How to cope with the feeling of total anxiety about money.
From this article you will learn:
- What is financial anxiety;
- How financial anxiety affects a person and what are its symptoms ;
- what are the main causes of financial anxiety;
- How to reduce its level.
Financial Anxiety: What It Is
Financial anxiety is a persistent feeling of worry about money that occurs even in those with a financial cushion. This type of anxiety develops under the influence of a variety of factors and often becomes chronic over time.
According to a VTsIOM survey, 10% of Russians indicated that financial difficulties and uncertainty about their financial situation are the main cause of their stress. Moreover, 72% of respondents cited a lack of money as a potential source of stress—financial stress confidently ranks first among all causes.
How financial anxiety affects a person and their life
There is a direct link between financial stress and the development of anxiety and depression in adults. Researchers from the Department of Economics at the University of Birmingham and the Institute of Applied Health Research at the College of Medical and Dental Sciences at the University of Birmingham (UK) analyzed over 40 studies and found that financial instability can have a long-term negative impact on mental health. Financial anxiety significantly reduces levels of inner psychological well-being.
Scientists from the Department of Behavioural Sciences and Health and the Institute of Sport, Exercise and Health at University College London have found that financial difficulties and associated anxiety worsen mood, reduce optimism, increase feelings of loneliness and lead to the development of depression.
Financial anxiety complicates life, manifesting itself on multiple levels and affecting behavior, thoughts, and relationships. Here are the main changes.
Developing deficit thinking
Scarcity thinking is the belief that there’s never enough money. In this case, any spending is accompanied by internal tension and fear.
This approach limits your perspective on sources of income, increases your sense of insecurity, and creates a vicious cycle of anxiety where discomfort prevents you from relaxing and living your life to the fullest.
Decreased quality of life
Financial anxiety triggers obsessive thoughts about money. They prevent relaxation even during leisure time or during hobbies: a person constantly replays scenarios in their mind related to a lack of funds, future expenses, and possible dangers. This state reduces the quality of life, interferes with making informed decisions, and prevents timely investments in important areas, such as health or education.
Instead of seeking new opportunities and investments, people often develop a tendency to avoid any risk, and anxiety leads to social isolation, loss of confidence, and even secrecy about their successes and failures.
Avoiding talking about finances
A reluctance to discuss money matters prevents one from objectively assessing one’s resources, seeking support, and sharing experiences, thereby further isolating a person from loved ones.
All these changes have an extremely negative impact on relationships. Constant worry about money hinders open communication, interferes with mutual understanding, and leads to conflicts between partners when their budgetary views differ greatly. One believes in saving, the other believes in enjoying life, and this becomes a source of mutual resentment and discontent.
In friendships, financial anxiety also exacerbates differences: a person feels embarrassed about their situation, avoids communication with more successful friends, envies, or feels uncomfortable in the context of others’ achievements.
Symptoms of financial anxiety
When a person is constantly under stress (including due to money), the body reacts with a whole host of physiological changes : cortisol levels rise, and the sympathetic nervous system is activated. Typical symptoms also include insomnia and frequent nighttime awakenings, muscle tension, migraine-type headaches, gastrointestinal problems, and a weakened immune system, leading to frequent colds.
On a psychological level, a person experiences a sense of threat. Financial anxiety undermines their sense of control over life and inner resilience.
How anxiety manifests itself at different levels.
| Level | Signs (symptoms) |
|---|---|
| Physical | Headaches, muscle tension Sleep problems (insomnia, disturbing dreams) High blood pressure, rapid heartbeat Digestive problems |
| Emotional | Constant worry about money, even if there are no objective problems; Feeling guilty for spending, even necessary; Feeling hopeless, fear of the future |
| Behavioral | Obsessive control over account balances Avoidance of discussing financial issues A tendency to impulsive spending or, conversely, unjustified saving |
Moreover, financial anxiety can arise even in people with a stable, good income.
Let’s look at an example. Alexey holds a management position at an international company. He has a high salary, generous bonuses, and substantial annual benefits. Yet, he still rents a small one-bedroom apartment on the outskirts of the city and spends nearly two hours commuting to work every day, with several transfers. Alexey prefers to save all his income “just in case” and is literally afraid to spend “extra” money.
This excessive desire to save is just one sign of financial anxiety. Other manifestations include:
- constant fears of being left without money , despite stable income;
- a painful feeling of guilt after even a necessary or minor expense;
- Difficulty making financial decisions —any purchase becomes a difficult choice, which can often lead a person to put off even important payments like monthly loan payments;
- Obsessive spending control – constantly checking bank account balances and counting cash.
Sometimes the opposite reaction occurs: a person tries not to look at their account at all, so as not to be upset by the decrease in the amount after expenses, which can cause them to lose control over their spending.
The main causes of financial anxiety
Financial and economic crises, market fluctuations, high interest rates, inflation, and the cancellation of subsidized programs increase feelings of instability. Here are other reasons why financial anxiety can arise.
Beliefs passed down from generation to generation
In families where money was always in short supply or was valued excessively, a fear of losing it develops. Parents who experienced financial crises instill in their children the idea that money is a source of constant worry . In such families, spending on oneself was not accepted, which is why any expenditure on personal needs or pleasures evokes feelings of guilt in adult children.
A test by financial psychologist Brad Klontz can help you understand your patterns . It reveals the beliefs you inherited from your parents. By analyzing them, you can understand which ones are truly beneficial and which ones hinder your financial well-being.
Silence about money issues in childhood
If material topics were taboo, the child grows up unsure of their decisions, avoids conversations about finances, and in adulthood displays irrational behavior regarding money.
Personal negative experience
Job loss, debt, unsuccessful investments, or, conversely, sudden profits without sufficient financial knowledge—all of this can trigger an anxious attitude toward money.
Social influence
Comparing one’s wealth to that of others and viewing “success” stories on social media increases insecurity and anxiety. This is especially true if a person tries to maintain an image and standard of living that is inconsistent with their actual means: taking out loans for expensive purchases or going on vacation without funds.
Doomscrolling
This constant, uncontrolled consumption of a news feed filled with negativity only exacerbates anxiety and leads to depression.
How to Reduce Financial Anxiety
The first thing you need to do when dealing with money-related anxiety is to bring it out of the shadows and sort it out: where your worries about money are actually justified, and where they depend on accepted family scripts or a tendency to perceive events and situations in an overly negative and dramatic light.
We propose the following algorithm of actions.
- Assess your situation and identify the roots of your anxiety. Pause and describe your financial reality: sources of income, essential expenses, savings, debt. Notice which life situations trigger your anxiety and recall which beliefs or family histories have influenced your current attitude toward money. Write down the three most powerful financial lessons you learned from your family and ask yourself if they still apply to you.
- Separate real risks from imaginary fears. To separate imaginary fears from current risks, ask yourself: “What could really change if I don’t take any urgent financial action for a few days?” If nothing critical happens, your anxiety is likely not driven by the situation, but by your internal attitudes. It’s helpful to make a list of your fears—for example, losing your job, not being able to pay your rent—and write down realistic actions for each one: a part-time job, optimizing expenses, talking to loved ones.
- Create a financial plan. Create a simple budget: separate expenses for essentials, savings, and discretionary spending. Evaluate your spending over the past few months and identify any expenses you can temporarily cut. Set a specific amount for your safety net, set a deadline, and start working toward your goal. Even small monthly contributions create a sense of control and predictability. Leave room for flexibility: rigid control only fuels anxiety.
- Focus on alternative sources of inner support. It’s important to see yourself as more than just someone who “has money/has no money.” Consider your intangible assets: personal qualities, relationships, and achievements beyond finance. Keep a gratitude journal or track your feelings after experiencing intangible joys throughout the day—this significantly reduces your reliance on cash as the primary source of self-worth.
- Improve your financial literacy. Take courses, read books, and articles on budgeting and investing: knowledge removes some of the uncertainty. Even a basic understanding of how basic financial instruments work can reduce anxiety.
- Find support. Discuss your worries with loved ones or professional counselors. Sometimes, just being able to talk about your worries can significantly reduce their intensity.
- Learn not to make emotional decisions. Always take some time to think, and don’t make rash financial decisions when you’re feeling anxious.
- Develop a habit of self-reflection. Keep a thought journal: record your financial fears, their frequency, and triggers, and build support for yourself with new beliefs (“Money is a resource, not a cause for fear”).
- Master bodywork and stress management techniques. Practice breathing exercises, such as square breathing: inhale for four counts, hold for four counts, exhale for four counts, pause for four counts. Move and exercise—this helps the body complete the stress response. If anxiety is high, limit your news intake, especially if it’s not helping you change anything.
- Consult a psychologist who specializes in working with financial thinking and anxiety.
“You can try the following tools and approaches:
- Changing your mindset. This technique helps reframe negative money beliefs that reside in your subconscious and influence your behavior. The idea is to work with one belief daily, writing down its positive counterpart in a notebook. For example, instead of “Money is evil,” you can formulate it as “Money is energy.”
- Find a role model in your family. Among your parents, grandparents, or other close relatives, you can find someone whose financial strategies have proven particularly successful. It’s helpful to commit this role model to memory and use it as a beacon illuminating your path to prosperity.
- Developing adaptive intelligence. In today’s world, financial success depends not so much on existing knowledge and skills as on the ability to adapt them to changing conditions and a willingness to constantly learn. To remain relevant and successful, we need to recognize that our abilities are malleable. Openness to new experiences—knowledge, people, places, and experiences—increases this flexibility.
- Self-care. It helps preserve internal resources and prevents burnout. Without proper self-care, it’s difficult for a person to effectively manage their energy and interact constructively with the world.”
Financial anxiety subsides when confidence builds—in yourself and in your ability to cope if something goes wrong. Attitudes change gradually, but regularly addressing them and taking simple, concrete steps produces lasting results.