Financial Literacy and Psychological Well-Being among Malaysian Adults: The Role of Cognitive Factors and A Phenomenological Exploration

Addressing Malaysia's escalating mental health issues necessitates tackling poor financial literacy, a significant contributor to psychological problems. Unfortunately, existing financial education programs lack effectiveness due to oversight of cognitive factors and insufficient depth in Malaysian financial literacy research. Therefore, this research investigated the link between cognitive factors, financial literacy, and psychological well-being among 300 adults in Klang Valley. Additionally, lived experiences of Malaysians with poor financial literacy and psychological well-being were explored. Findings propose solutions to current ineffective interventions: 1) emphasise enhancing cognitive capabilities, 2) insight into overlooked or yet-to-be-considered aspects to guide future financial literacy and mental health strategies.