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Well-Being: Mental, Physical, and Financial

Written by FinFit on .
Well-Being: Mental, Physical, and Financial

Crises like this global COVID-19 pandemic we’re currently experiencing can cause individuals to experience immediate psychological and physical reactions to the situation. This is one of the reasons it is so important that the information we convey is accurate, relevant and timely. Misinformation can increase stress levels that are already heightened during the crisis.

In the American Psychological Association’s Stress in America survey, 64% of adults identify work and 60% identify money as significant sources of stress, making them the most commonly mentioned personal stressors. This survey was conducted in November of 2019, before COVID-19 was identified as a global crisis. Might the numbers be significantly higher if the survey was conducted now?

Not all stress is bad, but too much stress will inevitably have a negative impact on an individual’s overall health and well-being. “Small amounts of positive stress play a vital role in motivation, adaptation, and our relationship and response to the world around us,” David Kilby says in his book. “But excessive levels of negative stress can increase the risk of stroke, heart attack, high cholesterol, ulcers and depression. It can also lead to lost productivity on the job through presenteeism, absenteeism, accidents and illness.”  

It is nearly impossible to separate health wellness from financial wellness, as the two rely so heavily on the same conditions and factors to determine overall well-being.

Mental health and well-being

According to the CDC, “mental health includes our emotional, psychological, and social well-being. It affects how we think, feel, and act. It also helps determine how we handle stress, relate to others, and make healthy choices.”

The CDC goes on to describe how mental health could be impacted when the demands placed on an individual exceed their resources and coping abilities, specifically citing economic hardship as an example of one such demand.

Financial health and well-being

Financial wellness is a term used to describe the state of one’s personal financial situation. Financial wellness allows the individual the ability to pursue opportunities due to the stability of having a day-to-day financial system, which includes the capacity to spend, save, borrow, and plan.

Like mental health, financial health is impacted when the demands placed on an individual exceed their resources and coping abilities.

Mental health and financial health are fluid

They change over time depending on many factors. It is critical to have the appropriate support, resources and mindset to attack a crisis like COVID-19 with optimism and battle back to the positive side of the mental and financial health scale. A holistic financial wellness program provides individuals with the tools and resources they need to successfully navigate a crisis like COVID-19, regain their mental and financial health, and come out on the other side stronger.

Personal financial emergencies will happen to just about everyone at one time or another. We can’t do a lot to prevent them. However, we can do something about the negative stress that can accompany the crisis.

David Kilby | President of FinFit

Contact us if you would like to offer our financial wellness resources to your employees.
We’re here to help.