Godwin, 1994

Godwin, D. D. (1994). Antecedents and consequences of
newlyweds’ cash flow management. Financial Counseling and Planning, 5,


Antecedents and Consequences of Newlyweds’ Cash Flow

Deborah D. Godwin (1)


This study focused on exploring
the process and outcomes of cash flow management among randomly-selected
newlywed couples. Descriptive data suggested that family cash flow management
is much more complex than revealed in previous studies asking “whether
families have a budget.” Three dimensions of family cash flow
management–budgeting, financial record-keeping, and goal-setting and
analysis—were performed with varying frequency by newlyweds. The most
consistent antecedents that predict the frequency with which couples perform
these tasks were indicators of their willingness to manage, even after their
ability and need to manage were controlled. Performing the recommended cash
flow management tasks more frequently appears to have few objective benefits,
at least in the short term, while one dimension, record-keeping, did predict
greater satisfaction with the family’s financial situation.

 Key Words: family cash flow management, net worth, financial

1. Deborah D. Godwin, Department of Housing and Consumer Economics, University
of Georgia, Athens, GA 30602. Phone: (706) 542-4870 Fax: (706) 542-4862.
E-mail: dgodwin@hestia.fcs.uga.edu.


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