Overcoming financial stress or financial anxiety has shown to be a main concern for Irish citizens for years and has been very apparent in Ireland since the financial crash in 2008. In this blog post, our financial advisor, Nick Charalambous, will share his experienced insight and tips to overcome your financial anxiety.
Financial Stress and Research
Financial stress has been a primary concern for people in Ireland ever since the financial crash in 2008. This is a burden that everyone can resonate with. A recent study aimed at uncovering consumer feelings towards their finances against the economic turmoil caused by Covid-19 by digital bank N26 discovered that Irish consumers are now the second most concerned by their financial situation in Europe.
42% of Irish consumers declared finances as a top concern, a close second only to their own health (43%). The study determined that financial anxiety was higher only in Greece. The study suggests that financial anxiety is having a profound effect on Irish consumers’ mental health as 73% of respondents reported feeling sad, overwhelmed, nervous, worried, and under pressure about their finances. This is in stark contrast to 16% of consumers who had positive feelings towards their financial situation. Financial anxiety is felt by all ages and N26’s study revealed that the 45-54 age bracket is the most concerned about finances 51%, versus 30% of 18-24-year-olds.
Money worries can have a debilitating effect and at Alpha Wealth we want to help you overcome financial stress and manage your money more efficiently. We understand that some of the jargon used in this industry can be frustrating and complex, therefore we would love to answer any questions you may have.
The first step to reducing stress is to take control, ‘’Money, health, relationships, and work are deeply interconnected. Stress in any one of those domains can compound problems in the others’’ Dr Moira Somers, PhD, a clinical neuropsychologist specialising in mental and financial well-being. Below we have included some tips on how to overcome financial anxiety.
1 Get Organised
You must allocate time towards getting in control of your finances. This involves taking time out of your daily schedule and taking a look at the money you have coming in and where you are spending it. Making a list of what you owe, monthly bills/expenses, and creating a calendar to remind yourself of due dates for upcoming bills may help you manage your spending more efficiently.
2: Track Your Spending
Examining your spending is a great way to identify areas where you may be wasting money. Consider cancelling unnecessary subscriptions that you may have signed up for during the lockdown period that you no longer need or use. Setting weekly allowances for groceries, and socialising will keep you on track. Lidl currently has a great app that can help you save money on your weekly shop. Watch the small stuff, spending as little as €2.50 a day on a coffee or lunch adds up to €562 a year (assuming you work 45 weeks a year)
3: Talk to Someone
As we mentioned previously, financial anxiety is something we can all resonate it. If you’re dealing with financial stress, you are not alone. Keeping your worries to yourself can only exacerbate the problem not solve it. Reach out to friends or family to share your concerns. Financial professionals such as Alpha Wealth can also be a source of comfort and direction. We would be more than happy to help you achieve your financial goals – (021) 206 1780 or contact@alphawealth.ie
