Emerging adults’ Financial Well-being

Financial well-being is a positive financial condition that has both an objective and a subjective side. Objective financial well-being refers to material resources such as income, savings, and assets, while subjective financial well-being corresponds to an individual’s emotional and cognitive evaluation of their own financial condition. The current chapter aims to properly define this construct, clarify how the conceptualization of financial well-being has changed over the last decades, and emphasize important considerations related to financial well-being among emerging adults. In particular, we stress adjustments this construct should receive in terms of conceptualization and measurement. Furthermore, we highlight that the meaning emerging adults attribute to financial well-being is shaped by the culture they belong to and the socioeconomic conditions of the country they live in. The chapter ends with three suggestions to help emerging adults flourish financially.