Types of Financial Stress and Battling Them

Money stresses are more often than not brought upon ourselves. Take a peek at the possible financial troubles you might be facing and ways to combat them.

Money can be a source of happiness but it can also cause stress, anxiety and depression. Financial related matters such as high unemployment rate, steep incline of prices and the ringgit tumbling down can leave you stressed out and incapable of thinking clearly.

Money woes are nothing to be taken lightly as they can have detrimental effects on relationships, health and general sense of well-being.

Before you sink deeper into the money quicksand, we are here to help you recognize your problem and hopefully help you drag yourself out of it.

Money Stress 1: Expenses Greater than Income

You spend more than what you earn monthly. So you begin to finance your expenses using some form of debt like maxing out your credit cards, taking out loans and even dipping your hand into your retirement jar for some dough to pay your bills.

How to get through it:

Talk positively

Believe it or not, there is power in the language that you use. Always use positive language like Rhonda Byrne's The Secret. Say, “I will only buy things I need” or “I will find another source of income” and see a shift in your mental attitude.

Focus on the now

The what-ifs are poison to the thoughts. You could run in circles thinking about how you could have done things differently or worse yet, thinking about how bad things are going to turn out. Get serious about cutting off your unnecessary spending so you can free up more money to pay off your debt. Control what you can in the present, not the past or future.

Get financial help

If things are too much to handle, talk to a trusted friend or family member. Consult a financial professional such as AKPK to help you see options and solutions to your financial problems.

Money Stress 2: Living from Paycheck to Paycheck

Constantly counting the days till your next paycheck, you are barely scraping by. You are able to pay all of your bills but can't seem to get ahead of your expenses. You are too busy paying everything off to have any emergency savings or build wealth for the future.

How to get through it:

Change how you view money

It's amazing how changing your perspective on money can strongly influence how you manage it. Instead of viewing your income as a means of expenses, change it to one of savings. The habit of saving first and then spending it on expenses will fall into place.

Focus on the positive

Instead of dwelling on what is wrong with your finances, focus on what is going right. Be thankful in your ability to still be paying your bills. Make peace with your problems and aim to learn from your financial challenges.

Stay in control of the present

Always remind yourself that you are not in the future nor in the past. Stay in control by diligently saving your a portion of your income every month without fail.

Money Stress 3: Owing Family and Friends Money

Owing family and friends money can be terrible. Though you might benefit from borrowing without any interest and flexible debt payment, it can also cause a riff in your relationship if not tread carefully.

How to get through it:

Reject thoughts of failure

Never believe that a financial challenge is a sign of personal failure or weakness. Owing money doesn't mean you've failed, it just means that you are going through a financial rough patch and are working your way through it.

Cut your debt

Work out a plan with whomever you owe money to pay off your debts. Identify unnecessary expenses that you can reallocate to debt payment. The faster you can pay all your debts, the better.

Money Stress 4: Lack of Financial Planning

Lack of a financial plan or goal can cause you to stress out and feel like you have lost control over your finances. This is what happens when you are disorganized, don't keep track of your savings or spending and have no retirement plan whatsoever.

How to get through it:

Believe in your power

When it comes to your money, you always have the power to make a difference. It is never too late to start taking the reign on your financial planning. Start by keeping an expenses journal and set a financial goal towards retirement.

Invest and save

Use your money to create a secure financial future. Make a commitment to save or invest at least 10% of your income. You can also reduce your spending stress by forgoing impulse purchases.

At some point or another, all of us have our brush with financial woes. The thing is to not let it consume you to the point of breaking down. Take a deep breath and proceed with the steps mentioned above, and you will be on your way to a healthier financial status and also a healthier you!


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