Tackling Financial Stress During Mental Health Awareness Month

Finances are one of the most common sources of stress for Americans. In fact, a recent Forbes study found that 88% of Americans experience some level of financial stress, with 65% naming money as their number one stressor.

With May being National Mental Health Awareness Month, it’s the perfect time to reflect on how your financial habits may be impacting your mental health—and what you can do to create a more secure, less stressful future. Below, we’ve compiled a list of practical tips to help you take control of your finances and reduce some of that stress.

1. Create a Budget—and Stick to It

It might seem basic, but building a budget is the foundation of financial wellness. One popular and effective method is the 50/30/20 rule:

• 50% of your income goes toward needs (e.g., bills, groceries)
• 30% goes to wants (e.g., dining out, hobbies)
• 20% is for savings or debt repayment

Once you set your budget, take a close look at your spending habits. Are there areas where you can cut back? Could that money be better used to build your savings or pay down debt?

2. Create a Budget—and Stick to It

If there’s one certainty in life, it’s that unexpected expenses will come up. According to the same Forbes study, 47% of Americans say their lack of savings contributes to their stress.

The ideal emergency fund covers 3–6 months of living expenses, but don’t let that number overwhelm you. Start small. Even $1,000 in a savings account can make a big difference when life throws a curveball.

Pro Tip: Consider using a high-yield savings account—like our Edge Money Market—which earns compound interest to help your money grow faster.

3. Manage Debt Effectively

Debt is another major source of stress, with 39% of people citing it as a top concern. Creating a repayment plan can help you feel more in control and reduce the overall financial burden. Here are a few strategies to consider:

Debt Consolidation Loan*:

Combine multiple debts into a single loan with one monthly payment—ideally at a lower interest rate.

*Note: If you consolidate credit card debt, avoid racking up new charges or you could end up in a worse situation.

4. Automate Payments and Savings

Take the guesswork (and willpower) out of the equation by automating your finances. Set up recurring bill payments to avoid late fees and automate transfers to your savings account. You’re more likely to stay on track—and less likely to spend money that’s already been stashed away.

5. Educate Yourself on Personal Finance

Financial literacy is empowering. Whether you prefer books, podcasts, webinars, or in-person classes, there are tons of resources out there to help you learn about budgeting, saving, investing, and more.

The more you know, the better prepared you’ll be to make informed decisions—and the less financial anxiety you’ll feel.

6. Seek Professional Help When Needed

If financial stress is affecting your mental or physical well-being, you don’t have to go it alone. Talking to a therapist, financial counselor, or certified financial planner can provide the guidance and emotional support you need.

Sometimes having someone in your corner makes all the difference.

7. Take Care of Your Overall Well-Being

Improving your finances—and your mental health—takes time. Be patient with yourself. Celebrate small wins, stick to your plan, and don’t forget to make time for the things you love.

Stress-free living isn’t built overnight, but every step you take brings you closer to peace of mind.

Final Thoughts

Financial health and mental health are closely connected. By making thoughtful, consistent changes to how you manage your money, you’re also investing in your emotional well-being. Start small, stay committed, and remember: progress, not perfection, is the goal.