Stress can have a wide range of negative effects on your health, including trouble sleeping, headaches and a weakened immune system. While many of us suffer with stress for different reasons, financial worries are a common problem, with over half of British adults claiming money concerns have had an impact on their mental health.
If you are worried about your finances, you are not alone. This article includes useful tips and support advice, to help you cope with your money worries and take control of your finances.
Plan Your Budget
The first step to dealing with financial stress is to assess your current spending habits. This is important because knowing where every penny goes could help you plan a budget. This could be used to help your money go further and assist you with managing your finances.
When creating your budget, make sure to include all essential outgoings, no matter how small. Your basics may include bills, food and fuel, as well as prescriptions, toiletries and school supplies.
Build an Emergency Fund
Now that you have planned your budget and covered the essentials, you can calculate how much is left over. From this figure, you could agree to set aside a set percentage each month and transfer it into a savings account.
With a quarter of UK adults having no savings, this could help you build a small fund. This may alleviate some of your worries and provide financial security, should you face an emergency repair or unexpected bill.
Clear Your Debt
In addition to creating an emergency fund, you could work towards clearing your debt. For example, if you are repaying the minimum amount on your credit card, this may only cover the interest accrued, rather than clearing the balance.
Taking steps to reduce debt by increasing your credit card repayment or considering a debt consolidation loan, could help to alleviate your money worries and put you back in control of your finances.
Seek Professional Advice
Lastly, because money concerns can be stressful, it can be helpful to seek support. There are many services in the UK that can provide free, confidential advice. This includes Citizens Advice, the Money Advice Service and mental health charities like Mind.
Coping with financial stress can be difficult, but you do not have to go through it alone. By considering these steps, you could improve your financial situation and get the support you need.