Talking about money can still be a bit of a taboo. Growing research and conversations around finances have found that the weight of your wallet can be a weight on your mental health and general wellbeing as talking about money can still be a bit of a taboo. The good news is that there are more and more services out there to help you get better control of the piggy bank, balance the balance sheets which in turn can be a jackpot for your mental health. Read on for Financial Wellbeing: It’s a Wise Investment.
People in Debt 2.5 Times More Likely to Experience Mental Health Problems
First, let’s look at the numbers. According to research conducted by the Money and Mental Health Policy Institute, people in debt are 2.5 times more likely to experience mental health problems and 3 times as likely to have considered suicide. They also state that financial difficulty itself causes stress and anxiety. It is an unfortunate growing issue that can impact many people; Salary Finance discovered that 40% of people are worried about their finances.
As we can see this is a big issue, but what is financial wellbeing and what can we do to improve it?
The Chartered Accountants Benevolent Association (CABA) defines financial wellbeing as “a sense of security and feeling as though you have enough money to meet your needs” and they go on to say “It’s about being in control of your day-today finances and having the financial freedom to make choices that allow you to enjoy life”. We’re not talking about being rich and having enough money to make it rain off the back of a yacht, but having a healthy connection to and relationship with money.
We’ve all heard more money can lead to more problems and simply earning more money is not always the answer. If you like spending a lot on things you don’t necessarily need, it’s likely that you will continue this type of spending behaviour regardless of your monthly income. Therefore, if you earn more, you’ll likely find more things to buy but not actually address your financial well-being.
The good news is that there are some great organisations and providers that are available to support you with your journey to better financial well-being:
They provide free and impartial money advice from everything from Debt & Borrowing to insurance. In addition to the free resources on their website, they also offer a web chat, WhatsApp chat and free talk line.
Offers consumer guidance, helpful tips on stretching your pounds and how to make savings on household bills, travel and the latest deals and shopping.
Employee Assistance Programmes
Check if your employer is offering any assistance programmes, these providers can offer free advice on a broad range of topics from mental and physical health to managing your money better.