As we observe Mental Health Awareness Month, it’s important to acknowledge that sometimes financial stress can have a direct impact on our mental health. We have seen this over the years when some candidates have to cancel interviews on the day as they can not afford the bus or have to take extra temp shifts on the day off to cover bills and have to cancel the dream job interview.
Over this month we will cover a wide range of subjects, we wanted to start early on with a subject British people hate talking to others about. MONEY. It a subject you will not want to talk to others about & build it up, here is a guide to some basic budgeting.
One of the contributors to financial stress is a lack of budgeting. Simply put, when we don’t take the time to set financial goals and track our spending, we run the risk of overspending and accruing debt that we can’t afford to pay off.
This can lead to a range of mental health issues, including anxiety, depression, and even suicidal thoughts. Financial stress can impact our ability to concentrate, our sleep patterns, and ultimately, our happiness.
The good news is that we can take control of our finances by setting a budget. Here is a simple method Rick our Director often talks about, the 80/10/10 method.
-80% of monthly income spend on your outgoings, including the planned annual outgoings you are aware of. Insurance, TV license, Gym, food, travel, council tax, electric, gas, MOT. Ensure all your outgoings can fit within this 80%, this then gives a buffer. If you are paid monthly, fill the freezer start of the money, buy a monthly bus/tram ticket. This way you do not need to worry about the essentials at the end of the month if you have your travel and food purchased.
-10%: savings pot. Use a different bank account and try and save 10%. This might seem hard at 1st, so start with 5% and then 7% and move up to 10%. This gives you a buffer to cover life issues. This means in time of a emergency, you do not need to take a loan out, thus save yourself interest
-10%: Giving/supporting others. Everyone needs a good mate, this can be buying them a pint if they are down, buying a present, giving to a charity. It can also help our own mental health knowing we are helping and blessing others. 10% might seem high, start with 1% and see the benefit you make to people around you.
As we raise awareness about mental health this month, let’s not forget the important role that financial wellness plays in our overall well-being. Let’s work together to break down the stigma and create a movement towards healthier financial habits.
#MentalHealthAwarenessMonth #FinancialWellness #Budgeting