There’s a good chance that you, or someone you know, has felt the increased pressures from the cost of living crisis lately. The Office for National Statistics (ONS) reports that the Consumer Prices Index stood at 10.1% in March 2023, showing how the cost of everyday goods and services has significantly increased over the past 12 months.
As such, it may come as no surprise that, according to Champion Health, financial pressure is reportedly the leading cause of stress outside of work. Meanwhile, the Mental Health Foundation found that 1 in 10 UK adults feel “hopeless” about their financial circumstances.
Thankfully, there are some steps you can take to effectively banish your financial stress and live a happier life. Continue reading to find out how.
1. Take regular stock of your situation
Dealing with a problem is difficult when you don’t know exactly what’s causing it. So, before tackling financial stress, you should take full stock of your situation.
You may want to create a list of the money issues that currently concern you – but be careful not to overwhelm yourself. Simply take some time every day to note down anything that worries you.
If you’re struggling to clarify your problems, it may be worth asking yourself questions such as:
- How does it feel when you spend money?
- Do you feel differently when you’re spending versus saving?
- How do you feel when you think about money?
- What about dealing with money makes your mental health worse?
Then, you can start writing down a solution to tackle your concerns. For instance, you may want to track your daily or weekly spending and then build a budget around this to examine where you could spend less.
2. Put measures in place that give you peace of mind
By properly identifying your issues, you could then be in a far better place to devise measures and solutions to provide you with peace of mind.
For instance, if you’re worried about overspending, you may want to put an airtight budget in place to manage your spending. Or, if you’re feeling suffocated by debt, you could take this chance to develop a plan for how you’ll deal with it.
Of course, there isn’t a “one size fits all” solution, as your best measures would depend on your circumstances. So, brainstorm solutions that suit you and your family’s needs.
Producing solutions is just the first step, and you still need to put your plan into action – this could include devising a new debt repayment plan, or even temporarily reducing discretionary spending.
Also, don’t worry yourself too much if you stray from your goals – to err is human, so accept that you’ve made mistakes, and get back on track as soon as possible.
3. Tackle any financial issues head-on
It’s easy to feel the need to run away from your financial problems and bury your head in the sand. Though, the longer you leave these issues, the more they will build up in your mind and seem impossible to tackle.
Not only that, but running away from your problems can often take a considerable toll on your mental health and quality of life, affecting your sleep, self-esteem, and energy levels.
Try to face your issues head-on, no matter how bad your situation seems. If you’re struggling to stick to the measures designed to give you peace of mind, try to come at it from a different angle, or even set it to the back of your mind for an hour, then return to it.
As long as you persevere and continue to tackle your financial problems head-on, you should be able to conquer them, or at least take a step in the right direction.
4. Speak to your family and friends about your issues
Sometimes, when you’re experiencing financial stress, all you want to do is bottle everything up and not “burden” others with your problems.
This taboo of speaking about money still seems to be prevalent in the UK, too – research from Klarna shows that 32% of adults in the UK feel too uncomfortable talking about money with their peers, despite 44% regularly worrying about money.
Even if you feel awkward bringing it up, or shame that you’ve made mistakes, you shouldn’t let this deter you from speaking with a friend or family member about your issues.
Not only could a deep chat with a loved one help lift a weight off your mind, but it could also help you see things from a unique perspective. If you never speak about your money issues, they’ll likely build up in your mind until they seem impossible to deal with.
5. Work with a financial planner
Above all, it may be an opportune time to speak with a financial planner – it can be easier to deal with problems when you have a professional in your corner, after all.
This is backed up by statistics, too, as a survey from Royal London shows that clients who employed the help of a financial adviser felt more financially secure and in control.
68% of advised clients agreed that they felt more in control of their finances compared to just 53% of non-advised individuals. Meanwhile, 63% of those taking advice said they felt financially secure and stable, with only 48% of non-advised individuals saying the same.
It may be worth speaking with an expert when you’re feeling financially stressed. They could help you deal with some of the issues that cause you the most grief, and suggest some ways to tackle them head-on.
Get in touch
If you’d like to live free from financial stress, we can help at Rosebridge.
Email firstname.lastname@example.org or call 01204 300010 to speak to an experienced adviser today.
This blog is for general information only and does not constitute advice. The information is aimed at retail clients only.