Money issues

Whether it comes from debt, future expenses, loss of work, or relationship or family challenges, financial worry is one of the most common sources of stress that can affect your overall well-being. The pandemic only added to this hardship. This guide will help you learn more about money stress and how to manage it.
Woman looking out the window while riding the bus

What is it?

While the term “money issues” is broad and can mean many things to different people, most simply it refers to how you relate to money in your day-to-day life as a source of stress. Probably the most common worry is not having enough money to meet your needs or worrying you might not have enough money in the future.

Money is a stressor for many people, especially now, given the uncertainty following the COVID-19 pandemic and the rising cost of living. A recent survey found that money was the most cited factor negatively affecting mental health, with 52% of respondents citing money as their top concern.1 In the same survey, specific money concerns varied between groups. For example, rent and housing costs were a concern among many millennials and being unprepared for retirement was common among Gen X respondents.

What’s causing it?

There are many causes for financial stress, and they vary from person to person and family to family, but a few common ones are:

  • Job loss
  • Reduced work hours or income
  • Lack of stable income
  • Lack of savings
  • Debt
  • Costs of healthcare, housing or food
  • Separation, divorce, or death of a partner
  • Unexpected large costs (likely from an emergency)
  • Cost of education or student loans
  • Taxes
  • Bankruptcy
  • Inflation
  • Unable to retire

At a basic level, not having enough money happens when your income from work is less than how much money you spend living your life. Unemployment or unexpected costs can cause difficulties. Meanwhile, jobs that pay too little (of which there are many), dealing with debt, and caring for family can create a long-term, ongoing challenge. 

How should I deal with it?

It can be difficult to admit money issues are affecting your life or even to notice them, but recognizing them and taking action are necessary steps to regaining a sense of control and security. 

Some steps you can take include:

  • Assess your situation. Understand your debt, expenses, and income, so you have a clear picture of your situation as a whole. This takes time to organize, which can be difficult, but is important to know how to address it.
  • Review monthly spending. Track how you spend your money and what triggers certain purchases (including your moods). Make sure you’re aware of charges like interest rates or subscription fees. Of note, some apps can find out your subscription fees and cancel them for you if you don’t have time to do that yourself.
  • Create a budget. Identify small things you can cut from your expenses, and create goals and a plan for what you can reasonably and comfortably spend moving forward based on the resources you have. Try to create a plan and stick with it, and enlist your partner or family members so that they are on the same page.

Things to try

Consider small day-to-day activities you can do to manage your stress and experience some relief from the weight of money issues. As resolving financial problems can take time and the benefits are often small at first, taking steps to ease the stress of money in your life can make a huge difference in your emotional health and your relationships.
Write down a few things you're grateful for
  • Ask for support from friends and family

  • Older man and younger man talking while on a walk

    Try talking about it

  • Try the 5-4-3-2-1 relaxation and grounding technique

More Things To Try

What can I do now?

<p>   Because attitudes and behaviors related to money often have ties to how you were raised and your overall life experience, dealing with financial stress can be tough, and it can require patience and time. Show yourself and your loved ones kindness and take small steps to realize change.</p>