\u2018Money stress\u2019. The words alone can fill you with anxiety. Luckily, we\u2019re here to help. Read on for our comprehensive guide on how to deal with money stress, or when financial worries are dragging you down.<\/p>\n
Money stress is usualy when you feel overwhelmed, anxious, or low about issues concerning money. This might happen if you have to suddenly make a large payment or if you lose your job.<\/p>\n
Money stress feels so big when you\u2019re in it that it can seem impossible to get your head around. The first step to beating it is to recognise that the root of the problem is very simple. The issue is almost always in one of two areas (or some combination of them). You either have an income problem<\/em> or a spending problem<\/em>.<\/p>\n Simply put, you\u2019re either not making enough, or you\u2019re spending too much. One way or another, you\u2019re struggling to pay your bills, or you\u2019re close to struggling.<\/p>\n But don\u2019t worry! It happens to everyone, and we\u2019re here to talk you through it.<\/p>\n When facing up to money troubles, the most important thing to remember is that we all go through them from time to time. No two situations are the same, but most have one of three causes: shocks<\/em>, lifestyle<\/em>, and pre-existing issues<\/em>.<\/p>\n Shocks <\/em>are unexpected changes to your cash flow. Think having to pay out for an expensive car part or suddenly losing your job.<\/p>\n Lifestyle <\/em>covers major changes to the way you live, which require you to reconsider your budget and reallocate your funds. Getting married is one example, and having kids is another: both are costly and often intimidating!<\/p>\n Pre-existing issues <\/em>can be the hardest to confront. This category covers everything, from a chronic health condition to diagnosed mental illness, to troublesome spending habits that are hard to shake.<\/p>\n Obviously, each of these issues will need a different remedy. The one thing common to all of them is that key problem \u2013 struggling to meet your expenses. And it\u2019s that element we\u2019re tackling today.<\/p>\n No matter where your money stress came from, it\u2019s absolutely crucial that you remember – don\u2019t panic. It was good enough for The Hitchhiker\u2019s Guide to the Galaxy<\/em>, and it\u2019s good enough here. The problem likely isn\u2019t as big as it looks, and you\u2019ll never solve it unless you keep it in perspective. Not panicking is the best way to keep things manageable.<\/p>\n If you’re already in panic mode, you want to put yourself in a better position to managing your situation. One good thing to do would be to call a friend or family member for a chat. You don’t have to come to any conclusions or resolutions, but you’ll feel better having talked it through with them. They could have some useful advice, too.<\/p>\n A lot of money worries happen at night while trying to sleep. If you’re struggling to get some shut-eye form worrying about money, my best suggestion is to try and distract yourself with a book or something on tv, get some rest, and deal with it in the morning.<\/p>\n Panicking can make the problem much worse. It can lead to anxiety about everyday things that are essential to managing a healthy budget. If you\u2019re already suffering from money stress, the last thing you need is to find yourself too worried to answer the phone, contact the lender, or check your post.<\/p>\n Panicking can also negatively impact your mental health, which can then make your financial situation worse in other ways. For example, by causing you to perform less well at work or by leading you to spend on things you don\u2019t need. Panicking creates a cycle where it becomes tempting to bury your head in the sand, making the problem worse. So stay calm and don\u2019t forget to breathe!<\/p>\n This is very apt when it comes to managing your finances. Money stress can make you feel like your financial situation controls you. Here are some practical tips for staying in the driver\u2019s seat:<\/p>\n Note what you\u2019re spending, why, and when. Keeping a close eye on your income and expenses is crucial to managing them.<\/p>\n Checking in regularly will allow you to build up a budget. What regular expenses do you have? Think food, rent, bills, and the like. Turn your spending diary into a framework, so you know what you\u2019re working with each month and each week \u2013 and make sure to keep checking your actual expenses against your budget!<\/p>\n While panicking can create a vicious circle, staying calm and monitoring your cashflow gets easier the more you do it.<\/p>\n Now you have a framework for what you spend and how much you have to cover it. Checking your spending against this budget will help identify and cut inessential spending. Note that this doesn\u2019t just mean frivolous things. If you find that your weekly grocery shop is eating up a large portion of your wages, consider cheaper options \u2013 bulk buying easy-to-store essentials, switching to own-brand toiletries, and so on.<\/p>\n Practising these three habits will make you more conscious of your spending and give you more control. Having a structure will keep you from feeling guilty about any spending. If you\u2019re under budget, it\u2019s more than okay to put some of that spare cash into a nice meal with friends. Which leads us to our next suggestion \u2026<\/p>\n After all, what are friends for? Whether you just need someone to vent to or more active help managing your money stress, you should absolutely engage with the people who care most about you.<\/p>\n After all, as Bill Withers sang, we all need somebody to lean on \u2026<\/p>\n In some cases, especially if you’re worried you’ll miss a payment, it may be necessary to tell any lenders what you’re worried about. Banks often have specific teams to help with things like this, so try dropping them a call and explaining your worries. Some banks will hold off on adding interest or on contacting you. You may even be able to delay payments or work out a more manageable way to pay off debt. Just be honest, and have all of the information you think you’ll need to take them through before you begin the call.<\/p>\n You might be tempted to hide money troubles \u2013 maybe you\u2019re embarrassed, or reluctant to be seen reaching out. These feelings are natural, but if anyone is directly affected by your financial situation, you should let them know. If you owe a friend some funds, if you\u2019re finding it hard to maintain your social life, or if you\u2019re struggling to support your family, you\u2019re much better off if you open up.<\/p>\n Not talking can contribute to your stress and make the situation even worse. Talking brings the problem into the open and can be a crucial first step in managing it.<\/p>\n We\u2019ve all been there. You have a problem, and you turn to the internet for help. You read a few posts, and you nod your head at all the sensible tips \u2013 but you know you\u2019ll never act on them. Maybe the stress is too much to face head on, or maybe you have a pre-existing issue which makes managing hard.<\/p>\n Regardless, we\u2019re never too far gone to pull ourselves back \u2013 we just sometimes need another hand on the rope. Turning to people you trust can help you bring things under control. They may be more objective about your situation and can provide moral support when you make those difficult financial decisions.<\/p>\n Finally, if your money stress is simply too overwhelming, don\u2019t be afraid to reach beyond your social circle and seek professional help. This can take any form: financial advisors for the money component to counsellors for your mental health. Doctors are also on hand to help with the mental effects of money stress. Your GP is a great place to start \u2013 we\u2019re blessed with free access to appointments in this country, and you should absolutely make use of them. There\u2019s no shame in reaching out!<\/p>\n This guidance should help you bring your money worries under control. The most important tip is not to panic. In addition to creating a budget and tackling your problems, not panicking also means keeping to some sort of a routine: get out of bed, go to work, eat regularly, and so on.<\/p>\n And don\u2019t forget to stay social and stay active! If a gym membership or sports club is too expensive, consider body-weight type exercises at home such as press-ups and sit-ups, or going for a run. Similarly, you can save on your social activities by meeting friends in a park rather than the pub. Get creative with managing your money stress!<\/p>\n Citizens Advice and gov.uk both have a lot of materials on redundancy, dismissal, benefits, and the like, and the NHS website has many pages on eating healthy and keeping fit on a budget.<\/p>\n If you want to chat, the Money Advice Service can be reached at 0800 138 7777, and the National Debtline at 0808 808 4000.<\/p>\n Finally, if you\u2019re struggling with mental health, try www.mentalhealthandmoneyadvice.org<\/a> and www.mind.org.uk\/information-support\/tips-for-everyday-living\/money-and-mental-health<\/a><\/p>\n Money stress can feel overwhelming, but remember, you’re not alone. We know you can beat this!<\/p>\n If you\u2019re preparing to take a mortgage, never apply until you\u2019ve tried our unique and\u00a0FREE Credit-Score Home app.<\/a>\u00a0Our smart technology will tell you what you need to fix so you avoid rejection. The app predicts when you will be able to buy, for how much and tracks your month-by-month progress to mortgage success. We\u2019ve even added your own mortgage broker, so you get the best deals available.<\/p>\nHow it Happens <\/strong><\/h4>\n
Don\u2019t Panic!<\/strong><\/h4>\n
Take Back Control <\/strong><\/h4>\n
Check in With Yourself<\/strong><\/h4>\n
Budget<\/strong><\/h4>\n
Make Changes<\/strong><\/h4>\n
Talk<\/strong><\/h4>\n
If Someone Else is Affected\u2026<\/strong><\/h4>\n
If You Can\u2019t Get Started\u2026<\/strong><\/h4>\n
If It\u2019s Still Too Much\u2026<\/strong><\/h4>\n
Closing Tips<\/strong><\/h4>\n
Resources <\/strong><\/h4>\n
Credit-Score offers two fabulous solutions<\/h3>\n