The years 2020 and 2021 were completely unprecedented. With them came issues surrounding finances, the likes of which no one has seen in a long time. As industries were forced to adapt or shut down, there were record job losses and with that, an increasing number of people suffering with anxiety surrounding their finances.

When it comes to seeking financial assistance people also have a lot of trouble, specifically, difficulty understand the loan language, anxiety about debt and worries about hidden fees. As such, people clearly need to better understand how they can deal with the anxiety surrounding their finances. This article will discuss that in better detail.

Create a Budget and Stick to It

Creating a budget is a really useful way at understanding where it is you stand financially. If you have a clear indication as to how much money is going in and out of your account, you will be much better equipped to make financial decisions.

The first thing you should do is sit down and create a list that clearly outlines all of the outgoings you currently have. Then, you can work out which you consider crucial and which can be cut. For example, heat and electricity will obviously need to be paid, whereas certain subscriptions that you may not use are not necessary. You need to ensure you are being realistic when you are considering what you deem essential.  

Take Time to Learn About Personal Finances

It’s a simple rule: the more you understand about money, the better equipped you will be to deal with it.

People, generally speaking, could do to be more clued up when it comes to their finances. For example, a lot of people out there have now idea what their credit score is, even though knowing this will give you a better idea of knowing exactly how likely you are to get some loans.

You should also take time to learn about the fees that you’re being charged by your bank, loan provider or credit card company. You can start to frequently visit advice blogs on finance. Those such as the one produced by Jurg Widmer Probst can produce excellent resources that will allow you to learn all about saving money, improving spending habits and how to effectively budget.

Shop Around for Good Deals  

Don’t just settle for taking out a loan with a bank someone has recommended to you or the first place that offers you a deal. This is a very important decision and so you should ensure that you are taking out the time to shop around for the best deal for you. Also, don’t be pressured in to signing or agreeing to anything. Take your time and fully understand exactly what it is you are getting involved with.

Build an Emergency Fund

If the fallout of the covid-19 pandemic has taught us anything, it’s that you can never be too prepared for the unexpected. You should make sure that you are constantly planning for unexpected expenses and financial surprises as they can ease a great deal of anxiety when you come across bumps in the road. They can also help you to navigate your way throughout hard times when you eventually come across them.

Realistically, the best tip that you can take away from this article, when it comes to reducing your personal finance anxiety, is to save money. A lot of financial experts recommend putting away around three months earnings; however, you can never save too much.

You should consider doing a savings challenge if you find yourself struggling to get your emergency fund started.


The pandemic has taught us that the old saying to expect the unexpected still very much holds true today. With job losses and industries unaware if they were ever going to recover, not to mention people worried about how easy they might be able to find other work, the amount of anxiety surrounding finances was palpable across the country.

If you would like to reduce your finance anxiety, consider following some of the tips above. You may also want to consider speaking to an expert on finance with any questions you may have.