Strategies for Overcoming Financial Anxiety and Stress

Financial worries are common. About 70% of Americans say that financial uncertainty has made them feel depressed or anxious, an 8 percentage point increase from 2023, according to a 2025 Northwestern Mutual survey.

More than 60% of Americans say money worries have kept them awake at night, and 40% of Americans say financial worries have made them feel physically ill. The stress also affects people’s job performance and personal relationships.

The impact hits younger generations especially hard. A staggering 56% of Gen Zers report that financial worries have made them feel physically ill. And nearly four in 10 Gen Zers and millennials feel depressed and anxious about money at least once a week.

The good news? Proven strategies can help you regain control and find peace of mind.

Financial Anxiety By the Numbers

Financial stress has wider effects than on health and mental well-being. It can also be a silent destroyer of relationships and social connections. The Northwestern Mutual survey found 57% of couples say financial uncertainty has damaged their relationship—a 13 percentage point spike from 2023.

Anthony Holds, a wealth management advisor for Northwestern Mutual, pointed to the unique challenges facing younger Americans: “Gen Z and millennials are grappling with the beginning of their careers, student debt, and trying to establish financial independence amidst economic instability.”

Financial stressors are affecting Americans in every part of their lives:

• Relationships: About seven in 10 Gen Zers and 75% of millennials in serious relationships report that financial stress is affecting their partnerships.
• Friendships: The sense of isolation extends beyond romantic relationships. More than half of Americans (55%) say money concerns have forced them to skip social events, while 74% of Gen Zers and 71% of millennials have missed social gatherings due to financial worries.
• Work life: Financial anxiety has also followed Americans into their workplaces. Nearly half (49%) say financial worries have affected their job performance—a 13 percentage point jump compared to 2023. For Gen Z and Millennials, 64% and 58%, respectively, report that money stress affects their professional performance.

Tips for Combating Financial Stress

How can you begin to manage this finance-related stress? Here are a few strategies experts recommend:

1. Get professional help: More than three-quarters (76%) of Americans working with a financial advisor said their finances were “strong,” compared with just 44% of those not working with an advisor.
2. Make a plan: Whether working with a professional or on your own, one key to overcoming uncertainty is establishing a financial plan.
3. Focus on what matters: What one person considers essential might be a luxury to another, and widespread commercialism encourages many of us to buy and own more than we need. “Accumulating wealth isn’t the goal but instead can be a tool for achieving deeper life satisfaction,” David Tenerelli, a certified financial planner at Values Added Financial, told Investopedia. By evaluating what is truly necessary, you can cut expenses and potentially ease your anxiety.
4. Break it down: Handling something as stressful as credit card debt, for example, might be easier if you approach the problem systematically and one step at a time. The debt snowball method, for example, creates momentum by paying down the smallest debts first.
5. Find support in others: Professionals are available to help manage finance-related stress, but keep in mind that communicating with others in your life can also help reduce anxiety. “Being open about financial decisions might help address uncertainty and worry the partner feels about [their] financial situation,” Johanna Peetz, a professor of psychology at Carleton University whose research focuses on money and relationships, told Investopedia.

The Bottom Line

Financial anxiety affects millions of Americans, but resources exist to help manage this stress. From financial advisors to concrete planning strategies, taking action can dramatically reduce money-related anxiety. “There’s a special kind of confidence that comes from knowing with certainty that you’re making smart financial decisions,” Holds said.