Coping with Financial Struggles – Top Tips
The past few years in Australia have been very challenging for many people especially when it comes to financial struggles. With a tighter, post-pandemic economy, more and more Australians are feeling the pinch in higher costs of living, wage growth slowdown, higher job loss rates and mounting debt.
The Impact of Financial Struggles on Mental Health
Financial struggles can cause extreme stress and anxiety among adults and parents, making everyday life’s challenges extremely challenging. Over time financial struggles can cause longer term mental health issues.
In this article, we’ll discuss the 10 ten ways of coping with the stress and anxiety of financial problems.
10 Tips for Dealing with Financial Struggles
1. Make a budget and stick to it.
This tip is really offering two strategies for the price of one. Because making a budget to track expenses and incomes is one thing, but sticking to it is something entirely else.
Budgets can help you regain a sense of control over the finances and reduce the stress of uncertainty and confusion of disorganisation.
Your budget should include all of your expenses and needs, only including luxuries or wants where there is money for it.
Stick to your budget and monitor it regularly to make sure you’re on track financially.
2. Take a moment to make a plan.
It might be obvious to suggest looking for opportunities to increase income, but for those struggling with the pressures of tight finances it can be hard to think straight.
Take a moment to gather yourself and re-orient yourself and your options. Whether it’s starting a side hustle, taking on extra shifts or changing career, it’s easier to make a plan when you can think properly and logically.
3. Seek support from loved ones.
Financial struggles are hardest when dealt with alone. Talking to family or friends you trust can help alleviate some of the stress you’re feeling.
They may be able to offer some advice, provide a different perspective or even offer some financial assistance. Regardless of whether they can help change the situation, just having an open ear to listen and a kind shoulder to lean will be invaluable emotional support.
4. Focus on that which you can control.
There are some things that you can control: reducing expenses, cutting out waste, or seeking opportunities to increase income. There are other things that you cannot control, such as the wider economy and shocks to the job market.
Accept that you can only control that which you can control. This will help you focus on what matters and what’s important instead of wasting emotional energy on unnecessary worry and anxiety.
5. Focus on your health.
Keeping up a balanced, healthy diet and ensuring you get enough sleep and exercise is critical during times of increased stressed, such as during financial struggles.
Aim to exercise for 30 minutes each day, provide yourself time to breathe, relax and decompress from the tension of life, and make sure you go to bed at a decent time of night. When it comes to your eating habits, having a balanced diet isn’t just good for you physically but it can seriously affect your mental health too.
6. Be kind to yourself during periods of financial struggles.
It can be hard to be kind to yourself during times of heightened financial pressure. But self-care is essential for keeping your mental health up and lowering your stress levels.
Find activities that you love and enjoy, whether it’s a hobby or spending time with family/friends. We are all better at prioritising kindness to others and risk not providing ourselves with the same generosity of spirit.
Tip: There are plenty of self-care activities that are perfectly compatible with budget keeping and are free or inexpensive.
7. Practice gratitude.
Proactively trying to notice and practice gratitude for the amazing things in your life can literally shift your mindset and help to reduce stress.
Gratitude journals are great ways for developing this habit. Try listing three things each day that you’re grateful for. They can be as small as you want–it doesn’t matter!
8. Limit time online.
It is important to stay informed about what’s happening in the world and economy, but consuming too much news, especially bad news, will increase your levels of stress and anxiety.
Similarly, spending time on social media can cause unhelpful and inaccurate comparisons with others at a time where you are feeling vulnerable.
Set limits about how and when you go online and make sure that you’re spending your time carefully.
9. Seek professional financial advice for financial struggles.
Financial advisors can do more than just help investors make money and set up family trusts. They can provide professional, experienced and expert guidance on setting up budgets, restructuring finances and making plans to pay off debt.
You don’t have to struggle alone: Seek professional financial advice to help!
10. Seek professional mental health help.
Professional psychological help can help reduce the anxiety and stress of financial struggles. Therapists, like the ones here at One Central Health, use various coping strategies to improve mental health.
Remember that it’s important to take care of yourself and mental health professionals can help you do just that.
Dealing with Financial Struggles
Financial struggles can really put pressure on your well-being, health, relationships and happiness. While we’ve outlined 10 strategies for coming with stress and anxiety, if you’d like to find out more about how our professionals can assist you give us a call on (08) 9344 1318.
