15 Tips to Deal with Financial Anxiety and Stress

Ilma Haider

16 June 2022

8 Mins

Money is one of our favourite words. And with money, comes financial handling. And almost everyone worries about financial issues from time to time. But have you become so worried that you are losing your sleep, and your focus and even are unable to carry out daily tasks?

There are hundreds of reasons why you may be in debt, an unexpected job loss, or due to medical expenses. Anything can cause you financial anxiety. But whatever your situation is, there are tips that you can use to deal with financial anxiety and the stress that comes with it.

dealing with financial anxiety

The Relationship Between Finances and Your Mental Health

How do you handle your money anxiety? And how do you prevent it from putting your health at risk? The relationship between finances and your mental health is not a question of how much money you are making, but it is about having control of your everyday finances, freedom, and life.

Financial wellness is feeling safe about all your money matters. And it should not overwhelm your emotional health. If you have had financial stress for a long time, especially combined with a lack of sleep and stress, it can lead to mental health problems, such as PTSD or trauma.

Studies have also shown that financial stress is an all-consuming problem, this can also cause depression in all income levels, especially in low-income populations.

Reasons Why You Might Feel Anxious About Money

If you are feeling more stressed out than usual, then there is a good chance that your finances are the culprit behind it. Everyone can be dealing with financial anxiety at some point in their life. High levels of anxiety can disrupt your sleep schedule and cause mental health problems.

If you feel anxious for long periods, it can have a toll on your body and brain. In cases like this, the best thing to do is to get therapy from a health professional. There are reasons why you might feel anxious about money,

  • You do not trust yourself with making the best decisions.
  • You are avoiding important long-term plans.
  • There's a disconnection between your spending habits.
  • You don’t have safety nets.
  • You have set high expectations for yourself.

15 Tips to Deal with Financial Anxiety

If your financial anxiety is causing you high-stress levels, there are steps you can take to regain control of your life and money. Carefully read these strategies to overcome your irrational financial anxiety.

1. Focus on the positive:

The positive aspect is the only thing you should focus on. Of course, only thinking positively won't make all your financial problems go away. But it sure can calm your nerves down and save you from going to the hospital emergency clinic.

Looking at the positive side can also help you appreciate your financial strengths, which can help in solving a lot of your financial problems. So, grab a piece of paper and write down all the positives of your money management skills. Even though things can seem impossible, keeping a clear mind and focusing on the good can help.

2. Take a wellness approach:

If you have dealt with financial stress in the past also, then you know the unhealthy behaviours it brings. So, try out a new approach to tackle your money problems this time.

A great way to start is by eating healthy, exercising, and staying fit. You can also try meditating, praying, and yoga to calm your mind. These healthy alternatives will help you from neglecting your bills and overspending on useless things.

3. Changing your budget:

High levels of stress can predict that your budget is a mess. It is important to keep track of your personal spending because life is rarely ever constant. If you are anxious about handling your money, try writing down your expenses on paper to identify problem areas to calm your mind.

4. Stop shaming yourself:

Past financial mismanagement can lead to us feeling ashamed or embarrassed of ourselves. Anyone can lack money, budget wrong, or just simply become ignorant of proper financial practices. But feeling bad about our money will only cause us debt anxiety. The only thing to remember is to not let your past mistakes affect your future. The cycle of shaming yourself can lead to future mismanagement and anxiety attacks.

When you start to feel embarrassed about your money, remember to take the time to educate yourself on how to organize your finances. Set your life on a healthier path.

5. Ask for help from financial planners or advisors:

Financial advisors and planners are not for the wealthy. Make your first appointment and calm down your fear of losing more money.

A financial advisor will help you learn how to save money for the future, start investing, define your aspirations, and can be a great assistance to reaching your financial goals.

6. Communicate with others:

Talking to others can always be a great solution to conquer feelings of debt, stress, money, and anxiety. This can be a difficult thing if money talks have always been taboo for you. And especially if you are someone who is not on the same page as your financial planning.

The good news in this is financial counselors, planners, therapists, and mental health professionals are always available to help you if your financial life interferes with your personal life.

7. Emergency funds:

Anything can suddenly cause you to lose your job, an illness, sudden death, etc. And this is why the fear of second-guessing your financial plans is scary. But if you have already evaluated an emergency fund, a new, fresh and untouched nest of money will be there to be used in emergencies. And knowing that you kept money aside for yourself or your family will help you rest much better at night.

how to deal with financial anxiety

8. Stop comparing yourself:

Comparing our achievements with others is a common problem. Every day we see people who are going on vacations, buying cars, houses and whatnot! Comparing yourself and your finances with others can add extra stress to your mind to do better.

If you constantly try to measure your accomplishments with others, your efforts will not be enough for you. So next time you feel smaller remember that you are not looking at the full picture or your effort.

9. Look for the worst-case scenario:

One of the best ways to cope with financial anxiety and stress is by imagining the worst. No matter how bad your bank account looks, take a few minutes to ponder what would happen if your worst nightmare came to life.

Once you acknowledge your fears, you will be able to create a better financial plan. Bad things can happen to anyone, but knowing that you have control of them makes them a little less bad.

10. Look for hope:

If you are an optimist, you are a better planner. It can seem like a hard job to look for hope when dealing with money anxiety. But you can always use the “fake it till you make it” motto. Also, being hopeful can reduce your heart rate and stress levels.

11. Set up plans for personal spending:

The word “budget” is enough to create a sense of anxiety in almost everyone (especially if you have not had any luck in the past).

So step it up from budgeting and create your spending plan! All you will have to do is track your expenses daily, then you are free from the stressful part of telling where all your money has gone.

12. Educate yourself:

We all fear the things we don’t know. And if this fear is causing you to stress about your money, then turn the unknowns into knowns. If you want to start saving for a house but have no idea where to begin, you may feel stressed. Or maybe you need life insurance, but do not understand the difference between the various types, and you may feel confused.

This feeling of uneducated and disoriented knowledge can be the beginning of your anxiety over finances. So to calm your fears down, you need to get in touch with counselors, and advisors, take courses and educate yourself.

13. Identify the source of your anxiety:

If you want to get rid of your financial debt, then you need to figure out what is triggering your stress? Is your stress related to mortgage payments or student loans? Or does a tax return cause you anxiety? Or is it just you having trouble paying your house bills?

Sit down, and think about what can be the cause. Take time to identify even the smallest money stressors. Once you have them, create a list of your goals to step up.

14. Talk to your partner:

If you share and manage your money with someone else, maybe your partner or spouse, then you should discuss your problems with them. Do not shoulder all the burden on yourself and stress your mind out, it could also be their fault. This is how relationships are made (Both partners should carry the burden).

When you have a clear division of financial responsibility only then will you be able to reduce your anxiety levels? Set up a time to talk to your partner or loved one about your money worries. Look over your number together and several things can happen.

15. Pay some concern:

We know spending money anxiety and constantly thinking about money can affect our well-being. Having some concern over your finances will help protect you from poor spending habits.

Rarely ever, mild financial anxiety is helpful because it helps us stay preoccupied with future planning and inspires us to save more money. Or you can just stick to your budget plans and stay conscious of your overspending habits.

So, budgeting is tough and anxiety is easy to catch. But there are always solutions for the toughest of problems.

So if you feel like it, you share your solutions with us on Now&Me. A free-of-cost platform for individuals struggling with mental health challenges to engage, grow and seek comfort together.


1. How can I calm my anxiety down for money?

Maintain a mindset that while money is important, it’s not the only or most important thing in life. You can build some savings or emergency funds. It will provide comfort that there is something to fall back on. Always think of the worst-case scenario. Spend money wisely and smartly. It will help you give the satisfaction that you are doing your best in managing your finances. And Keep confidence in yourself.

2. How do I stop obsessing over money?

Money is a powerful tool. And if there isn’t enough, well, that’s salt in the wound. We start feeling resentful. Pile guilt on resentment, and you’ve got a recipe for mental and physical disasters. To stop this obsession, you can stop comparing yourself to others, let yourself grow, look at the longer run, and be happy with what you have.

3. Why do I stress about money so much?

Managing your finances and learning how to deal with financial stress can often seem like hard concepts, therefore, causing us to stress over it. Even if you're feeling good about your savings habits, you may still feel stressed. This may be due to bad money management, poor knowledge, and excessive spending habits.

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