Financial anxiety – Understanding what it is

Finances and emotional well-being are more closely related than we realize. That’s why, when we’re not careful, financial anxiety can arise.

But in order to understand financial anxiety, it’s worth highlighting the difference between anxiety and anxiety disorder.

First, anxiety has existed in man since his origins.

Therefore, it functioned as a feeling of insecurity and danger that was meant to help the survival instinct.

Today, we understand that anxiety is something natural to human beings and that everyone has it.

But anxiety becomes a disorder when there is too much of it, and it has become a major mental health problem.

We know that anxiety stimulates us into action, but too much of it turns it into a disorder and does exactly the opposite.

As a result, the person becomes paralyzed, either at specific moments or at any time, for no apparent reason.

And although there is no apparent reason, the disorder has its causes.

For example, a person who is suffering intense demands from their family can develop the disorder.

This person starts to worry excessively, can’t cope with the pressure and this compromises their quality of life.

What is financial anxiety?

In the introduction, we understood the difference between anxiety and anxiety disorder.

And when we talk about financial anxiety, note that, as with anxiety disorders, there is a cause, even if it’s not 100% visible.

For example, we can think about instability at work which results in loss of job and income.

Other common causes of financial anxiety are:

Accumulation of debt and unexpected expenses such as medical bills and emergency home repairs.

As well as social pressure to maintain a certain standard of living.

This pressure comes from people such as groups of friends or at work.

In addition, social media push the individual to live to maintain their standard of living.

Another cause is a lack of financial education.

This lack of knowledge contributes to anxiety because the person feels lost when dealing with their money.

Symptoms of financial anxiety

All these causes generate serious symptoms, such as constant worry.

This causes terrible thoughts to invade the mind:

“How will I pay my bills this month?”, “If I lose my job, how will I feed my family?”

All this worry generates another symptom: insomnia.

Because of financial worries, people find it difficult to fall asleep or stay asleep.

Irritability is also a common symptom because this type of anxiety makes people more sensitive.

In addition, social isolation is another symptom of financial anxiety.

This is because the main aim is to avoid judgment or to avoid spending.

And while some people avoid leaving the house to avoid spending, others make financial decisions impulsively.

This is done to relieve stress and cause even more problems because the person gets further into debt.

It’s also worth talking about physical symptoms such as stomach pains, muscle tension and headaches.

Chest pains, diarrhea or digestive changes, tremors, shortness of breath, sweating and weight loss or weight gain are other symptoms.

Emotional symptoms include memory problems, restlessness, difficulty concentrating, feelings of panic and fatigue.

Serious consequences for health and physical life

Financial anxiety leads to disruption of routines, with a negative effect on life at home and at work.

This means that people begin to isolate themselves even from their families and find it difficult to go to work every day.

Even leisure activities are avoided.

The symptoms mentioned above, such as diarrhea, nausea and chest pain, also worsen and there is a high risk of alcohol or drug addiction.

This is because the aim is to alleviate the symptoms and anxiety.

So that you understand the seriousness of financial anxiety, know that the sum of the above symptoms results in the risk of depression.

The person understands that they are unable to progress in life and begins to feel a deep sadness.

Finally, the situation is so vulnerable that even opening the bank app can alter the heartbeat.

How to deal with financial anxiety

Think about the cause.

You’ve probably heard that, without finding the cause, you’re unlikely to find the solution, and that’s true.

What gives you the most anxiety?

Perhaps your low salary, the debts you have to pay at the end of the month, bills, or even the uncertainty of the future.

At this point, you should understand that there are two solutions:

The first is to do something about problems that are within your reach.

If you’re dissatisfied with your salary, you need to look for new ways to make extra income or study to become a better professional in your field.

Secondly, stop thinking about problems that are out of your reach.

If you’re worried about a situation in the future that can’t be solved right now, learn to let it go.

Planning 

The second step to solving the problem of financial anxiety is to make a plan.

An anxious person has a habit of running away from problems and hoping that they will solve themselves, but this never happens.

In fact, the anxious person often becomes desperate because they don’t know which way to go.

A plan helps in both scenarios.

So keep in mind that there’s no point in sweeping problems under the carpet.

Face financial problems by creating ways to organize yourself financially.

First, start with small changes in attitude.

Create a spreadsheet to keep track of your spending, either with pen and paper or on your computer.

Observe your spending and start eliminating the unnecessary ones.

It’s also important to avoid triggers that generate impulse buying and financial anxiety.

For example, if you notice that every time you feel anxious, you access a store’s app and simply buy a lot of products you don’t need on your credit card, do the following:

Eliminate the habit of using store apps as social networks and don’t leave your card registered to facilitate the purchase.

Bear in mind that shopping is not the solution to your problems.

Another tip for extreme cases would be to remove the app from your phone, thus avoiding the trigger and also unnecessary spending.

Next, learn to organize your finances, study and read.

Counseling and exposure of financial anxiety

Knowledge is a great ally because, this way, you avoid falling into “traps”.

Another great option here would be to seek financial counseling.

A person suffering from financial anxiety doesn’t know how to manage their finances.

If they did, they would hardly have this kind of anxiety.

In this sense, when you recognize that you have financial anxiety, you also recognize that you need help with organization.

For your plan to be truly effective, look for someone who has greater knowledge than you do.

You could look for a professional in the field, so that they can offer you all the help you need to deal with your financial problems.

At the same time, you may need advice from someone who is there for you when it comes to dealing with financial anxiety: your family.

As well as explaining your situation to your family, being honest and not hiding your worries and emotions, you should ask for help.

Although it’s not ideal, many couples manage their money individually.

As a result, while one is drowning in debt, the other is in a good financial situation.

Perhaps your partner has a lot to teach you when it comes to finances, you just need to give them the opportunity.

Otherwise, financial anxiety is capable of damaging relationships with family and loved ones.

Health care 

Although we already know it, exercise is a form of care that also influences our mental health.

Several studies point to the use of exercise as a treatment for depression.

For mild and moderate depression, exercise can be compared to antidepressant medication as a first-line treatment.

In more severe cases, exercise is used as a complement to medication.

In addition, although it has not been widely studied, exercise has been shown to be an effective and economical treatment alternative for a variety of anxiety disorders.

So, you should exercise to deal with financial anxiety!

You can resort to relaxation techniques such as meditation or yoga.

In addition, any other exercise you enjoy can be effective because the important thing is to be active.

Exercise with family or friends and lead a healthier lifestyle.

For example, you could start cooking, both to take care of your diet and as a distraction and even to save money.

It is estimated that 40 million Americans suffer from some kind of anxiety disorder at any given time and that 1 in 5 report using alcohol to cope with stress.

Therefore, we recommend that you eliminate the use of alcohol and drugs to treat financial anxiety.

Alcohol, in particular, serves as an “escape” to help deal with the symptoms of anxiety.

But this is a big mistake.

As well as being a temporary “solution”, alcohol is bad for your health.

Anxiety related to financial stress only passes under the influence of alcohol, so a person can easily become dependent.

Medical help

When anxiety begins to take control of your life and is an obstacle in your daily routine.

When barriers arise in relationships, and there is a sense of despair that problems cannot be solved.

In all of the above cases, professional help is needed to treat financial anxiety.

It’s not a weakness to ask for help, quite the opposite!

Those who ask for help are showing themselves (because that’s what matters) that they have identified a problem and, more than that, that they want to solve it. 

Daniel 29 de April de 2024