What exactly is financial stress?
Rising interest rates. Rising rental and mortgage costs. Inflation outstripping earnings growth…it adds up to a historically high cost of living, with more people struggling to meet their basic financial commitments. To afford shelter and food.
This is financial stress. But it’s far from just a financial issue.
From poor sleep and mood swings to relationship issues and even weight gain, financial stress can affect your mental and physical health in a host of ways. Moreover, the mental and emotional strain can actually make it harder to find a solution to your financial situation, which (you’ve guessed it) adds even more stress.
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One in four Australians are finding it hard to get by on their current income. |
What can you do about financial stress?
There are no easy fixes, but the sooner you take action, the better. So, here are three initial steps you can take to address your financial stress:
1. Stress management
The first step to managing your financial situation is to manage your stress. Easier said than done when you’re feeling overwhelmed.
If your financial situation is dominating your head space and time, start by trying to bring some balance back to your life. A lack of balance in your day-to-day can exacerbate the stress you’re feeling, but it’s something you have direct control over.
Try creating a new routine, using Dr. Dan Siegel’s Healthy Mind Platter to help you regain some balance in your day-to-day life. You need time to think, but you also need time to relax and unwind. You need time to take action, as well as time to exercise, socialise and play.
2. Problem solving
This step isn’t easy either, but it is worthwhile. Start by listing the problems you’re facing. Not just financial problems or debts but the challenges or barriers that affect your financial situation. Write them down.
Next, list all the possible solutions to each challenge. Some solutions will be more achievable than others. Some will take more time, others less. Prioritise the solutions that are most likely to provide a benefit, sooner rather than later.
Then, it’s time to take action. The idea isn’t to do everything at once. Give yourself a series of small, achievable steps so you can simply focus on the next item on your to-do list. How do you climb a mountain? One step at a time.
3. Asking for help
Many of us are reluctant to ask for help, but there are resources to help you regain control of our finances.
It could be as simple as asking family or close friends to help you. It doesn’t have to be financial help. It could be practical help, like picking your kids up from school so you can tackle the next item on your problem-solving list or giving you a lift to an appointment so you don’t have to pay for fuel or transport.
It could also mean contacting a financial counsellor. Many charities and not-for-profits offer free, confidential financial counselling to help you work through your money problems. They can even help you consolidate or negotiate your debts. Check out the options in your area or call the National Debt Helpline on 1800 007 007.
