If you’ve found yourself worrying about money lately, you’re not the only one. Nearly half of Americans say 2024 has been the most stressful year of their lives financially, often citing high costs for essential goods like food, according to a May 2024 poll of 2,000 adults by MarketWatch Guides . Nearly nine in 10 respondents (88%) reported feeling financial stress, with 65% saying their finances are the most stressful aspect of their life.
Many of today’s financial stressors are out of our control — like inflation and high mortgage rates. Even so, there are actions you can take to manage money-related anxiety. Here, you’ll learn steps you can take to tackle financial goals despite challenging times.
Key Points
• Nearly 9 in 10 Americans report financial stress, with rising costs for essentials like food and housing being major triggers.
• Creating a budget and building an emergency fund (3–6 months of expenses) can restore control and reduce money-related anxiety.
• Tackling debt through methods like the snowball or avalanche strategy, or refinancing to lower interest, helps ease financial pressure.
• Avoiding splurges and developing better spending habits can prevent short-term relief from turning into long-term financial strain.
• Exploring side hustles, reframing stress with a growth mindset, and seeking professional support (financial or mental health) are effective ways to manage financial anxiety.
What Is Financial Anxiety?
It’s normal to worry about money from time to time, but if you are continually worrying about bills, your money worries keep you up at night, and/or you find it difficult to face your financial situation head on and come up with solutions, you may be dealing with financial anxiety.
Financial anxiety is defined as an intense fear or discomfort caused by things related to money, such as debts, expenses, investments, income, savings, or adverse economic situations. This type of anxiety can affect anyone, regardless of their income or financial status, and it can often be debilitating.
Like other forms of anxiety, financial anxiety can interfere with everyday life and affect your mental and physical well-being, leading to depression, loss of appetite, insomnia, an inability to focus, and even cardiovascular and other medical problems.
Can You Overcome Financial Anxiety?
Yes, it’s possible to overcome financial anxiety with the right strategies and mindset. Overcoming this issue involves understanding the root causes of your anxiety, developing a proactive approach to managing your finances, and seeking support when needed. While financial anxiety may not disappear entirely, you can learn to manage it effectively and reduce its impact on your life.
7 Ways to Deal With Financial Anxiety
While there’s no one-size-fits-all solution to money stress, there are strategies that can help you feel more in control of your finances. Consider trying one or more of these tips, and see what works best for you.
1. Tackle One Decision (or Problem) at a Time
Financial anxiety can be paralyzing when you try to address all your financial concerns at once. A good first step to reducing financial stress is to figure out what’s making you feel most anxious. Is it your spending, your student loans, your mortgage, or saving for the future? Then focus on tackling one decision or problem at a time.
It can also be helpful to break down larger financial goals into smaller, manageable tasks. For instance, if you’re worried about debt, start by creating a plan to pay off the smallest debt or the highest-interest loan first. Gradually addressing each issue can help you feel more on top of your money and reduce overall stress.
2. Create a Budget
A major facet of money stress can involve feeling out of control in terms of your finances. There’s a simple solution to that: making and sticking to a budget. A budget allows you to see exactly where your money is going and helps you make informed decisions about your spending.
While budgeting may sound like an overwhelming process, it simply involves looking at your income and spending over the last several months, categorizing your spending, and (if necessary) identifying areas where you can cut back. There are all different ways to allocate your money, but one simple framework is the 50/30/20 budget. It recommends putting 50% of your after-tax income toward needs, 30% toward wants, and 20% toward savings and debt repayments beyond the minimum.
Having a clear financial plan can provide a sense of control and reduce uncertainty about your financial future.
3. Prepare for the Unexpected With an Emergency Fund
One great way to allay financial stress is to know that you have some back-up funds when or if you need them. Should life throw you a financial curveball (like a major car repair, unexpected medical bill, or loss of income), having a solid emergency fund you can tap means you won’t have to run up expensive debt to cope.
A general rule of thumb is to keep at least three to six months’ worth of living expenses stored in a separate savings account (ideally a high-yield savings account). And since you already created a budget, you know how much, on average, your necessities cost each month.
Keep in mind that you don’t have to build your emergency fund overnight. It’s okay to start small; even setting aside $50 to $100 a month can add up over time. Consider setting up an automatic transfer on payday from checking to a linked savings account so you aren’t tempted to spend that amount.
Recommended: How to Build an Emergency Fund in Six Steps
Increase your savings
with a limited-time APY boost.*
4. Deal With Debt
Even in the best of times, debt can cause worry and stress. It may feel like a weight that is always hanging over you. And inflation and high interest rates (ouch) can make the anxiety more intense.
If you have debt that is causing you stress, it’s a good idea to take steps to reduce it — think of it as a form of financial self-care. Start by listing all your debts, including the interest rates and minimum payments. Then consider using strategies like the debt snowball method (paying off the smallest debt first) or the debt avalanche method (paying off the highest interest debt first). You may also want to explore options for consolidating or refinancing your debt to reduce interest rates and monthly payments.
5. Just Say No to Splurging
When we’re stressed, there are a lot of ways to relax or blow off steam — and many of them cost money. Retail therapy, a big night out, a weekend getaway: Sure, they are all wonderful, but if you are dealing with financial stress, they may not be good options. They can add to any debt you are carrying, give you less cash for daily life, and lead to more financial stress.
Here are some tips that can help you develop better spending habits:
• Don’t window-shop or pit-stop at your favorite stores. That’s just putting temptation in your path.
• If you see something you feel you must have, even though it’s not a true need, wait for a while (anywhere from 24 hours to 30 days) before buying it. You may find that the urge cools.
• Set aside some “fun money” in your budget for low-cost treats. Some ideas: getting a fancy coffee on Friday morning to reward yourself for a week of hard work; taking yourself to the beach one afternoon; climbing a mountain and savoring the view; getting a 10-minute massage at a nearby spa.
6. Add a Second Income Stream
Sometimes it’s not about subtracting spending from your daily life, but rather, about adding more cash to your pocket. There are many benefits to a side hustle: Picking one that fits into your current lifestyle without taking up too much of your free time can really add value to your wallet and your life.
Before choosing a gig, think about what you’d like to do. You might be able to freelance as a writer or social media consultant. Or perhaps you can sell your suitable-for-framing travel photos online. If you enjoy driving around on weekends, you might sign up with a ride-sharing app. Love animals? Consider starting a dog-walking service.
If you don’t have time to take on additional work, you might sell items you own that are in good condition but you no longer need. There are dozens of places to sell your stuff: For clothes, try a local second-hand store near you, such as Crossroads or Buffalo Exchange. For furniture and other goods, try listing on eBay, Etsy (yes, it’s for more than crafts), Facebook Marketplace, or Nextdoor.
7. Reframe Your Financial Stress
Changing the way you think about financial stress can help manage anxiety. Instead of viewing financial challenges as insurmountable obstacles, try to see them as opportunities for growth and learning. Focus on the progress you’ve made rather than the setbacks. Practicing gratitude for what you have and acknowledging your efforts can shift your mindset and reduce anxiety.
It can also be helpful to talk to those close to you. Let them know you are dealing with financial stress, and ask how they manage theirs. Talking about your worries can help put them into perspective. And in addition to getting reassurance and comfort, you may learn some new strategies.
Getting Help for Your Financial Anxiety
If you’re having trouble sorting out your finances and managing your anxiety on your own, it can be worthwhile to seek outside help.
For practical solutions to money issues, you might seek out a financial advisor. These professionals can offer advice on savings, investments, and retirement planning tailored to your financial situation, helping you develop a strategy to achieve your financial goals.
If your money anxiety is more deeply rooted or affecting your mental or physical health, you might want to consult a mental health professional, such as a psychologist, social worker, or financial therapist. These professionals can help you understand and work through the emotional aspects of your money worries and provide you with coping mechanisms to manage stress.
The Takeaway
Money worries can get the best of us, especially in challenging times, such as when inflation and interest rates are high and there’s talk of a potential downturn in the economy.
To manage financial stress, it’s wise to take steps to improve your cash situation — say, by budgeting, building up an emergency fund, and lowering high-interest debt. It’s also a good idea to work on your emotional wellness by tackling one problem at a time, avoiding temptation and the subsequent guilt, seeking support from those close to you and, if necessary, enlisting the help of a financial or mental health professional.
Interested in opening an online bank account? When you sign up for a SoFi Checking and Savings account with direct deposit, you’ll get a competitive annual percentage yield (APY), pay zero account fees, and enjoy an array of rewards, such as access to the Allpoint Network of 55,000+ fee-free ATMs globally. Qualifying accounts can even access their paycheck up to two days early.
FAQ
How do you stop being financially anxious?
There are a number of steps you can take to reduce financial anxiety. If you’re worried about debt or lack of savings, for example, you might want to assess and categorize your spending over the last several months, then look for places to cut back. Any money you free up can be redirected toward paying more than the minimum on your debts and/or building your savings.
Other ways to stop feeling financially anxious include: building an emergency fund (this provides a safety net for unexpected expenses); seeking advice from a financial advisor to develop a long-term plan; and practicing stress-reduction techniques, such as mindfulness, exercise, and adequate sleep.
Why do you get anxious about money?
Financial anxiety can stem from a number of factors, including:
• A lack of control or understanding of your financial situation
• Job insecurity
• Inflation
• Unexpected expenses
• Insufficient savings
• Cultural and societal pressures (i.e., the expectation to maintain a certain lifestyle)
• Past financial mistakes or trauma
How do you stop obsessing about money?
You might start by setting some clear financial goals, and then creating a realistic monthly budget that can help you achieve those goals. This can reduce financial worries — and help you stop obsessing about money — by giving you a greater sense of direction and control.
Other ways spend less time thinking about money include:
• Automating savings and bill payments.
• Limiting the amount of time you spend reviewing your accounts to once or twice a month.
• Engaging in hobbies and activities that bring you joy and distract you from financial worries or temptations to spend money.
• Seeking support from friends, family, or a therapist if money worries persist.
• Educating yourself about personal finance to build confidence and reduce fear stemming from the unknown.
Annual percentage yield (APY) is variable and subject to change at any time. Rates are current as of 11/12/25. There is no minimum balance requirement. Fees may reduce earnings. Additional rates and information can be found at https://www.sofi.com/legal/banking-rate-sheet
Eligible Direct Deposit means a recurring deposit of regular income to an account holder’s SoFi Checking or Savings account, including payroll, pension, or government benefit payments (e.g., Social Security), made by the account holder’s employer, payroll or benefits provider or government agency (“Eligible Direct Deposit”) via the Automated Clearing House (“ACH”) Network every 31 calendar days.
Although we do our best to recognize all Eligible Direct Deposits, a small number of employers, payroll providers, benefits providers, or government agencies do not designate payments as direct deposit. To ensure you're earning the APY for account holders with Eligible Direct Deposit, we encourage you to check your APY Details page the day after your Eligible Direct Deposit posts to your SoFi account. If your APY is not showing as the APY for account holders with Eligible Direct Deposit, contact us at 855-456-7634 with the details of your Eligible Direct Deposit. As long as SoFi Bank can validate those details, you will start earning the APY for account holders with Eligible Direct Deposit from the date you contact SoFi for the next 31 calendar days. You will also be eligible for the APY for account holders with Eligible Direct Deposit on future Eligible Direct Deposits, as long as SoFi Bank can validate them.
Deposits that are not from an employer, payroll, or benefits provider or government agency, including but not limited to check deposits, peer-to-peer transfers (e.g., transfers from PayPal, Venmo, Wise, etc.), merchant transactions (e.g., transactions from PayPal, Stripe, Square, etc.), and bank ACH funds transfers and wire transfers from external accounts, or are non-recurring in nature (e.g., IRS tax refunds), do not constitute Eligible Direct Deposit activity. There is no minimum Eligible Direct Deposit amount required to qualify for the stated interest rate. SoFi Bank shall, in its sole discretion, assess each account holder's Eligible Direct Deposit activity to determine the applicability of rates and may request additional documentation for verification of eligibility.
See additional details at https://www.sofi.com/legal/banking-rate-sheet.
SoFi Checking and Savings is offered through SoFi Bank, N.A. Member FDIC. The SoFi® Bank Debit Mastercard® is issued by SoFi Bank, N.A., pursuant to license by Mastercard International Incorporated and can be used everywhere Mastercard is accepted. Mastercard is a registered trademark, and the circles design is a trademark of Mastercard International Incorporated.
Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.
*Awards or rankings from NerdWallet are not indicative of future success or results. This award and its ratings are independently determined and awarded by their respective publications.
Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.
SOBK-Q224-1920666-V1