Money is a major cause of stress. One’s financial situation, whether that is your own or how you perceive others, is a big cause of stress and anxiety issues in today’s society.
Check out these Top 10 Tips on how to deal with your financial stress:
1. Don’t hide!
Our study found that people avoid checking their balance closer to payday, but it’s better not to avoid your finances. Becoming more aware of your balance and spending habits can help you stay in control and avoid financial problems before they get worse.
2. Set a budget
We all know budgeting is a difficult task to stick to, but sitting down to go over your income and expenses can help lower your financial stress level. Ensure regular budget check-ups – this is essential.
3. It’s all about priorities
Determine what your financial priorities are. Identifying them can help ease a tough financial situation – create an action plan.
4. It’s the little things that count
Use ‘the snowball effect’ to make incremental changes to your day-to-¬day spending so you can tackle your financial priorities. Cut back on lattes or quit smoking, cut back on takeaways and put the savings towards one small debt to get it paid off faster, and then repeat for others.
5. Money Buddy
Similar to a gym buddy, find a responsible and trusted friend that can help you follow your financial goals – helping you to stay accountable.
6. Consider using cash
It may be old fashioned to pay with cash but people who pay by card are unconsciously willing to spend more and have less control over their spending – the emotional attachment to cash can help curb mindless spending.
7. See an advisor
Set up an appointment with a financial advisor. Let them help you create the right path to your financial goals whether that is to start investing, save more for retirement or to simply define your aspirations.
8. The fear of missing out
Social media can be a hugely influential platform that encourages a desire to live a wealthy lifestyle – fancy meals, expensive holidays and new cars –this can take a big toll on your financial stress. Stop comparing yourself to others. That picture/video is a magnified part of their life or may not even be true. Concentrate on yourself and gain control of your own situation.
9. Turn the unknown into “knowns”
Knowledge is key with financial responsibility. If you want to save money but have no idea of where to start – do your research, attend local or online finance classes or seek advice and support on the best financial options. The government’s Money Advice Service is a useful and free support resource.
10. Stay positive
A negative attitude and perspective on your finances will do nothing but further your financial stress. Focus on the positive – keep a positive mental attitude – it can calm your fears and help you recognise your financial strengths, but if you are worried, you should ask for help.