ACCI Conference 2017

To better understand consumer planning behavior, this study examined factors associated with the propensity to plan, the association between the propensity to plan and financial capability, and the association between the propensity to plan and financial satisfaction, a subjective measure of financial well-being. Compared to previous research on the propensity to plan with sample limitations, this study used data from the 2015 National Financial Capability Study, a large, nationally representative sample, to examine demographic and financial factors associated with the propensity to plan and potential effects of the propensity to plan on financial capability and financial satisfaction. The results show that there are demographic and financial differences in being a self-planner and the propensity to plan is positively associated with financial capability factors and financial satisfaction. The findings are unique, enrich the literature of consumer finance, and have implications for financial service professionals to better serve consumers.