Financial and mental health: It’s all connected. Here’s where you can gain control

Worried that you have more bills due than money coming in? Feel anxious when you check your account balance? Not sure how you’ll make it through the month because of inflation? If you struggle with finances and it’s got you stressed out, you are not alone.

In fact, research from the Financial Health Network shows that people who are financially vulnerable or coping are more likely to report poor mental health.*

Whether you take note of survey data or simply look at life going on around you, one thing is clear: Stress and worry about money is real, shining a telling spotlight on the intersection of financial and mental health.

It’s something the team at Spruce thinks about often because supporting your financial health also means genuinely caring about your mental health.

Everyday experiences affect our mental wellbeing, and money can be a big part of that picture. And that connection often works both ways: financial stress and anxiety can make it harder to manage money decisions. Daily worries of ‘do I have enough money,’ or ‘am I spending too much’ or even the stress of checking your accounts to make sure you were charged correctly can take their toll on people.

As the Financial Health Network research shows and as many of us know from our day to day, mental and financial health do impact each other. With that in mind, it can be helpful to pause and consider what’s in our control and where we can take action.

Taking small steps within your control

Traditional financial tips often come with big sweeping milestones that can seem far out of reach for the average American (“I’m supposed to save how much in an emergency fund by age 35?”). But it’s the small everyday changes—right for your situation—that can add up to a win for your financial and mental health over time.

For example, there are things people can do now to lessen their financial stress, which include:

• Setting financial boundaries.  Setting saving and spending goals is a great way to start creating boundaries with your finances. Socializing your goals with family and friends can give you the space to gently add accountability and make even saying “no” to spending easier. Creating a budget may seem overwhelming, but it can also be empowering to take even just small steps as long as you keep moving forward.
• Keeping a pulse on finances without checking in constantly.  This could mean reviewing your budget at set intervals that are right for you to keep you moving forward. Or, it could mean finding ways to save—even if it’s small amounts—so you have a bit of extra cushion in the event of an emergency.
• Unlocking the power of help and helpful tools. Whether it’s getting advice from a friend or leaning on technology, seeking help can take away significant stress. Think about the choices you have when it comes to your money and seek out options that can work with you and your finances. Increasing access to easy-to-use financial tools is one reason H&R Block built Spruce with no monthly fees and no hidden fees, helping you manage your money without judgement or pressure. (Fee transparency)
• Practicing self-compassion. Like with many things, developing new habits can take time. Don’t beat yourself up if your finances aren’t picture perfect right now or if you have a setback. Know that many others have been in that spot before and that things can get better.

These tips and tools may help with financial stress but are not intended to be professional advice or treatment. Always seek the advice of a mental health professional with any questions you may have regarding mental health struggles and if you are in crisis, there are resources available, including, but not limited to:

• National Alliance on Mental Illness Helpline: 1 (800) 950-6264 or Text ‘NAMI’ to 741-741
• Substance Abuse and Mental Health Services Administration National Helpline: 1 (800) 662-4357
• The National Suicide Prevention Lifeline: 988 or 1 (800) 273-8255

* Financial Health Pulse 2025 U.S. Trends Report, conducted by the Financial Health Network.