Millennial Budgeting & Mental Health

The state of one’s mental health, particularly millennials, can have significant impacts on their financial well-being and vice versa. The anxiety surrounding money can be difficult to navigate, but it isn’t impossible. If handled correctly, limiting any financial burdens can yield positive results for a young person’s mental health. 

Let’s look at some of the obstacles surrounding millennial mental health, and how proper budgeting and utilizing available resources can help.

Managing Rising Costs 

As rent prices and overall costs of living continue to increase, developing a spending plan is an effective tool that can be used to lay out expenses based on priority. Knowing where your money is going every month relieves a great deal of stress and can have positive impacts on your mental health. It can be helpful to divide spending based on needs and wants. Once essentials are taken care of, including rent and groceries, any additional funds available can be applied to the non-essentials without worry. 

If there are any outstanding debts, ensuring those are paid off is crucial to maintaining a healthy mindset. Whether you’re able to pay it off in small or large installments, relieving yourself of your debt will play a major role in keeping your mental health on track.

Affordable Access to Mental Health Services

Healthcare costs is a growing issue of concern for millennials. While some may have insurance through their parents or from their job, affording mental health services can put a real financial burden on young people. Thankfully technology has opened up new doors for affordable therapy options. Whether it’s through local support groups or through mobile apps, these therapy tools can help.

Freelancers & Their Finances

Freelancers face a constant stream of financial uncertainty, which can take a major toll on their mental well-being. Budgeting in these conditions is important, and tracking spending, either with an app or simply with a pen and paper, will allow those working remotely to balance their finances based on their current workload. This can alleviate some of the pressures that come with this line of work. 

Those in freelance positions may wish to seek short-term payday loans rather than accessing traditional bank lending. These types of loans offer benefits for those with irregular cash shortages. The right lender will remove the red tape often imposed by traditional lending methods — resulting in faster, efficient solutions for borrowers. These and other budget friendly ways to invest in your health can help you find the financial safety net you need as a freelancer which can alleviate a great deal of anxiety and stress.

Planning for The Future

While some millennials may not have their futures completely mapped out, having a dedicated savings account geared towards long-term purchases or investments provides confidence and peace of mind. Rather than focusing solely on short-term purchases, leaving some additional income aside for the future is beneficial for mental well-being — alleviating some of the worries of what the future economy could look like. 

In recent years, millennials have been looking at new ways to cut costs. Some are forgoing buying a car in favour of riding their bike or utilizing ride-sharing platforms; others are avoiding using credit cards. By properly budgeting and finding creative avenues for cost-cutting, mental health greatly benefits.