More ways to reduce financial stress
Welcome back to the IPFA blog! We previously published a two-part post on ways to deal with financial stress, and today we’re going to build on that with some more ideas and resources.
Prioritise debts
Debts are one of the leading financial stresses. It can be easy to ignore debt, but this will inevitably lead to larger challenges.
A good place to start is to do an audit of your debts, warts and all. With the information laid out, you can prioritise the debts with the highest interest rates, whether that be a loan or credit card debt. You could then move credit card debt with high interest rates to another card with lower interest, for example.
If you break down your debt into manageable chunks and have greater visibility of your situation you may feel less overwhelmed and more empowered.
Stick to a budget
It can be helpful to create a monthly budget. With this, you have greater visibility of what you’re spending and when you need to reconsider spending.
Money Saving Expert has a free budget planning spreadsheet that you can access here.
Open a savings account
Linked closely to creating a budget is saving. If you factor monthly savings into your budget - however modest - you may feel less stressed. In fact, a recent study from the University of Bristol showed that even modest spending can improve your sleep. You can read more about that in our latest blog.
Shake it off
Remain as active as possible. Keep seeing friends and family, update your CV and if you’re able to exercise then shake it out with regular workouts. A UCLA study found that the number of mental health days taken off work drops by over 40% amongst those who exercise regularly.
Other self-care ideas
Mind is one of many great resources for self-care ideas. They list three main categories for self-care:
Relaxation - this will be different from person to person. Examples include a bath, listening to music or cooking.
Mindfulness - mindfulness is a therapeutic technique that involves being more aware of the present moment.
Getting into nature - getting out into a green environment can be really beneficial when dealing with stress. Even if you don’t have a garden or aren’t very mobile, you can still get some benefits of nature through caring for plants or animals indoors. In fact, Mind has a dedication page highlighting the mental health benefits of nature.
Closing thoughts
Financial challenges are a part of life for many people, but there are many ways to support yourself in dealing with them. We are always on hand to help you move towards a more secure financial future.