Behavioral and psychological factors influencing retirement decisions among young workers in rural and urban Sabah, Malaysia

Aidarina Jakaria and Syarifah Hanum Ali (2025) Behavioral and psychological factors influencing retirement decisions among young workers in rural and urban Sabah, Malaysia. Information Management and Business Review, 17 (1). pp. 241-249. ISSN 2220-3796

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Abstract

This study examines how young workers in rural and urban Sabah, Malaysia, base their retirement choices on psychological and behavioral aspects. Numerous factors, including individual beliefs, societal conditions, and environmental settings, influence retirement, a significant life transition. While everyone should make retirement plans, workers in rural and urban areas differ from one another. Rural workers typically have lower financial literacy and less access to financial services, whereas urban workers usually enjoy greater financial education and services. To better understand the variables and challenges influencing retirement behavior in these diverse settings, this research will examine theories of aging, such as the theory of planned behavior (TPB), continuity theory, and disengagement theory. This study evaluates how current policies affect young workers' retirement planning and identifies the main factors influencing retirement savings behavior. The research will take a quantitative approach, analyze the data using the PLS-SEM model, and test validity and reliability against common method bias in two steps. The results emphasize the necessity of specialized policy interventions to guarantee the well-being and financial stability of young workers in Sabah's rural and urban settings about the need for focused financial literacy programs and retirement planning initiatives catered to Sabah, Malaysia's rural and urban areas, by offering insightful information about the behavioral and psychological factors influencing young workers' retirement decisions.

Item Type:	Article
Keyword:	Retirement planning, human behavior, psychological aspects, rural and urban differences, theory of planned behavior
Subjects:	H Social Sciences > HG Finance > HG1-9999 Finance > HG4501-6051 Investment, capital formation, speculation R Medicine > RA Public aspects of medicine > RA1-1270 Public aspects of medicine > RA421-790.95 Public health. Hygiene. Preventive medicine > RA773-788 Personal health and hygiene Including clothing, bathing, exercise, travel, nutrition, sleep, sex hygiene
Department:	FACULTY > Faculty of Business, Economics and Accounting
Depositing User:	JUNAINE JASNI -
Date Deposited:	01 Oct 2025 09:24
Last Modified:	01 Oct 2025 09:24
URI:	https://eprints.ums.edu.my/id/eprint/45306

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