Abstract:
Purpose – The Purpose of this research paper is to focus on findings the relation
between the financial literacy, level of income, and perceived financial risk to
debt behavior and its relation to financial readiness of millennials to retire in the
future.
Design/ Methodology/ Approach – The model in this research is Structural
Equation Model (SEM) to examine the relationship of the variables and use an
online survey to collecting data.
Findings – The result shows that the debt behavior is positively affected by the
financial literacy, level of income, and perceived financial risk meanwhile, the
debt behavior has no significant relationship with financial readiness to retire.
Research Limitation - This research focusing on millennials generation who
work and live in Jabodetabek area.
