Do Financial Anxiety, Course Loads, Student Loans, and Employment Affect Academic Performance? Evidence from a Sample of Accounting Students

Using data collected from 899 business students taking accounting courses, this study examines the effect of financial anxiety, student loans, employment, and course loads on academic performance. Our results indicate that student loan amounts decrease academic performance and that both student loan amounts and employment hours increase financial anxiety, which indirectly decreases academic performance. Interestingly, higher course loads are related to decreased financial anxiety and increased academic performance. Results generally consistent with those for the full sample are reported for sample bifurcations into students who are accounting and nonaccounting majors and into students taking lower level and upper level accounting courses. The results will be of interest to students, faculty, advisers, administrators, policymakers, and others who are interested in promoting the academic success of students and in improving the health of students by decreasing their financial anxiety.