“A STUDY ON SAVING AND SPENDING HABITS AMONG

COLLEGE STUDENTS WITH REFERENCE TO

KAIPAMANGALAM LOCALITY”

Project Report submitted to

UNIVERSITY OF CALICUT

In partial fulfillment of the requirement for the award of the degree of

BACHELOR OF BUSINESS ADMINISTRATION

Submitted by

RUKHSANA I Y

(CCASBBAR34)

Under the supervision of

Mr. ASLAM .P.S

DEPARTMENT OF MANAGEMENT STUDIES

CHRIST COLLEGE (AUTONOMOUS), IRINJALAKUDA

MARCH 2021
CHRIST COLLEGE (AUTONOMOUS), IRINJALAKUDA
UNIVERSITY OF CALICUT

DEPARTMENT OF MANAGEMENT STUDIES

CERTIFICATE
This is to certify that the project report entitled “A STUDY ON SAVING
AND SPENDING HABITS AMONG COLLEGE STUDENTS WITH
REFERENCE TO KAIPAMANGALAM LOCALITY” is a bonafide record
of project done by RUKHSANA I Y, Reg. No. CCASBBAR34, under my
guidance and supervision in partial fulfillment of the requirement for the award
of the degree of BACHELOR OF BUSINESS ADMINISTRATION and it
has not previously formed the basis for any Degree, Diploma and Associateship
or Fellowship.

Prof. C.L.BABY JOHN Mr. ASLAM P.S

Co-ordinator Project Guide
 DECLARATION

I, RUKSANA I Y, hereby declare that the project work entitled “A STUDY

ON SAVING AND SPENDING HABIT AMONG COLLEGE STUDENTS
WITH REFERENCE TO KAIPAMANGALAM LOCALITY” is a record
of independent and bonafide project work carried out by me under the
supervision and guidance of Asst. prof. ASLAM P.S, Assistant Professor,
Department of Commerce and Management studies, Christ College,
Irinjalakuda. The information and data given in the report is authentic to the
best of my knowledge. The report has not been previously submitted for the
award of any Degree, Diploma, Associateship or other similar title of any other
university or institute.

Place: Irinjalakuda RUKHSANA I Y

Date: CCASBBAR34
 ACKNOWLEDGEMENT

I would like to take the opportunity to express my sincere gratitude to all

people who have helped me with sound advice and able guidance.

Above all, I express my eternal gratitude to the Lord Almighty under whose
divine guidance; I have been able to complete this work successfully.

I would like to express my sincere gratitude to Rev.Dr. Jolly Andrews,

Principalin-Charge, Christ College Irinjalakuda for providing various facilities.

I am thankful to Prof. C.L.Baby John, Co-ordinator of Management Studies, for

providing proper help and encouragement in the preparation of this report.

I am thankful to Asst.Prof.Aslam P.S, Class teacher for her cordial support,

valuable information and guidance, which helped me in completing this task
through various stages.

I express my sincere gratitude to Asst.Prof. Aslam P.S, whose guidance and

support throughout the training period helped me to complete this work
successfully.

I would like to express my gratitude to all the faculties of the Department for
their interest and cooperation in this regard.

I extend my hearty gratitude to the librarian and other library staffs of my

college for their wholehearted cooperation.

I express my sincere thanks to my friends and family for their support in

completing this report successfully.
 TABLES OF CONTENTS

CHAPTER NO. CONTENTS PAGE NO:

LIST OF TABLES

LIST OF FIGURES

CHAPTER 1 INTRODUCTION 1–3

CHAPTER 2 REVIEW OF LITERATURE 4–5

CHAPTER 3 THEORETICAL 6 – 12
FRAMEWORK
CHAPTER 4 DATA ANALYSIS AND 13 – 31
INTERPRETATION

CHAPTER 5 FINDINGS, SUGGESTIONS 32 – 34

& CONCLUSION

BIBLIOGRAPHY

ANNEXURE
 LIST OF TABLES

TABLE TITLE PAGE NO:

NO:
4.1 Table shows the age wise classification of 13
respondents
4.2 Table shows the gender wise classification of 14
respondents.
4.3 Table shows the educational qualification of the 15
respondents
4.4 Table shows the type of accommodation of the 16
respondents
4.5 Table shows the means of transportation of the 17
respondents
4.6 Table shows the source of income of the 18
respondents
4.7 Table shows the monthly income of the 19
respondents
4.8 Table shows the working status of the respondents 20

4.9 Table shows the spending on cinema and other 21

recreational activities of the respondents.
4.10 Table shows saving habits of the respondents 22

4.11 Table shows the saving classification of the 23

respondents
4.12 Table shows whether the respondents have bank 24
account or not.
4.13 Table shows the method which is used by the 25
respondents to deposit their savings.
4.14 Table shows the general opinion on savings of the 26
respondents.
4.15 Table shows the spending for the last week of the 27
respondents.
4.16 Table shows the purpose of saving of the 28
respondents
4.17 Table shows the saving period of the respondents 29
4.18 Table show the major spending priority of the 30
respondents
4.19 Table shows saving and spending status 31
 LIST OF FIGURES

FIGURE TITLE PAGE NO:

NO:
4.1 Figure shows age wise classification of respondents 13
4.2 Figure shows gender wise classification of 14
respondents
4.3 Figure shows education wise classification of 15
respondents
4.4 Figure shows the type of accommodation of the 16
respondents
4.5 Figure shows the means of transportation of the 17
respondents
4.6 Figure shows the source of income of the 18
respondents
4.7 Figure shows the monthly income of the 19
respondents
4.8 Figure shows the working status of the respondents. 20

4.9 Figure shows the spending regularity on cinema 21

and other recreational activities of the respondents
4.10 Figure shows the savings habit of the respondents 22

4.11 Figure shows saving classification of the 23

respondents
4.12 Figure shows whether the respondents have bank 24
account or not.
4.13 Figure shows the method which is used by the 25
respondents to deposit their savings.
4.14 Figure shows the general opinion on savings of the 26
respondents.
4.15 Figure shows the spending for the last week of the 27
respondents.
4.16 Figure shows the purpose of savings of the 28
respondents
4.17 Figure shows the saving period of the respondents 29
4.18 Figure show the major spending priority of the 30
respondents
4.19 Figure shows saving and spending status. 31
 CHAPTER 1

INTRODUCTION
1.1 Introduction
Money is an essential commodity that help us to run our daily life. So, it should
be utilized in an effective and efficient manner. A person’s ability to manage
his money is essential to being a successful life. Effective financial
management strategies are important for all members of society, including
college students. Spending less than earnings and saving for the future is a
golden rule for having a good control over the personal finance. But in reality,
many people fail in budget their income and saving more. Similarly, the youth
has become more prudence in their daily routine to satisfy their self-concepts
and social circle they belong to or to wish to move on it.
With the revolution in the retail sector in India and advent mall culture,
the spending and saving habits of youth have been changed over the years.
Youth has turned to be more brand conscious and also spend a considerable
amount of their income on entertainment and gadgets. Youth saving accounts
are one tool with the potential to encourage both youth development and
financial inclusion possibly even in a financially sustainable way.
This study addresses the questions of why, where and how the college
students spend their money. The age group of 18-30 is the part of the society
which is immortalized in advertisement. The west depicts students as
financially and emotionally free, but in India the case is not same. There is a
radical difference observed in the spending behavior of our country.
This study has been undertaken to analyses the saving and spending
habits of college students. This study shows the various saving and spending
avenues for college students and how they manage their earnings and expenses.

1.2 Statement of the problem

This study has been undertaken to analyse the saving and spending
habits of college students. With the revolution in the retail sector in India and
advent of mall culture, the spending and saving habits of youth have changed
over the years. Youth has turned to be more brand conscious and also spend a
considerable amount of their income on entertainment and gadgets. Youth
savings accounts are one tool with the potential to encourage both youth
development and financial inclusion possibly even in a financially sustainable
way. Hence this research paper aims to analyze the spending and saving habits
among the young generation.

1.3 Scope of the study

With the cultural shift to westernization in India and advent mall culture,
the spending and saving habits of the students have changed over the years.
College students have started to spent more money on entertainments and
lifestyles and have become more brand conscious. With the increase in the
standard of living of adult, the young have also been empowered with more
money and have got more spending power similarly the saving habits in college
students is drastically declining over the years. This study is conducted to
understand the savings and spending habits of college students. The scope of
the study is limited to the college students of Kaipamangalam locality.

1.4 Objectives
• To determine demographic profile of the respondents.
• To study the savings &spending habits of the college students.
• To identify the saving and spending status of college students

1.5 Research design

1.5.1 Nature of study: A descriptive cum analytical study is undertaken in this
project.
1.5.2 Nature of data: Both primary and secondary data are used in this project.
1.5.3 Source of data: Data are collected from both primary & secondary
sources.
• The Primary data collection had been done through the use of
questionnaires.
• The secondary data has been collected through Websites, Online articles
& other research works
1.6 Sample design
1.6.1 Nature of population: the population selected for the data collection
were the college students in Kaipamangalam locality and the population
is infinite
1.6.2 Sampling unit: the sampling unit chosen are the college students in
Kaipamangalam locality.
1.6.3 Method of sampling: the sampling method used for this study is
convenient sampling.
1.6.4 Sampling size: 50 college students in Kaipamangalam locality.
1.7 Tools of data analysis
Suitable statistical techniques such as percentage and graphs are used in
this study.
1.8 Limitations
• The study was limited to 50 students of kaipamangalam locality.
• The depth analysis could not be carried out because of shorter time
period.
1.9 Chapterization
This chapter mentions introduction, statement of the
Chapter 1 problem, scope of the problem, objectives, research
design, research methodology, limitations of the study

Chapter 2 Review of literature.

Chapter 3 Theoretical framework.

Chapter 4 Data analysis and interpretation.

Chapter 5 Findings, suggestion and conclusion.

Bibliography

Annexure
 CHAPTER 2

REVIEW OF LITERATURE
2.1 Empirical literature

P. Jeevitha and R. Kanya Priya (2019)1examined the saving and spending

habit of college students with reference to Coimbatore city. The findings of
study declared that maximum no. of students have saved less than spent but
spending fields were different. The respondents regularly preferred saving bank
account as their saving avenue.
Kanting Sechaba Thobejane, Olawale Fatoki (2017) in his study “Budgeting
and spending habits of university students in South Africa” examined if there is
a significant gender difference in the budgeting and spending habits of
university students. The findings of the study show that the majority of
university students do not have a written budget. In addition, the majority of
university students spend on groceries and fast food. Female students are more
likely than male students to have a budget. Recommendations to improve the
budgeting and spending habits university students are suggested.
Samantha Villanueva (2017) analyzed the factor affecting spending and
saving habits of college students which showcased the significant difference in
spending pattern among both male and female whose income is only through
pocket money from parents and relatives. The study concluded student spend
maximum amount towards fast food, movie, transportation and balance of
pocket money at the end of month in saving for the purpose of future benefit.
Folorunsho M Ajide (2015), in his study “The spending pattern among the
youths in Lagos, Nigeria” the analysis showed that there were significant
differences in the spending pattern among male and female youths. and the
major source of their income was pocket money got from relatives and family.
It was also reported that a significant positive relationship existed between
pocket money and spending pattern. It was concluded that the youth spend
most of their income towards fast food, movies, transportation in Nigeria.
Abhijeet Birari, Umesh Patil (2014) in his study “spending and saving habits
of youth in the city of Aurangabad” the spending and saving of youths in India
has changed drastically in past few years as a result of westernization and
higher spending power. The studies have shown that youth spends more money
on shopping and especially on branded items. It was also noted that both the
male and female youths have different spending patterns with a slight
similarity. The youth should cultivate habit of rational spending and should
save and invest more in fixed deposit, mutual funds, gold etc..
It is huge opportunity for hotel, mobile company, retail shop, fast food
restaurants which should tap the youth spending for their benefit.
Dr. Rekha Atri (2012) Spending and saving habit of youth in the city of
Indore with the age group of 14-30 years were studied. There is a radical
difference observed in the spending behavior of the youth of our country. The
study concludes that there is a huge influence of peer groups in the youth below
19 years while making purchase decisions. A difference was also observed on
the gender wise purchase behavior and their saving habits.
Hasan et al, (2012) it is noted that both the male and female youth have
different spending patterns with a slight similarity. Thus, this paper is a healthy
insight for the marketing professionals focusing their brand inventions for the
youth as their target market.
Jones and Martin (1997) Different households have different way of living
and similarly different spending patterns. In the western culture, the young
individuals are more independent at the age of 18 and start their earning and
living separate than their parent’s home and this is known as the transitional
nature of the young individual.
 CHAPTER 3

THEORETICAL FRAMEWORK
3.1 Theoretical framework

Getting richer is not income, it is all about how we spend it. Spending less than
earning and saving for the future is most essential habit that needed to be built
in every individual at the initial stage of growing up through the saving pockets
money in piggy banks which creates the saving habit and financial
management strategies for all the members of society.
Money is any clearly identifiable object of worth that is generally
accepted as payments for goods and services. The spending and savings of
youth in India has changed severely in the past few years as a result of
westernization and higher spending power. With cultural shift to westernization
in India and beginning of mall culture, the spending and savings behavior of
the students have distorted over the years. Based on the recent studies showed
that Indians expenditure and purchasing power increasing day by day due to
global scenario. Especially in Young people’s mind. They have shown keen
interest towards fashion updates. Youth is spending more money on
entertainment and Lifestyle and has become more brand conscious. With the
increase in standard of living of adults, the young have also been empowered
with more money and have got more spending power. Youth is shifting
towards enthusiasm, energy, education, enjoyment. They should not take
enjoyment as first and rest of the things as last. Now a day’s most of the
students consider vital things as first and enjoyment as last due to awareness,
Technology up-date, Education and Socio-Cultural groups. Youth can do the
positive and negative with incredible energy. In this stage, youth may go with
their own thoughts; it may be a pessimistic or optimistic for their self or others.
If it is optimistic it will be good for all. If it is pessimistic their self or others
may suffer. So we should find out that whether the youth are travelling on right
path or not, especially on their savings and spending habit.
Now a days, part-time job opportunities for college students to earn
while learn is one of the best source to earn income. Most of the students are
getting the money from parents to meet the day to day expenses in college life.
So in this context it is very essential to study about saving and spending habit,
how much, when and where they are spending, factors influencing, Mode of
spending etc.
3.2 Definition

Saving habits were defined as frequently practiced behaviors, done

without a particular sense of awareness, with the goal of freeing up funds for
saving or debt reduction.
Spending habits can be defined as the amount that individuals and
households spend on goods and services such as food, clothing, health etc and
the frequency at which they do so.

3.3 Benefits of saving habits

1. Helps in emergencies
2. Cushions against sudden job loss
3. Helps to finance vacations
4. Limits debt
5. Gives financial freedom
6. Helps prepare for retirement
7. Helps finance further education
8. Helps to finance the down payment for a mortgage
9. Helps to finance a wedding
10. Helps to finance the down payment for a car

3.4 Different ways of saving habits

1. Auto-Transfer money into savings.

Setting up automatic transfers is one of the easiest ways to save. To make
headway on your goals, auto-transfer a few dollars into your savings account
each week. For instance, if you’re trying to save $1,000 in six months for a new
computer or a trip, automatically transfer $42 a week into your savings
account.
2. Plan your purchases.
Instead of making a quick run to the drugstore to buy a few items here
and there, plan out your shopping trips. Make a list of exactly what you want to
buy, and how much you’re going to spend. By having a list and sticking to it,
you’ll be better at avoiding impulse buys or picking up items you don’t really
need.
The same goes for things you buy online. Figure out what you really
need, how much you can afford to spend, and wait at least a few days before
making the purchase. If it’s not an essential item, try to wait 30 days before
adding it to your cart.

3. Save money with substitutions.

Zero in on what’s most important to you and spend the most in those
areas. In categories that aren’t as important to you, consider economizing or
finding less-expensive alternatives. If you love gourmet cheese, don’t deprive
yourself of your favorite Roquefort. But if you couldn’t care less what kind of
peanut butter is in your sandwich, get the generic brand.

4. Pay yourself first.

If you want to make sure you’re not overspending, create a budget. But
if you want to grow your savings, pay yourself first. That means putting your
money toward savings first thing when you get your paycheck, then living off
the rest. If you only pay yourself after your bills and expenses are taken care of,
you run into the risk of not saving enough to hit your big-picture goals. You
can do this by auto-transferring dollars into a savings account or saving a
percentage of your take-home pay each month.

5. Send your savings into a savings account.

 If you’re making a concerted effort to save in different areas of your life,
make sure the money you save goes toward your savings. Otherwise, it’s easy
to spend the savings, leaving you back where you started.
6. Save your bonus cash.
If you get a raise, had a fantastic month freelancing, take on a side gig,
or net a work bonus, commit to putting away some of it. While you may want
to enjoy some of the extra money—which is perfectly okay—allocate a
percentage of this “bonus money” toward your saving goals.

7. Have a plan for spare change.

That change jangling at the bottom of your pocket? Dump it in a jar and
earmark it for a specific saving goal. If you empty your jar a couple of times a
year, you’ll be surprised at how quickly those coins have added up.

8. Go lean in one spending category.

Trying to generate significant savings in every aspect of your life can
make you feel spread thin and deprived. Instead, commit to spending less in a
specific area. For starters, go for the easy wins. For example, cut back in an
area where there’s redundant spending. If you recently joined a sports league,
you can probably nix the gym membership. Or if you go to the gym just to use
their pool, consider getting a pool pass at a nearby recreation center to save
money.

9. Track your financial progress.

Set aside some time each month to see how much progress you’ve made
on your money goals. How much debt have you paid off, and how much
headway are you making on saving for a down payment on a home, or for that
dream trip next year? Seeing results will help you stay on track. Plus, it’ll give
you a boost in motivation, and could help you ramp up on saving
3.5 Ways to save money as a college student

1. Make a budget
This isn’t only the most basic step in managing personal finances—it’s
also the most important. Start by listing all your income and monthly expenses.
If there’s ever a case where you’re unsure about a source of income or an
expense, always err on the side of caution. If it’s an expense, overestimate; if
it’s income, underestimate.

2. Use technology
The initial budget you make will probably need to be adjusted once you
put it to the test of the real world. For this reason, you’re going to want to track
your expenses, keep records, and adjust your budget accordingly. Paper records
can be difficult to maintain, and you’re unlikely to carry a notepad to record
every little expense. Fortunately, today’s college students can download a
variety of different personal finance apps that make the process easier.

3. Avoid credit cards

College students make an attractive target for credit card companies. As
a group, they’re more likely to make unwise spending decisions, and they have
a tendency to pay the monthly minimum and commit violations that result in
fees. If you’re going to get a credit card, only use it when you really need to,
and when you do use it, pay off the balance as quickly as possible.

4. Smart banking
Every college student needs a bank account, but there are significant
differences in the types of accounts available. Don’t just sign up for an account
at the closest bank; go to different banks and compare your options. You
should also ask about student banking options. Most banks offer student
accounts that have features designed to help students manage their money
better.
5. Save on textbooks
Textbooks can be a real budget breaker, but there are ways to lower the
cost. With many of the books on your list, you might be able to get away with
borrowing them from the library. You could also buy second-hand copies of
some books, and you should sell your old books when your class is over.
Technology also offers some solutions for saving on your textbooks. You
might be able to download a PDF copy of some textbooks, or you could go to
library and scan a physical copy. Once you have an electronic copy, you could
then use the textbook with a tablet, e-reader, or your phone.

6. Find student discounts

As a college student, you’re eligible for all sorts of discounts. Local
businesses and organizations know that most college students are strapped for
cash, so they offer discounts to attract business and help students out. If you
know where to find them, you can get discounts on food, coffee, transportation,
entertainment, and more.

7. Define necessary spending

Most young people develop poor spending habits because they never
take the time to differentiate between what’s necessary and what’s not. If they
want something, they spend. If you’re going to maintain a budget, you have to
take the time to sort the necessary from the unnecessary. This isn’t to say you
can never spend on something that’s unnecessary—you just need to set
reasonable limits for this type of spending.

8. Establish an emergency fund

For many adults, college student or otherwise, financial trouble comes
as the result of an emergency. Maybe your car broke down or you got sick—it
could be anything. When emergency expenses come up, you need to have
money to cover them. If you don’t, you might find yourself borrowing money
at a high interest rate, or it could trigger a domino effect that leads to more
expenses, lost income, and mounting financial pressure.

3.6 Reasons we have money but can't save money

• Paying for things we cannot afford.

• Believing we deserve the items you buy.
• Paying too much for your cell phone.
• Not having a budget.
• Making excuses for unnecessary expenses.
• Confusing 'wants' with 'needs'.
• Thinking we have time to save later.
• Having no goals for life.
• Thinking little amount will not add up.

3.7 Risks of not having a saving habit or unnecessary spending

• Results in having more debt
• No emergency fund
• The inability to make choices

• Health problems related to stress

• Losing the benefit of time.
• Having to work your whole life.
 CHAPTER 4

DATA ANALYSIS AND

INTERPRETATION
 Table 4.1 shows the age wise classification of respondents.

Age Frequency Percentage

18-20 26 52
21-23 17 34
24-26 5 10
Above 26 2 4
Total 50 100
Source: Primary data
Figure 4.1 shows the age wise classification of respondents

Age of the participants

60

50
PERCENTAGE

40

30

20

10

0
18-20 21-23 24=26 Above 26
AGE

Percentage

Interpretation
Table 4.1 shows age wise classification of respondents. It reveals that 62% of
respondents aged between 18-20, 34% of respondents aged between 21 - 23,
10% of respondents aged between 24-26, Remain 4% of respondents aged
above 26.
 Table 4.2 shows the gender wise classification of respondents.

Gender Frequency Percentage

Male 23 46
Female 27 54
Total 50 100
Source: Primary data
Figure 4.2 Shows gender wise classification of respondents

Gender
56

54

52
PERCENTAGE

50

48

46

44

42
Male Female
GENDER

Percentage

Interpretation
Table 4.2 shows the gender wise classification of respondents. 54% of
respondents are male and 46% of the respondents are female.
 Table 4.3 shows the educational qualification of the respondents.

Qualification Frequency Percentage

UG Level 34 68
PG Level 10 20
M.Phil 6 12
Ph.D 0 0
Total 50 100
Source: Primary data
Figure 4.3 shows education wise classification of respondents

EDUCATIONAL QUALIFICATION
80

70

60
PERCENTAGE

50

40

30

20

10

0
UG Level PG Level M.Phil Ph.D
EDUCATIONAL QUALIFICATION

Percentage

Interpretation

Table 4.3 shows the educational qualification of the respondents. It reveals that
68% of respondents are graduates, 20% of respondents are post graduates, 12%
of respondents are M.Phil holders. No one have PhD.
 Table 4.4 shows the type of accommodation of the respondents.

Accommodation Frequency Percentage

With Parents 31 62
Hostel 13 26
Paying guest 5 10
With Cousins 1 2
Total 50 100
Source: Primary data
Figure 4.4 shows the type of accommodation of the respondents.

Type of Accommodation
70
60
50
PERCENTAGE

40
30
20
10
0
With Parents Hostel Pay guest With Cousins
TYPE OF ACCOMMODATION

Percentage

Interpretation
Table 4.4 shows the type of accommodation of the respondents. It reveals that
62 % of respondents lives with their parents. 26% of respondents live in hostel.
10% of respondents live as pay guests. Remaining 2% of respondents live with
their cousins.
 Table 4.5 shows the means of transportation of the respondents

Transportation type Frequency Percentage

Public Transport 23 46
Bike 13 26
Car 4 8
Walking 10 20
Cycle 0 0
Total 50 100
Source: Primary data
Figure 4.5 shows the means of transportation of the respondents.

Means of Transport

0%
20%

8% 46%

26%

Public Transport Bike Car Walking Cycle

Interpretation
Table 4.5 shows the means of transportation of the respondents. It reveals that
46% of respondents use public transport system ,26% use bikes as their means
of transport. 8% of respondents use car and 20 % of respondents walking to
their college.
 Table 4.6 shows the source of income of the respondents.

Income Source Frequency Percentage

Pocket Money 26 52
Scholarship 7 14
Part time job 8 16
Stock Trading 3 6
Multilevel Marketing 0 0
Tuition 5 10
Small Business 1 2
Total 50 100
Source: Primary data
Figure 4.6 shows the source of income of the respondents.

Source of Income
60

50
PERCENTAGE

40

30

20

10

0
Pocket Money Scholarship Part time job Stock Trading Multilevel Tution Small
Marketing Business
SOURCE OF INCOME

Percentage

Interpretation
Table 4.6 shows the source of income of the respondents. It reveals that 52 %
of the respondents get pocket money from their parents. 14% of the
respondents get their income by way of scholarship. 16% of respondents are
doing part-time job to earn their income. 6% of the respondents do stock
trading to earn their income. 10% of the respondents take tuition to earn
income. Remaining 2% of the respondents does small business to earn income.
 Table 4.7 shows the monthly income of the respondents.

Earnings Frequency Percentage

Less than Rs. 1000 13 26
Rs. 1000 – Rs. 5000 13 26
Rs. 5000 – Rs. 10000 15 30
Rs. 10000 – Rs. 15000 8 16
More than Rs. 15000 1 2
Total 50 100
Source: Primary data
Figure 4.7 shows the monthly income of the respondents.

Earnings

30
25
PERCENTAGE

20
15
10
5
0
Less than Rs. Rs. 1000 – Rs. Rs. 5000 – Rs. Rs. 10000 – More than Rs.
1000 5000 10000 Rs. 15000 15000
INCOME RANGE

Percentage

Interpretation
Table 4.7 shows the monthly income of the respondents. It reveals that 26% of
the respondents have monthly income below Rs1000. 26% of the respondents
have a monthly income between Rs1000- Rs5000. 30% of the respondents have
monthly income between Rs5000-Rs10000.16% of the respondents have
monthly income between Rs10000-Rs15000. Remain 2% of the respondents
have income above Rs 15000.
 Table 4.8 shows the working status of the respondents.

Working Status Frequency Percentage

Yes, Full time 2 4
Yes, Part time 37 74
Not currently 11 22
Total 50 100
Source: Primary data
Figure 4.8 shows the working status of the respondents.

Work Status
80

70

60
PERCENTAGE

50

40

30

20

10

0
Yes, Full time Yes, Part time Not currently
WORK STATUS

Percentage

Interpretation
Table 4.8 shows the working status classification of the respondents. It reveals
that 4% of the respondents doing full-time jobs. 74% of the respondents doing
part-time jobs. 22% of respondents do not work currently.
Table 4.9 shows the spending regularity on cinema and other recreational
activities of the respondents.

Spending regularity Frequency Percentage

At least once a week 9 18
At least twice a week 4 8
At least once an month 33 66
Do not go at all 4 8
Total 50 100
Source: Primary data
Figure 4.9 shows the spending regularity on cinema and other recreational
activities of the respondents

Spending Regularity on Cinema or other activities

70
60
50
PERCENTAGE

40
30
20
10
0
At least once a week At least twice a week At least once an month Do not go at all
SPEDING REGULARITY

Percentage

Interpretation
Table 4.9 shows the spending regularity on cinema and other recreational
activities of the respondents. It reveals that 18% of the respondents spend on
cinema and other recreational activities at least once a week, 8% of respondents
spend on cinema and other recreational activities at least twice a week, 66% the
respondents spend on cinema and other recreational activities at least once a
month and remaining 8% of the respondents do not go at all.
 Table 4.10 shows the savings regularity of the respondents.

Saving Habit Frequency Percentage

Yes 37 74
No 13 26
Source: Primary data
Figure 4.10 shows the savings regularity of the respondents.

SAVING HABIT
Yes No

No
26%

Yes
74%

Interpretation
Table 4.10 shows the regularity in savings by the respondents. It reveals that 74
% of the respondents regularly saves money. Remaining 26% of the
respondents not regularly save their money.
 Table 4.11 shows the saving classification of the respondents.

Savings Frequency Percentage

Below 25% 21 42
25% - 50% 23 46
50% - 75% 6 12
Above 75% 0 0
Total 50 100
Source: Primary data
Figure 4.11 shows saving classification of the respondents.

Savings
50
45
40
35
PERCENTAGE

30
25
20
15
10
5
0
Below 25% 25% - 50% 50% - 75% Above 75%
SAVINGS

Percentage

Interpretation
Table 4.11 shows the saving classification of the respondents in every month. It
reveals that 42% of respondents have saving below 25% out of their income, 46
% of the respondents have savings between 25%-50% out of their income.
12% of the respondents have saving between 50%-75%. No one have savings
above 75% out of their income.
 Table 4.12 shows whether the respondents have bank account or not.

Bank Account Frequency Percentage

Yes 48 96
No 2 4
Total 50 100
Source: Primary data
Figure 4.12 shows whether the respondents have bank account or not.

Bank Account
4%

96%

Yes No

Interpretation
Table 4.12 shows the whether the respondents have bank account or not. It
reveals that 96% of the respondents have bank account. 4% of the respondents
don't have bank account.
 Table 4.13 shows the method which is used by the respondents to deposit
their savings.

Deposit Method Frequency Percentage

Bank Account 36 72
Piggy Bank 11 22
Post office 1 2
Saving schemes/ Chitti 0 0
Others 2 4
Total 50 100
Source: Primary data
Figure 4.13 shows the method which is used by the respondents to deposit
their savings.

Savings Deposit
80
70
60
PERCENTAGE

50
40
30
20
10
0
Bank Account Piggy Bank Post office Saving schemes Others
DEPOSIT METHOD

Percentage

Interpretation
Table 4.13 shows the method which is used by the respondents to deposit their
savings. It reveals that 72 % of the respondents use bank account to deposit
their savings. 22% of the respondents make use of piggy banks for deposit their
savings. 2% of the respondents use post office savings to deposit their savings.
Remain 4% of the respondents use other methods to deposit their savings. No
one have deposit in savings scheme like chitties.
 Table 4.14 shows general opinion on savings of respondents.

Opinions Frequency Percentage

Increasing 35 70
Decreasing 15 30
Total 50 100
Source: primary data
Figure 4.14 shows general opinion on savings of respondents.

General opinion on savings

80
70
60
PERCENTAGE

50
40
30
20
10
0
Increasing Decreasing
OPINIONS

Percentage

Interpretation
Table 4.14 shows general opinion on savings of respondents. It reveals that
70% of the respondents have increasing opinions about importance of saving
and 30% have decreasing opinion about importance of savings.
 Table 4.15 shows the spending on last week of the respondents.

Amount Frequency Percentage

Less than 500 5 10
500-1000 15 30
1000-1500 17 34
1500-2000 10 20
Above 2000 3 6
Total 50 100
Source: primary data
Figure 4.15 shows spending on last week of the respondents.

Spending last week

40
35
30
PERCENTAGE

25
20
15
10
5
0
Less than 500 500-1000 1000-1500 1500-2000 Above 2000
AMOUNT

Percentage

Interpretation
Table 4.15 shows the spending on last week of the respondents. It reveals 34%
of respondents spent between Rs. 1000- Rs.1500. 30% of the respondents spent
Rs. 500 – Rs. 1000. 20% spent between Rs. 1500 and Rs. 2000. 10% spent less
than Rs.500 while 6% spent above Rs. 2000.
 Table 4.16 shows the purpose of savings of the respondents.

Saving Purpose Frequency Percentage

Habit 20 40
Higher Studies 5 10
Future 14 28
Emergency 10 20
Travelling 1 2
Total 50 100
Source: Primary data
Figure 4.16 shows the purpose of savings of the respondents.

Saving Purpose
45
40
35
30
PERCENTAGE

25
20
15
10
5
0
Habit Higher Studies Future Emergency Travelling
SAVING PURPOSE

Percentage

Interpretation
Table 4.16 shows the saving purpose classification of the respondents. It
reveals that 40% of the respondents make saving as a habit. 10% of the
respondents make savings for higher studies. 28% of the respondents make
savings for future. 20% make savings for emergency and remaining 2% make
savings for traveling.
 Table 4.17 shows the saving period of the respondents.

Saving Period Frequency Percentage

Less than 1 year 15 30
1-3 years 22 44
3-5 years 10 20
More than 5 years 3 6
Total 50 100
Source: Primary data
Figure 4.17 shows the saving period of the respondents.

Saving Period
50
45
40
35
PERCENTAGE

30
25
20
15
10
5
0
Less than 1 year 1-3 years 3-5 years More than 5 years
SAVING PERIOD

Percentage

Interpretation
Table 4.17 shows the saving period of the respondents. It reveals that 30% of
the respondents have been saving for less than 1 year. 44% of the respondents
have been saving for 1-3 years. 20 % of the respondents have been saving for
3-5 years. Remaining 6% of the respondents have been saving for over 5 years.
 Table 4.18 show the major spending priority classification of the
respondents.

Spending Priority Frequency Percentage

Entertainment 12 24
Food 10 20
Shopping 8 16
Transportation 5 10
Studies 7 14
Fitness 3 6
Recharge 5 10
Total 50 100
Source: Primary data
Figure 4.18 show the major spending priority classification of the
respondents.

Spending Priority
30

25
PERCENTAGE

20

15

10

SPENDING PREFERANCE

Percentage

Interpretation
Table 4.18 show the major spending priority classification of the respondents.
It reveals that 24% of respondents spend more on entertainment. 20% of the
respondents spend more on food. 16% of the respondents spend more on
shopping. 10% of the respondents spend more on transportation. 14% of the
respondents spend more on studies. 6% of the respondents spend more on
fitness. And remaining 10% of the respondents spend more on recharges.
 Table 4.19 shows saving and spending status.

Status Frequency Percentage

Saving less than spending 25 50
Saving equal to spending 19 38
Saving greater than spending 6 12
Total 50 100
Source: Primary data
Figure 4.19 shows saving and spending status.

Saving and Spending status

60

50

40
PERCENTAGE

30

20

10

0
Saving less than spending Saving equal to spending Saving greater than spending
SAVING AND SPENDING STATUS

Percentage

Interpretation
Table 4.19 shows the saving and spending status of the respondents. It reveals
that 50% of the respondents have savings less than their spending. 38% of the
respondents have savings equal to spending. Remain 12% of the respondents
have savings greater than spending.
 CHAPTER 5

FINDINGS, SUGGESTIONS AND

CONCLUSION
5.1 Findings

• Out of 50 respondents 23 are male and 27 are female.

• Majority of respondents, 52 % are having age between 18-20.
• The study revealed that 68 % of respondents are graduates and 20% are
post graduates and 12% are M.Phil graduates.
• The source of income for majority respondents (52%) are pocket money.
16 % of respondents earn their income through part time jobs.
• Majority of respondents (62%) are living with their parents.
• A large number of respondents use public transport as means of
transportation.
• Majority of the respondents (66%) spend money on cinema/other
recreational activities at least one a month.
• Majority of respondents (30%) earn income from Rs. 5000 – Rs. 10000
per month.
• Majority of respondents (74%) have savings.
• Majority of our respondents (46%) save at least 25% - 50% of their
income every month,
• An overwhelming majority of respondents (96%) own a bank account.
• The study revealed that a majority of respondents (72%) use bank
accounts to deposit their savings. Out of the respondents the least means
for depositing was found to be post office with only 2% and none of
them invest in saving schemes like chit ties
• Majority of our respondents (70%) has a positive opinion on savings..
• Majority of our respondents (34%) spent between 1000-1500 for the last
week.
• Majority of respondents (40%) save money as a habit.
• The saving period of majority of respondents (44%) were 1-3 years.
• Majority of our respondents (24%) preferred to spend their money on
entertainment.
• Majority of respondents have savings less than spending.
5.2 Suggestions
• Students may be directed to spend more on studies
• Conduct awareness programs about the importance of savings
in college and school.
• Students should be taught how to differentiate between needs
and wants.
• Students should be taught about the importance of fitness and
health and spend more on them instead of spending them on
entertainment, shopping etc .
• Students should be taught to spend first on necessity.
• Students may be directed to save more than spending.
5.3 Conclusion
The study entitled “A STUDY ON SAVING AND SPENDING HABITS
AMONG COLLEGE STUDENTS WITH REFERENCE TO
KAIPAMANGALAM LOCALITY” was undertaken to know the spending and
saving habits of college students. It was found that most of our respondents
spending avenues are different. Most of the students have savings and they
know about the importance of savings. From the study on spending pattern of
students, they are spending higher amount in entertainment, food and shopping.
A trend that can be seen where that majority of them preferred to be spend
their savings on entertainment or leisure activities rather than study or future,
basically having a live the moment’ aura among them. It is also notable the
average income among students is presumably higher than to what had been the
past generations where the pocket money were the only source for most of the
students. Students commonly prefer saving bank account as their saving
avenues. The spending status of the respondents showed they were saving less
than their spending.
6. Bibliography
• P. Jeevitha and R. Kanya Priya - A study on saving and spending habits
of college students with reference to Coimbatore city. Volume 6 I
Issue1, Jan – March 2019.ISSN 2348 –1269, PRINT ISSN 2349-5138. 2
• Kanting Sechaba Thobejane, Olawale Fatoki (2017) Budgeting and
spending habits of university students in South Africa, IFE centre for
psychological studies, ISSN: 1596-9231, Volume 15, No 3, 2017
• Samantha Villanueva (2016) - An analysis of factor affecting the
spending and saving habits of college students .
• Folorunsho M Ajide (2015), The spending pattern among the youths in
Lagos, Nigeria, ISSN: 2278-487X, volume 17, No 4, April 2015
• Abhijeet Birari & UmeshPatil “Spending and saving habits Youth in the
city of Aurangabad” The standard international Journals (The SU), May
2014.
• S.A. Hasan, M.I. Subhani & A. Osman (2012), Spending Patterns in
Youth‖, American Journal of Scientific Research (AJSR), No. 54, Pp.
144–149.
• Rekha Atri (2012),Spending & Saving Habits of Youth in the City of
Indore‖, Bauddhik, The Journal of Management, Vol. 3, No. 2, Pp. 8–15
• G. Jones & C.D. Martin (1997), The Social Context of Spending in
Youth‖, University of Cambridge.Joshi, ―Youth Consumerism
Annexure

1. Age
a) 18-20 b) 21-23 c) 23-26 d)26 and above

2. Gender
a) Male b) Female

3. Educational qualification
a) UG level b) PG level c) M.Phil d) Ph.d

4. What is the type of your accommodation?

a) with parents b) hostel c) paying guest d) With cousins

5. What is your means of transportation to college?

a) Public transport b) Bike c) Car d) Walking

6) source of income?
a) pocket money b) scholarship c) part time job d) stock trading

e) multilevel marketing f) tution g) small business

7. While attending college are you currently working(part time or full time)?
a) yes-part time b) yes-full time c) not currently

8. How often do you go to cinemas or other recreational activities?

a) At least once a week b) At least twice a week

c) At least once a month d) Do not go at all

9. How much amount do you earn per month?

a) Less than Rs.1000 b) Rs.1000-Rs.5000

c) Rs.5000-Rs.10000 d ) Rs10000- Rs.15000

e) More than Rs 15000

10. Do you have savings?
a) Yes b) No
11. How much amount will you save per month?
a) Below 25 b) 25% - 50% c) 50%-75% d) above 75%

12. In which way you make savings?

a) Bank A/C b) Post office savings c) Piggy bank
d) Saving schemes (kuries) e) Other ways

13. Do you have your own bank account?

a) Yes b) No

13. What is your purpose of saving?

a) As a habit b) for higher studies c) for future

d) for emergency e) for travelling

15. General opinion on savings?

a) Increasing b) Decreasing

16. Amount spend on last week?

a) Less than 500 b) 500-1000 c) 1000-1500

d) 1500-2000 e) more than 2000

17. How long have you been saving money for?

a) Less than 1 year b) 1-3 years c) 3-5 years

d) More than 5 years

18. From the following areas where did you spend more money?
a) Entertainment b) Recharges c) Studies

d) Shopping e) Fitness f) Food

g) Transportation
19. What is your saving and spending status?
a) Saving less than spending b) Saving equal to spending

c) Saving greater than spending