Managing Anxiety Through Financial Instability
Over the past several years, the world has encountered multiple additional stress factors from COVID-19, to political instability, and new levels of unsettledness in the global economy. As a result, many people have experienced new levels of stress and financial instability resulting from many of these factors. Financial instability or uncertainty has been correlated with increased anxiety and decreased mental well-being. (1)
Recent reports identify financial stress as factors that include losing your job, increasing debt, and increasing bills or expenses. The same study reports that many of these financial stresses may cause changes in thinking patterns that lead to anxiety disorders and depressive symptoms. (2)
In the therapy world, we refer to these thinking pattern changes as cognitive distortions. Cognitive distortions change the way that we view a situation and these thought patterns, fuel, anxiety, depression, and other unhealthy ways of thinking. Today we will address a few of these common cognitive distortions as they pertain to financial stress and discuss ways that you can be proactive in avoiding these thinking errors that may increase anxiety and anxious thought patterns.
Get a solid plan to avoid minimizing or maximizing. Both minimizing and maximizing can be a form of cognitive distortion, that skews our perception of reality and increases our emotional distress. It’s important to get a solid plan together in the midst of financial stresses so that we are correctly evaluating the situation at hand, and neither minimizing the intensity of the situation nor maximizing the true reality of the situation that we are facing.
Refer to the facts to avoid over-personalization. Over-personalization refers to the over-application of our situation as a unique factor of ourselves. If we believe that, everything happens to us, that we are always the center of negative situations, or that we are the only ones experiencing hardship, this cognitive distortion of over-personalization can increase the emotional distress that we are experiencing in the situation. Referring to the simple facts of how many people may be experiencing similar stress factors by referring to job reports, national statistics, and other fact-oriented pieces of information may help reframe these thinking patterns, and remind us that others are experiencing the same stress factors.
Assess risks to avoid catastrophizing. Catastrophizing refers to thinking of or believing in the absolute worst-case scenario. It is important in the midst of financial stress to assess your personal risk factors and your vulnerabilities. For example, if you have an emergency fund, you may have additional protective factors in place that would keep you and your loved ones from experiencing homelessness. Catastrophe, the worst-case scenario, is a reality for some people, however, many people do have additional options and protective factors in place that they can, and should acknowledge in their process of evaluating financial stresses and managing anxiety symptoms.
Appropriately assess responsibility to avoid deflecting or blaming. Financial health and well-being is also an aspect of our personal responsibilities. It’s important not to over personalized, assessing our own responsibilities and places of power for our financial health and well-being is an important aspect of appropriately, managing the emotional distress associated with financial stressors. With so much uncertainty surrounding many aspects of our financial lives, identifying places of control, refusing to deflect or blame, larger symptoms, and assuming our own responsibilities can be a place of empowerment and increase our feelings of control in situations of uncertainty.
Remember to connect with the good things to avoid being too negative. Being too pessimistic, or focusing purely on, the negative is another form of cognitive distortion. Even in the midst of some of the most stressful time periods, there are good, happy, and enjoyable things that we can connect with. Creating space for both the stress and the good, no matter how small, is a correct assessment of our realities. When we challenge ourselves to look for the good, in the midst of the stress, we create more balance.
Avoid the temptation to believe that you “should have“ known or predicted something that was beyond your control. You probably heard the phrase “hindsight is 2020” and this is a cognitive distortion or thinking error that we have to challenge. While we are all responsible for making wise choices, evaluating risk factors, and assessing situations to the very best of our ability, it’s important to remember that none of us can predict the future, and we should not hold ourselves accountable for being able to predict things based off of facts that we did not have at the time that we are making the decisions. Avoiding these thinking errors can create more compassion for ourselves, and more accurately assign responsibilities.
If you’re experiencing increased anxiety as a result of financial instabilities, economic stress factors, or other challenges that you may be encountering, we are here to help. Our team of trained therapists is skilled with evidence-based interventions to address, anxiety symptoms. With multiple payment options, including sliding scale, private, pay rates, and in network options with mini insurance companies, we have options to work with many unique financial situations. Let our team partner with you in reaching your health and wellness goals. Whether through online therapy, or in person at our Arlington, Texas-based therapy group.
