Abstract
People who earn an income constantly must make financial decisions that have an everlasting effect on their financial health. The current catalogue of financial products has become extremely complicated because of the level of responsibility that individuals have for their financial well-being; thus, high financial literacy levels have become essential. The aim of the study was to establish whether the financial literacy levels of students studying towards a commerce degree increase as they progress in their studies. This was done by comparing the financial literacy scores of first-year students studying towards a Bachelor of Commerce degree and postgraduate students studying towards a commerce qualification. The study used a questionnaire to collect data from the respondents. The sample, which consisted of first-year Bachelor of Commerce in Accounting students and postgraduate students studying towards a commerce qualification, was selected from a population which includes all the Bachelor of Commerce degrees and the postgraduate diplomas presented by the University of Johannesburg. The results of the study indicate that the financial literacy scores of the postgraduate students are higher than those of the first-year students. This is in line with previous research, which found education to have a positive influence on financial literacy levels. The background and demographic characteristics lacked the variation and representation to be analysed further. The researcher notes that although both the first-year and postgraduate students have high levels of financial literacy, it has become increasingly vital for students to have financial literacy levels to enable them to make sound financial decisions.
Key words
Financial literacy; year of study; questionnaire; University of Johannesburg; Commerce