Financial Stress is Real. Ryan Flanagan, MD, Offers Insights on Keeping it Productive
Ryan Flanagan, MD, Director of the Resilience Program at Silver Hill, recently commented in a Daily Mail article on managing financial stress, “As panic grows about ‘the end times’ experts reveal 5 easy steps to stop your money worries.”
An expert in the treatment of emotion regulation, Dr. Flanagan shares additional thoughts and insights on the topic below:
Q: People are under a lot of financial stress right now as inflation is driving prices up, what should people do if they’re feeling stressed about money?
Dr. Flanagan: Try to separate the emotion from the facts. Anxiety tends to catastrophize. Try to slow things down. It might be helpful to sit down and write out what is actually true about your specific financial situation at this time. Then identify what is in your control and take one small action at a time (call a creditor, cancel a subscription, look up an assistance program). Also be sure to maintain self-care. Prioritize sleep, exercise, regular meals etc…
Q: What are ways to mitigate stress about money beforehand? And what habits should they avoid?
Dr. Flanagan: In my program we teach a type of therapy called Dialectical Behavior Therapy (DBT). One DBT skill is “Cope Ahead” — meaning you develop a plan for a stressful situation before it happens. What will you do if you have an unexpected car repair or increase in rent? Thinking about these types of scenarios intentionally beforehand, as opposed to reacting to them in the moment, is helpful. Additionally, have a basic understanding of what your finances are so you can react appropriately and in an informed manner when financial stress occurs.
Q: Should people talk about their financial stress with friends and family?
Dr. Flanagan: I think so, but you should be thoughtful about who you are talking to and what you are hoping to get out of the conversation. Do you need emotional support from a close friend or family member, or are you looking for practical advice? Either is fine, but knowing what you need before talking to them is important, otherwise the conversations can become invalidating and counterproductive.
Q: Should you schedule a time to worry about / focus on finances? Is that helpful?
Dr. Flanagan: Scheduled worry time is a well-established technique for anxiety. However, I would reframe it as more of a dedicated time for dealing with finances as opposed to just worrying. You want that period of concern to be productive, not just anxious rumination. Use that time to take actionable steps to begin solving the issue.
Q: It is estimated that 60% of Americans are living paycheck-to-paycheck, meaning saving more money might not be an option. How can they protect their mental health when they know they don’t have a penny to spare?
Dr. Flanagan: I think the first would be that recognizing that living paycheck to paycheck is not a personal failure. In DBT we use a concept called “radical acceptance,” which is fully acknowledging the reality of a situation without approving it. You might not be able to control your income in a given month, but you can control how you treat yourself, and when/how to ask for help. Try to preserve the basics: sleep, food, exercise, and staying connected to people.