Financial literacy should empower women in emerging economies such as India, where there still exist gender disparities in financial access and decision-making. In this study, the researcher examines the influence of financial literacy on the financial management of salaried women in India, with financial coping behaviour mediating and self-efficacy moderating the situation. A structured questionnaire was used to collect data on 657 urban and semi-urban working women. Analysis using SEM showed that financial literacy has a significant effect on financial management behaviour (30.5) (β = 0.428, p < .001), and financial coping behaviour interposes this relationship. This was reinforced by financial self-efficacy (β = 0.183, p < .001), but there were specific financial behaviours that were influenced by financial knowledge (β = 0.291) compared to awareness (β = 0.334). The findings indicated high urban–rural differences, with urban respondents expressing better financial behaviour. This implies that specialized financial education initiatives should be designed to meet cognitive (knowledge/awareness) and psychological (self-efficacy) aspects of semi-urban communities. The study fits in the financial empowerment literature by confirming a holistic framework of comprehending the financial habits of Indian women and offering evidence-based suggestions to policymakers and financial institutions to improve the financial inclusion of women.
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