Peer Financial Comparison and Life Satisfaction among University Female Students

Mediating Role of Self-Esteem and Moderating Role of Social Media Usage Intensity

This culture of comparison that is prevalent on social media may be negatively affecting the mental health of young people, particularly females. The purpose of this study is to explore the relationship between peer financial comparison and the life satisfaction levels of female university students, with self-esteem as a mediator and social media usage intensity as a moderator. This study draws on Social Comparison Theory and Self-Determination Theory to explain how external comparisons can become internalised and how this is influenced by digital engagement. The quantitative research design approach based on the positivist paradigm was used. The data were gathered via a web-based questionnaire distributed to female students at the selected Universities in Tanzania using Google Forms. 290 valid responses were analysed using PLS-SEM, SmartPLS 4. The results show that financial comparisons with peers have a strong negative impact on life satisfaction and self-esteem. Self-esteem, in turn, positively influences life satisfaction and partially mediates the relationship between financial comparison and life satisfaction. In addition, the relationship is significantly moderated by the intensity of social media use; that is, the negative relationship is stronger for more engaged social media users. The study advances theory by applying Social Comparison Theory to the financial domain, adding both psychological and contextual perspectives. It also points to the moderated impact of social media on well-being outcomes. From a practical point of view, the findings indicate the need for interventions regarding the positive use of social media, the reinforcement of self-esteem and financial awareness of university students.