Cushions and Conversations: Prevention Science Insights into Family Financial Resource Management

Abstract

At the intersection of human development and family science, family systems theory, and prevention science lies the study of how families transcend challenges, with family financial resource management standing out as one of the most pervasive and consequential challenges across the lifespan. This two study dissertation examined two actionable leverage points that may help individuals, couples, and families navigate financial resource management more effectively: emergency savings and couple relationship skills. Study 1 used a large, representative sample of active-duty military personnel (N = 11,483) and insights from the Family Adjustment and Adaptation Response model (Patterson, 1988) to identify the levels of emergency savings most strongly associated with subjective financial well-being. Savings amounts ranged from no savings (reference group) to more than six months of savings. Linear regression models that were adjusted for meaningful contextual variables and Wald testing assessed associations in the overall sample and whether effects varied by rank, marital status, and budgeting behaviors. A clear incremental pattern emerged: except for having less than one month of savings, greater savings amounts were consistently linked with better financial well-being, with one to three months appearing “good,” four to six months “better,” and more than six months “best.” This pattern held across the socio-economic spectrum, with one exception, and these savings amounts appeared even more beneficial for those who were married and for those who followed a monthly budget or spending plan. Overall, these findings offer a deeper understanding of emergency savings among military families and underscore avenues through which education and policy efforts may support their financial well-being and, ultimately, mission readiness. Study 2 drew on longitudinal data from 1,192 socio-economically and racially diverse, different-gender couples to test whether improvements in three foundational relationship skills—relationship intentionality, shared connection, and conflict management—were associated with improvement in financial communication following participation in a relationship education program. Using data collected at two timepoints approximately one year apart, we first assessed within‑person change in the three relationship skills and financial communication. Guided by the Money and Sex Model (MSM) in romantic relationships (Leavitt & LeBaron-Black et al., 2025), we tested whether improvement in relationship skills was associated with improvement in financial communication for both men and women. Latent change score models, which were adjusted for meaningful contextual variables, revealed that developing each skill was related to developing better financial communication for both men and women. Building core relationship skills may be a meaningful approach to improving couples’ financial communication. Together, these studies underscore the value of attending to meaningful contexts, point to implications for education and policy, and identify directions for future research that may integrate constructs from both studies. We hope this work contributes to enhancing the lives of individuals, couples, and families in the years ahead.