HOUSEHOLD ACCOUNTING AND FINANCIAL MANAGEMENT IN LAGOS STATE, NIGERIA

Abstract

This study examined the effect of household accounting on financial management of Lagos State. The study specifically seek to evaluate the effect of household budgeting practice, household expense tracking, and household savings recordson voluntary tax compliance. This study adopts a cross sectional survey design. The population of the study comprises of all households living in Alimosho and Oshodi- Isolo Local Government Areas in Lagos State. The purposive sampling technique was used to select sample population for the study.One thousand five households (1500) were judgmentally selected from both local governments. Seven hundred and fifty households each was selected from rural areas and urban centres of Alimosho and Oshodi-Isolo Local Government Areas in Lagos State.The Linear regression analysis was adopted and applied with the aid of E-View version 10.0 software, the study found that household budgeting practices have a positive and statistically significant effect on financial management of Lagos State while household savings records have a positive but statistically insignificant effect on financial management of Lagos State. The study recommends among others that since household anxiety is that "money will be wasted" causes income documentation to fail. We suggest that the Lagos State Government publish "Your Tax, Your Project" for each Local Government Area, demonstrating how certain roads, schools, and other projects were supported by internally generated revenue from taxes paid by the household.