Rokhimah

Type of the article: Research Article

Lecturers’ financial well-being is an important factor influencing work motivation, teaching quality, and professional commitment in implementing the Tri Dharma of Higher Education. This study is motivated by the financial challenges faced by lecturers at private higher education institutions in underdeveloped, frontier, and outermost regions, particularly in Southwest Papua, Indonesia, which are characterized by limited income and high financial vulnerability. The study aims to examine the effects of financial stress, money attitude, financial risk tolerance, and financial socialization on financial well-being, with financial literacy as a mediating variable. Using a quantitative explanatory design, data were collected from 230 certified lecturers across eight private higher education institutions in Southwest Papua through a census approach within a defined sub-population. Data were analyzed using Partial Least Squares–Structural Equation Modeling (PLS-SEM). The findings show that money attitude has a positive and significant direct effect on financial well-being and financial literacy. Financial stress and financial risk tolerance significantly influence financial literacy but have no direct effect on financial well-being, while financial socialization shows no significant effect. Financial literacy significantly mediates the relationships between financial stress, money attitude, and financial risk tolerance toward financial well-being. The model explains 39.7% of financial well-being and 34.8% of financial literacy variance. These results highlight the importance of structured financial literacy programs for lecturers in underdeveloped, frontier, and outermost regions.