Financial inertia is key in people not making perfect decisions. It makes people postpone decisions they know they have to take and therefore staying with the status quo or missing opportunities....Show moreFinancial inertia is key in people not making perfect decisions. It makes people postpone decisions they know they have to take and therefore staying with the status quo or missing opportunities. With the 32 items derived from a previous prototype analysis, an EFA was performed to form a possible scale for financial inertia, the model produced by the EFA was then tested via CFA. Using three waves, and 750 participants, a reliable, valid, and temporally stable scale with simple structure consisting of three subscales to measure individual differences in financial inertia was produced. The final model states that financial inertia consists of three separate factors: financial apathy, financial satisficing, and financial anxiety. Explorative research has shown that women, non-white people and younger people score higher on financial inertia via financial apathy and financial anxiety.Show less