Resilience of Gen Z to Socioeconomic Challenges: The Interconnection of Family Financial Socialization, Attitudes Towards Money and Financial Well-being

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Abstract
In an era marked by rising economic uncertainty, inflation, job market instability, and shifting social dynamics, understanding how young individuals develop financial stability has become increasingly critical. That is precisely why it is necessary to ensure Generation Z’s resilience to socioeconomic challenges. Even while youth financial habits are receiving more attention, few studies in a developing South Asian economy examine how attitudes toward money and family financial socialization affect their financial well-being. Therefore, this study investigates how financial attitudes, shaped by early family experiences, mediate the link between financial socialization and financial well-being. Between September and December 2024, a structured questionnaire was distributed both physically on campuses and digitally via online platforms to collect primary data from 452 Gen Z students (aged 18–28) enrolled in 10 management colleges affiliated with national and international universities operating in Kathmandu, Nepal, selected through a purposive sampling method. AMOS SEM was employed to analyze the proposed model comprehensively and test the hypothesized relationships and mediation effects. At the same time, Hayes’ PROCESS macro was used to examine the categorical moderation effect of parents’ education level and occupation. Regression analysis confirmed that stress on saving (β = 0.192), expected financial independence (β = 0.167), and media/peers (β = 0.180) significantly affect financial well-being. Attitude towards money mediated these effects, with significant conditional indirect effects across all parental occupations and education levels (p < 0.05). The findings highlight how social agents shape financial socialization and urge Nepalese youth to invest in their financial well-being amid socioeconomic challenges.

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