Managing Money Anxiety

This is hard to do if you are a worrier, but it’s an important step to try and control your level of anxiety. Panic can be good when felt occasionally as it alerts you to danger, but it’s not something you should feel on a daily basis.

If you feel panic when you look at your bank account balance or have to purchase a large item, you need to work on eliminating that panic. Panic will simply paralyze you and cause you to make bad decisions.

Focus on calming yourself in the moment so you can relax and think logically about the situation, simply concentrating on slowing your breathing will often help reduce the symptoms of panic.

If you are constantly feeling anxious about money then you may need to develop skills and strategies to manage your anxiety and may want to get help with that.

If you need personal support this help will come in two forms: someone to help you with the feelings and someone to help you with the money. You should seek out both and work with them together to help improve the situation.

It is always a good idea to see if you can take control of your anxiety yourself and advice on this can be found online advice on the Health & Wellbeing pages, but if you feel that you need assistance from a professional counselor you can complete the counselling referral form.

To get help with your money there’s a wide range of online tools and advice on the Money Advice Service webpages where you can also make an appointment with a Money Adviser if you need to.

You have control over every decision that you make. If a purchase is causing you anxiety then this might be a sign that you need to rethink it and make a different decisions. Your decisions should not be causing you more and more anxiety, if this is the case then you need to remind yourself that you are in control of these decisions and can make better financial choices.

Working on sorting out your money situation can be stressful and may take a long period of time. Something you might want to work on doing is finding cheap ways to relax so that anxiety doesn’t build up from the stress of undertaking a long-term project.

Learn how to relax in the best way you can, whether that’s through exercise or meditation or simply watching television. Find what works for you and enjoy it! Do fun activities that take your mind off your money and the stress it may cause. Just enjoy your life!

Most people get stressed about their finances when their personal budget is out of whack. It can be anything from overspending on certain categories to not properly planning purchases. Regular budget checkups are essential since life, and all of its expenses, are rarely constant.

Check these items off your to-do list when your budget starts causing you stress:

1. Review. Go over your bills and expenditures, and make sure all your numbers are accurate by ensuring that receipts and bills match up with your budget. Of course, things can fluctuate from month to month because of car repairs, travel, and other unpredictable events. This might be the perfect time to allot a certain amount to an emergency fund for a little more peace of mind.

2. Reduce. Check to make sure you’re in the black each month, since going into debt is generally the greatest cause of stress. If you are ‘working your overdraft’ during your time as a student then set a realistic limit of how much you are going to use – remember you are going to have to repay it all back at some point.

   If you find yourself going over your limit more months than not, it’s time to rethink your money-making or spending strategy. Try taking a part time job to bring more in, or reduce your phone bill, TV package, or travel plans to restore balance to your budget.

3. Pay Off. Create a debt pay-off plan -even if it’s a long term one - and stick to it so you have an idea of when your credit card balances, overdraft or other credit/loan payments are going to be paid off – this knowledge alone can help you breathe a major sigh of relief.

   Bear in mind that whilst you are studying you are likely to have very little free income to dedicate to repaying loans or credit cards, however you are more likely to feel positively if you have taken the time to understand your debt and plan how you are going to pay it off once you are earning a wage.

   If you are finding it too difficult to face up to your debt then there is advice on the Money Doctors webpage on how to approach personal debt.

4. Repeat. Repeat as needed to feel more in control of your finances.

Past financial mismanagement can lead to an aura of shame, whether it’s a lack of money, incorrect budgeting, or simply not being aware of proper financial practices.

Unfortunately, that bad feeling can perpetuate a cycle of anxiety and future mismanagement. If that sounds like you, you’re not alone. When you’re feeling embarrassed about money, remember that taking the time to educate yourself and organize your finances – even if the numbers make you squirm – can set you on a healthier path for the future.

There’s no shame in wanting to be better with money, so don’t feel awkward if you need to broach the subject with your partner, parent, best friend or if you decide see an advisor and ask for help.

Facebook, Instagram, and Twitter accounts are generally inundated with friends’ pictures of trips, cars, and other indicators of wealth. No matter how accurate your perception of their wealth actually is, comparing yourself and your finances to others’ can often cause stress and drive unsustainable spending.

Here are some things to remember the next time you feel the urge to compare yourself to others financially:

• You don’t know what’s in their bank account. While a friend might seem to enjoy plenty of success, it could be courtesy of credit cards and loans.
• Similarly a Facebook snapshot doesn’t show the hard work and sacrifice that goes along with financial success.
• Your friends’ journeys are not yours – your experiences are unique.
• Many people post the best version of their lives on social media, so perception can be skewed.
• Keep some factors in your life private, so you don’t feel the need to promote a perceived sense of wealth to your friends. While it’s okay to share pics from your latest vacation, boasting online is unhealthy and can leave you spending more to maintain the facade.
• The only person you can change is yourself. Instead of gauging your success by that of others, create a measuring stick by which you can feel more in control over your money - such as staying out of your overdraft or an accurate monthly budget. These are more effective indicators of your financial wellbeing and success in managing within your means, not someone’s Facebook photo album.