How Taking Control of Your Finances is Good for Your Mental Health

Insight Financial Associates

Worries about money can have a very real impact on your wider health and wellbeing, particularly when so many factors, such as soaring inflation, rising interest rates and climbing mortgage rates are beyond your control.

Unsurprisingly, high living costs are a huge cause of stress and anxiety across the UK right now, with the Mental Health Foundation noting that 35- to 64-year-olds are more anxious than any other group about their finances.

With that in mind, the psychological benefits of making sure you have your finances in order can’t be understated.

Simply knowing you have a clear view of what’s coming in, how much is going out, and how all your money and assets are being held and invested, can give you considerable peace of mind, and let you concentrate on those things that bring you joy rather than fear.

So where do you start?

The first important step to take is to talk to someone who can help you.

That could be a friend or family member, as they can provide valuable emotional support and remind you that you’re not alone.

Of course, you might feel uncomfortable talking about money, and perhaps even a sense of shame.

But a problem shared truly is a problem halved, as any discomfort will soon dissipate as soon as you speak up, and you’ll feel so much better as a result.

A trusted friend or relative may also be able to point you to places where you can get guidance and support on particular issues that are worrying you, such as charities and free advice services, or recommend financial management apps to help you budget better.

They might even sit with you to look at your bank statements, to help you identify where savings could be made or money is being spent unnecessarily, with a view to helping you improve your overall spending habits.

Talking with a confidante about money can help you feel empowered rather than overwhelmed, so you feel motivated to take more wide-ranging and meaningful steps.

This could include speaking with a regulated, specialist financial adviser.

A professional expert can help you get a steady grip of your finances, work with you to set targets, and guide you on how to manage your money so you can work towards these goals.

They can also do so from a more rational, objective point of view. For example, if you’ve invested in a particular asset type and its value plummets overnight, you might panic and be tempted to sell up at a massive loss.

But a professional financial planner would never advocate that, and instead encourage you to hold your nerve at times of market turbulence.

Understanding every aspect of financial planning and management can be daunting, and that alone can lead to you making bad decisions.

But with a professional expert at your side, the burden becomes significantly lighter, and you can move forward knowing that you’re making the right decisions and on course to achieve your objectives.

Even if circumstances seem too much and beyond your control, the psychological benefits of speaking up and asking for help are huge.

If you have any questions about getting your finances in order, please get in touch with our friendly team of exports, and we’ll be happy to speak with you.