A simple way to keep your head during times of financial stress
In our modern lives, it’s almost impossible to avoid stress now and again. Whether it’s pressure at work, supporting loved ones through illness, or even hearing about frightening world events, you will almost certainly encounter stressful situations on a regular basis.
One area where many people report feeling stressed is in managing their money. Money Wellness reports that, in 2024, 47% of Brits felt that money worries had negatively affected their mental health. This figure rose to 66% for 18-34-year-olds.
The symptoms of stress can make it more challenging to manage your money. But, there is a simple way to respond to stress that enables you to think clearly and focus on what you want to achieve. Read on to find out how I can help you navigate financial stress without it affecting your ability to achieve your long-term goals.
Stress can affect you in different ways, including your decision-making
Stress is part of your fight-or-flight response to situations your brain considers threatening. In the past, this was designed to help us to run away from predators and escape from dangerous situations. Nowadays, your brain continues to use the same response when triggered by modern-day situations, such as losing your job or needing to cover an unexpected bill.
According to the NHS, there are a range of symptoms that stress can cause, both physical and psychological. These include:
- Headaches
- Anxiety or fear
- Racing thoughts
- Aches and pains
- Irritability or anger
- Stomach problems
- Feeling dizzy, sick, or faint
- Skin problems, such as rashes or hives.
Your response to stress will be unique to you, so you’re unlikely to experience all of these symptoms. But depending on how severe your response is, you could find it challenging to manage your money. Consequently, you could find yourself either ignoring money problems, leading them to escalate, or making rash decisions that hinder your financial wellbeing.
So what can you do to help make sure that, even during times of stress, you can make the most suitable decisions for you while managing your money?
Focusing on what you can control, rather than on what you can’t, is a simple way to keep calm in times of stress
When a stressful financial situation presents itself, it’s easy to let your mind run away from you. Racing thoughts about all the different possible outcomes and how they might affect you can be difficult to reign in.
By trying to think of all the possible outcomes of a challenge, you might think that you’re taking a proactive approach to solving your problem, but this couldn’t be further from the truth. Letting your mind race often means you are dwelling on hypothetical scenarios, or factors of the problem that are outside of your control.
Instead, I recommend a simple trick to approaching these stressful situations:
- Write down everything that is on your mind. This might include the facts of the situation, the feelings you’re experiencing, and anything else that is causing you concern.
- Circle all of the points that you can personally control. Cross out the ones you can’t.
- Make a list of action points that you can take to resolve the situation or reduce your own feelings of stress based on the factors you can control.
By focusing on the influence you can have, you give yourself agency in the situation and reduce the stress you’ll feel by dwelling on circumstances that are outside of your control.
For example, you may be feeling under pressure because you have dependants who rely on your income. What if you were to fall ill and be unable to work? How would you and your loved ones cope financially?
While you can’t control if you fall ill in the future, you can put plans in place to help protect your financial wellbeing just in case. Maybe you’ll save some extra cash into your emergency fund. Or you could take out financial protection so that you could continue to cover your expenses if you were unable to work.
As you can see, focusing on what you can control could help you to make more suitable decisions than worrying about everything that is out of your control.
I can help you to navigate stressful financial decisions to make the most appropriate choice for you
When it comes to navigating stressful financial situations, remember that you needn’t do this alone. I can help you to prepare for the unexpected so that, if the worst does happen, you have a trusted partner to rely on and guide you through the financial aspects.
I can help you to identify the unique risks that you could face based on your circumstances. Together, we can create a financial plan that helps protect you from these risks as you grow your wealth and work towards your goals.
Email Marnel.Stafford@fosterdenovo.com or call 07305 970959 or 0207 469 2800 to find out more about how I can help you.
Please note
This article is for general information only and does not constitute advice. The information is aimed at retail clients only.
Note that protection plans typically have no cash in value at any time and cover will cease at the end of the term. If premiums stop, then cover will lapse.
Cover is subject to terms and conditions and may have exclusions. Definitions of illnesses vary from product provider and will be explained within the policy documentation.
