MONEY BUDGETING: A COMPARATIVE ANALYSIS OF GRADE 12

LAGRO HIGH SCHOOL’S ABM AND HUMSS STUDENT’S

FINANCIAL LITERACY 

Submitted by:

ABM 12-ARANETA

Group 3

RESEARCHERS:

Villegas, Jesfie, U.

Pangilinan, Kim, P.

Almelia, Avegail V.

Bonagan, Jennalyn, N.

Garcia, Vincent, E.

Ybañez, Keithrine Kaye A.

Jarabe, Joriz

__________________

Meinrad C. Bautista, Ph.D.

Research Adviser
 Background Of the Study 

Money makes the world go round, and financial literacy stabilizes its motion as it has

been recognized as an essential skill for individuals embedded in an increasingly complex

financial scenario. It helps individuals make assertive and efficient decisions in the monetary

context of their lives.

An adage says that death and taxes are the only certain things. Reality presents a different

perspective, so this is unquestionably an understatement. Inflation is one of the things everyone

is bound to face as well. Bangko Sentral ng Pilipinas (2022) indicates that for September 2022,

the Consumer Price Index for the Philippines is 116.8 inflation over the past year has increased

by 6.9% (as opposed to 6.3% in the previous month). From August 2022 to September 2022,

inflation was 0.4%.

If one has a sufficient income, their ability to outperform inflation largely depends on

assessment and willingness to adjust. However, most people who live paycheck to paycheck find

it challenging, particularly those living in extreme poverty. This is where money budgeting plays

an essential role in minimizing the impact of inflation on finances.

Throughout their lifetime, individuals are responsible for their finances. We cannot

dispute that students are now aggressive in spending their money because they have been

exposed to many activities that pique their curiosity, making them lack financial knowledge and

budgeting skills leading to wrong financial decisions. These issues are widespread worldwide,
which piques the researchers' interest in providing information on the different ways of money

management of the two selected strands.

This study compares financial literacy: Money budgeting of grade 12 Accountancy,

Business, and Management and Humanities and Social Sciences Lagro High School. This type of

research is comparative research with a quantitative approach.

Telegraph Co. UK (2007) expounded that the origins of annual budgets lie in centuries of

monarchs mismanaging the country's finances despite being a relatively new invention, which

emerged until the early 18th century. The origins of the word Budget lie in the term "bougette" -

a wallet in which documents or money could be kept. While at first referring only to the

Chancellor's annual speech on the country's finances, the word quickly became used for any

financial statement or plan. Moreover, Cleverism (2019) explained that planning is the ability to

think about and successfully manage activities, with the help of available resources, to achieve

specific goals, known as one planning skill.

The budget is a quantitative plan used to decide which projects will be chosen for the

future. Budgeting is beneficial, especially to those interested in spending money in a good way

and for students who also have lots of expenses in their school.

Being an ABM student is an advantage, as an individual can apply their knowledge in

accounting on daily budgeting allowances. Setting goals is momentous because it can help one

recognize more significant spending problems and makes it easier to assess current priorities.
 Thus, handling allowances is beneficial as it keeps track of our spending and how they

can benefit us in the long run. It also helps to reduce debt troubles once one is capable enough to

manage daily allowances.

ABM students are encouraged to be Financial Literate as they likely engage in business,

entrepreneurship, and other business-related careers. They learn to spend the money in their

hands wisely at a young age. On the other hand, the HUMSS strand is also one of the demand

strands nowadays because they are the future servants in our country. HUMSS track studies

human behavior and societal changes and analyzes arts, culture, literature, and politics, including

how monetary value and finances shape society. This strand will open eyes and test the ability

and potential to address issues our country has been facing today, including financial literacy.

Financial Inclusion (FI) survey published in 2019 by the Bangko Sentral ng Pilipinas

concluded that only 55% of Filipino adults know how and why inflation directly affects the

prices of goods and services, while only 33% knew the correct answers on interest rates.

This study will contribute to and benefit everyone's knowledge and awareness that every

senior high school student has financial knowledge and different ways of budgeting money and

how it will be able to help us in these trying times.

 References

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