Money anxiety is common, but you don’t have to deal with it alone

What are the signs?

But money anxiety doesn't necessarily mean you don't have any money at all. You can make what you think is a very decent income but still worry about your mortgage, or that all your savings will be lost to an unexpected medical bill or other major expense.

Maybe you can easily pay all your current bills, but you still can't suppress the uneasy feeling that you should be saving more for retirement.

Some signs that your money anxiety is becoming a more serious problem:

• Aches and pains. You might get a headache or an upset stomach when you check your bank account.
• avoid. Your bills may sit on the counter for weeks because you can't bring yourself to get past them.
• Analysis paralysis. Even a small decision like which sponge to buy might give you pause when you look at the cost of each option.
• There is no work-life balance. You may feel like you have to spend every waking hour at work to make ends meet.
• rigidity . You might plan your budget down to the penny and feel uneasy every time you have to make tiny changes.
• Rumination . Maybe you can't stop thinking about your 401k and checking the stock market multiple times a day—in bed, at work, or while running errands.
• Difficulty sleeping. You might lie awake at night wondering about the next unexpected expense, or whether you'll be able to retire.

Financial anxiety stems from uncertainty about the future. Fear of not having resources available to meet your needs or face future challenges.

You are more likely to feel stressed or anxious about money if you:

history of dispossession

Poverty can be traumatic. If you've ever been without food or housing, it goes without saying that you may feel like protecting your financial resources. You may go to great lengths to save cash in case you need it later.

When you do experience a financial setback, your mind may be more likely to dwell on the worst-case scenario because you've already been through it.

This trauma can span generations. If your parents lived in poverty, they probably stressed the importance of earning and saving money. They may have high hopes for you to bring your family to a certain level of wealth.

Low or unstable income

If you don't have much money, you're more likely to worry about money because a lower income makes you more susceptible to disruption.

If you're living paycheck to paycheck, you may not have a savings account or home equity to fall back on in an emergency. A small delay in payment might prevent you from buying dinner on the last few nights of the month, or putting enough gas in your car to get to work — but of course, that just sets you back a step.

rising costs

In many places, life has become more expensive, and for many people, wages can't keep up. This is part of the reason inflation causes stress: Money you thought was enough to meet your needs no longer has the purchasing power it once did. As the ground beneath your feet changes, you may be wondering how to keep up with future changes.

Another key finding from the aforementioned 2022 American Stress Survey: Half of Americans list housing costs as a major source of stress.

According to 2022 Pew Research Center survey results, housing has become a particularly worrisome expense for a number of reasons:

• Because mortgage rates are low, more people want to buy homes.
• Fewer homes are being built.
• Large corporations and private equity firms reportedly purchased 15% of available homes as investments, primarily in low-income neighborhoods.

All of these factors drive up home prices. When housing becomes more expensive, rent becomes more expensive as well. According to the Pew Research Center:

• Among U.S. renters, 46% are "heavy-burdened," meaning they spend at least 30% of their income on housing.
• About 23% of American renters spend at least half of their income on rent.

debt

Debt is a unique expense because, unlike a purchase, you have few options other than paying it. If you frequently miss payments, you may accrue interest, and the amount you owe could grow at an alarming rate. As your debts swell, you may feel like you'll never be able to get rid of them.

Student loan debt, in particular, can be extremely stressful. A 2021 survey by Student Loan Planner examined mental health trends among 2,300 high-debt student loan borrowers. One in 14 respondents said they had considered suicide during the repayment process.

Financial anxiety can make it difficult to live your life to the fullest. It can also affect mental health and emotional problems, including:

family conflict

Anxiety often makes you feel irritable or resentful. When you're worried about paying your bills, you may find yourself constantly arguing with loved ones who don't seem to take the situation as seriously as you do.

Conflict may become easier if you and your family avoid talking about money until absolutely necessary.

sleep deprivation

Money anxiety can easily get in the way of a restful sleep. Worries about bills, unplanned expenses, or other financial issues can keep you up long before bed. So when morning comes, you may find it more difficult to get out of bed and face the day.

Over time, lack of sleep can have a significant impact on your health, memory, and mood. It may also increase your risk of health problems, such as:

• heart disease
• hypertension
• diabetes
• Worsening of anxiety
• frustrated

gamble

Sometimes, your debt and expenses seem too steep to conquer through typical methods. You may find yourself considering gambling as an option to get the money you need because a small amount of hope seems better than no hope.

But gambling may not help, and the combination of gambling and anxiety may make things worse. According to a 2016 studyTrusted Source exploring the link between anxiety symptoms and gambling behaviors, participants with more severe anxiety symptoms tended to meet more criteria for a gambling disorder.

hoard

Hoarding disorder involves the urge to collect unwanted items and the inability to throw things away.

While many factors can contribute to this mental health condition, in some cases, money anxiety may lead you to hoard certain items. For example, you might:

• Preserve food long after expiration date
• Keep used napkins for future spills
• Collect multiples of every device you own, just in case it breaks
• Save every bag or box you find, even if you don't have room to store them

Recycling definitely helps. There’s nothing wrong with saving things you might need later.

But at some point, you may need to throw something away. Otherwise, you could end up with a cramped, unsafe living space—and illness or injury could cost you more money in the long run.