As we mark World Mental Health Day, the link between finances and mental health is being thrust into the spotlight.
It’s no secret consumers have been battling with the heightened cost of living, especially in recent months when the price of food, among other items, has soared. The 2023 Money Stress Tracker poll by Debtbusters has revealed that 78% of respondents who are stressed about money stated it’s damaging their personal life, 78% their professional life, and 77% their health – a strong sign that money stress leads to other sorts of stress.
It’s understood those in debt have higher rates of mental health issues like depression and anxiety compared to those who are debt-free. Furthermore, they are more prone to struggling with their physical health as the stress associated with money can also cause headaches, stomach aches, migraines, heart disease, diabetes, and sleep problems.
1Life money coach and facilitator, Hayley Parry says this results in a domino effect:
“When you’re stressed about money, it’s going to have a knock-on effect. We know for a lot of people it means they lose sleep at night, and this in turn can also impact physical wellness. So, stressing about your finances is something that is going to affect many different facets of your life.”
She says there’s never been a more crucial time to prioritize financial planning:
“You need to ensure that you are managing your money well, on a daily, weekly, and monthly basis. That means you’re on top of your budget. You’ve got an emergency fund in place and, critically, you are making a profit from your salary each month. That means you’re spending less than you earn.”