| dc.description.abstract | The study was guided by two objectives namely to establish the level of financial literacy of
Mumias Sugar company employees; and Effect of financial literacy on saving practices and
social security planning of Mumias Sugar Company employees. To achieve this objective
the study used descriptive survey design to explore the relationship between the different
variables. The study used primary data collected from semi-structured questionnaires. Data
collected was edited to ensure that it was correct and complete thus reducing biases,
increasing the precision and achieving consistency. Data was then analyzed by using
regression analysis and descriptive statistics which was presented using mean, correlation,
standard deviation and percentages. The study findings revealed that majority of the
employees of Mumias Sugar Company had a good background on financial knowledge and
skills. With regard to their retirement plans, it was revealed that most of the respondents
agreed to a moderate extent that they had set stable retirement plans. The study further
revealed that even though most of the respondents fully understood the concept of estate
planning and its significance in financial management, most of the employees did not have a
will. The findings also showed that most respondents moderately applied their financial
knowledge in relation to managing credit and other liabilities. In general, it was observed
that the employees implemented their financial knowledge and skills in personal financial
management. The results of the regression showed that there was a positive relationship
between financial literacy and personal financial planning of employees in Mumias Sugar
Company. This is explained by the by the level of significance of the independent variables
whose level of significance was below 5%. It was concluded that that most of the employees
of Mumias Sugar Company were financially literate and this highly contributed to better
personal financial planning, saving practices and social security planning. The challenge
faced by the researcher was that there was no control over the data collection; some of the
respondents gave out incomplete questionnaires while others failed to fill the questionnaires.
Most of the respondents agreed to participate on condition that the information was only for
academic purposes only and therefore would not be divulged to any other party. The study
recommends that a study should be conducted on the effect of financial literacy on personal
financial management on small and medium enterprises to find out whether the owners of
small businesses understand the concepts of financial management and its effect on personal
financial management then, conclusions and recommendations can be drawn in accordance
to the findings of the study | en_US |
