Financial wellbeing: Key to better mental health

Source: Pexels

Whether it’s struggling to pay bills, dealing with debt, or worrying about job security, these are all real-life examples of financial stressors that can significantly impact our mental wellbeing.

Recent studies conducted by reputable organisations such as the South African Depression and Anxiety Group (Sadag) and Sanlam shed light on the alarming correlation between these financial strains and mental wellness. In light of this, we aim to provide insights and guidance to help you manage financial stress and improve your overall wellbeing.

According to Sadag's online survey, conducted to assess the impact of the pandemic on South Africans’ mental wellbeing, a staggering 46% of respondents identified financial stress and pressure as significant contributors to their mental-health challenges.

Similarly, Sanlam’s report revealed that 57% of respondents cited financial stress as the primary factor affecting their mental wellbeing, with young individuals aged 18 to 24 being particularly vulnerable.

In light of these findings, it’s important to recognise the empowering role of proactive financial management in safeguarding mental wellness. Effective financial management can significantly reduce the stress associated with financial uncertainties, contributing to better mental health.

By making use of available tools and resources, individuals can gain valuable insights and guidance to manage their finances and budgets more effectively, ultimately supporting their overall wellbeing.

Speaking on the importance of financial tools and resources, Lerato Thwane, head of e-commerce, shares her insights.

Accessing tools and resources

“Amidst the challenges posed by financial stress, it’s essential for individuals to have access to tools and resources that can provide clarity and support. Through XDS, we empower consumers, giving them the control they need to navigate their financial journey confidently, ultimately promoting financial stability and mental wellbeing.

"XDS offers a comprehensive range of products and services to support individuals at every stage of their financial lifecycle. These include credit reports and financial guidance.”

South Africans ranked as most distressed population

26 Oct 2023

Thwane continues: “Research has shown that financial stability is closely linked to mental wellbeing. When individuals have control over their finances and feel secure about their future, they experience lower levels of stress and anxiety.

"This, in turn, can lead to improved overall mental health, better relationships, and increased productivity in other areas of life. Financial literacy is an important part of achieving financial security. A clear understanding of how to manage money and the basics of budgeting can help individuals gain control over their finances and feel more empowered.”

"To improve your financial management skills and overall wellbeing, consider seeking professional help such as financial counselling. Additionally, accessing your XDS credit profile and score on Splendi can help you better understand your financial status. These resources offer valuable guidance to boost financial literacy, develop healthier money habits, and secure your financial future."