen & Roger Buehler, 2016. "Predictions on the go: Prevalence of spontaneous spending predictions," Judgment and Decision Making, Society for Judgment and Decision Making, vol. 11(1), pages 48-61, January.
    4. Donnelly, Grant & Iyer, Ravi & Howell, Ryan T., 2012. "The Big Five personality traits, material values, and financial well-being of self-described money managers," Journal of Economic Psychology, Elsevier, vol. 33(6), pages 1129-1142.
    5. Miotto, Ana Paula S. C. & Parente, Juracy, 2015. "Antecedentes e consequências do gerenciamento das finanças domésticas na classe média baixa brasileira," RAE - Revista de Administração de Empresas, FGV-EAESP Escola de Administração de Empresas de São Paulo (Brazil), vol. 55(1), January.
    6. Jaakko Aspara & Arvid Hoffmann, 2015. "Selling losers and keeping winners: How (savings) goal dynamics predict a reversal of the disposition effect," Marketing Letters, Springer, vol. 26(2), pages 201-211, June.
    7. Silva, Wesley Mendes da & Costa Júnior, Newton C. A. da & Barros, Lucas Ayres & Armada, Manuel Rocha & Norvilitis, Jill M., 2015. "Behavioral finance: advances in the last decade," RAE - Revista de Administração de Empresas, FGV-EAESP Escola de Administração de Empresas de São Paulo (Brazil), vol. 55(1), January.
    8. Tang, Ning & Baker, Andrew, 2016. "Self-esteem, financial knowledge and financial behavior," Journal of Economic Psychology, Elsevier, vol. 54(C), pages 164-176.

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