From rising bills to rent and mortgages, the cost-of-living crisis is hurting household budgets and mental wellbeing. In this article from our friends at Beyond Blue, we dive headfirst into the money-mental health link. Learn why financial stress hits women particularly hard and what to do if you are struggling.
When Leah Sheppard developed a chronic pain condition, she had no idea of the long-term impact it would have on her finances or mental health. Forced to take extended sick leave, her income dwindled. Then came a relationship breakdown.
“Suddenly I had to try to make whatever pay I was making stretch to cover a house on my own,” she says. “It was extremely stressful and began to have a negative impact on my mental health.”
Leah’s story reflects the growing impact that cost-of-living pressures and financial stress is having on mental wellbeing, especially for women. According to Beyond Blue’s 2024 Mental Health and Wellbeing Check, financial pressure was the leading cause of distress for nearly half (46%) of respondents, and even higher for women, at 51%.
Beyond Blue clinical spokesperson Dr Luke Martin says there are many reasons women face slightly higher rates of financial distress – and none of them are the fault of women.
“The causes lie in systemic and structural factors,” he says. “Women are more likely to receive lower pay for the same work, to take more time out of the workforce in unpaid caring roles, and retire with less superannuation. They’re also more likely to be single parents or affected by family violence.
People in financial stress are much more likely to experience a mental health concern – and vice versa.”
Dr Luke Martin
“All of these experiences can undermine women’s financial stability and increase their risk for psychological distress.”
Dr Martin says financial stress and mental health are deeply intertwined. “People in financial stress are much more likely to experience a mental health concern – and vice versa.”
“Not knowing how you’ll cover rent, bills or groceries creates a constant sense of threat. Over time, this erodes your mental health, and it becomes harder to manage your finances.
“It can become like a downward spiral that can be hard to stop by yourself – so we really encourage people to reach out for support early.”
For Leah, the spiral was slow but relentless. She likens it to being “a frog in boiling water” – the danger creeping up before she could grasp how serious it had become. Eventually, she hit a crisis point and reached out for support.
Today, she is in a much better place and volunteers as a speaker for Beyond Blue, helping to share her story and help others feel less alone.
“Leah’s story shows how financial stress can corrode confidence, connection and self-worth, which can make it very difficult to seek support or take action,” says Dr Martin.
“People can become very despondent and have a fading motivation or belief they can see a way forward financially. They feel like they’re in a hole they can’t get out of.”
For women navigating financial stress, Dr Martin says there are lots of things you can do to take the first step towards getting support. “The important thing is to remember you’re not alone, and there is help available,” he says.
Dr Martin says it’s important to treat yourself kindly and remember that many people are in the same boat at the moment. “So many factors out of your control have led you to this situation; but what you do next is on your control, and support is available to help you get back on track.”
These free, confidential resources can help you take the next step.
This article was created by Beyond Blue in support of Jean Hailes Women’s Health Week.
Know the signs of mental struggle, plus when and where to get help.
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