How to deal with financial stress

Experts share tips on how to feel empowered and manage stress as prices continue to rise.

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For Ellie Alvarado, a teacher and mother of three in Elgin, Illinois, figuring out how to pay the bills has become a source of anxiety and tension, especially when she and her husband are arguing on how to reduce expenses.

"When I say, 'OK, we can't buy anything this week, or we'll have an overdraft' — it says: "No, what are you talking about? We both work. This shouldn't happen,” Ms. Alvarado said.

Soaring food prices have prevented impromptu trips to McDonald's. Branded cereals and other little luxuries are also out. Gasoline prices, which have recently hovered around $5 a gallon, are eating into their budget as well.

"Every time I fill up our van, I'm flabbergasted,” said Alvarado, who sometimes only sees $100 in her family's checking account. "I'm still worried," she added.

Her husband, who works in a factory, decided to take the night shift because he pays more on time. But her family has always fallen behind on their housing payments.

"I can defer the mortgage for two weeks," said Ms Alvarado, 38, who tracks family expenses. budget. "But then it becomes two more weeks, and then all of a sudden they call you."

Inflation has now peaked in 40 years, forcing many families to make do with less. According to data released this month by the Bureau of Labor Statistics, the consumer price index rose 9.1% from a year ago, with some of the largest price increases in commodities. necessities such as food, rent and gasoline. The added financial stress is not only hard on bank accounts, but can also cause feelings of depression, shame, anger, or fear.

A A study on older adults published in 2017 found that how someone perceives and reacts to financial pressure can have implications for their mental wellbeing. Those who were upset about their economic situation were more likely to have higher depression scores than those who were also experiencing financial hardship but were not as bothered by it, even controlling for other factors, such as health and income.

< p class="css-at9mc1 evys1bk0">Fortunately, "there is a lot we can do to manage and overcome these stresses and emotions," said the paper's lead author, Sarah D. Asebedo, director of the School of Financial Planning at Texas Tech University in Lubbock, Texas.

We spoke with financial experts about how to cope to the emotional fallout of money worries and having productive conversations about finances with family members.

Use self-reflection and communicate with empathy

When couples disagree on how to manage their finances, ch Each partner usually tries to convince the other...