The Correlation Between Retirement Planning and Budgeting Behavior of Government Employees

Managing money and preparing for retirement remain a challenge for many government employees. This study examined the correlation between retirement planning and budgeting behavior, focusing on how financial literacy, goal clarity, and attitudes toward retirement influence money management, track spending, and future budgeting practices. Using a descriptive-correlational design, data were collected from 134 government employees and analyzed with descriptive statistics, t-tests, one-way ANOVA, Mann-Whitney U, Kruskal-Wallis, and Spearman’s correlation. Findings revealed that financial literacy was excellent, while goal clarity and attitudes toward retirement were only satisfactory, showing that many employees lacked retirement goals and held different perspectives. For budgeting behavior, respondents excelled in money management and future budgeting practices but performed only satisfactorily in track spending. Correlation analysis confirmed a strong positive relationship between retirement planning and budgeting behavior, indicating that those who prepare for retirement budget more effectively. Recommendations included financial allocation, discipline, and strategies such as wise income division, controlled spending, and the use of digital tools.