Spotlight
How to Survive Tough Economic Times
and Manage Your Anxiety

With the nation’s housing market in a slump, stock prices falling, food prices rising, and government bailouts of banks making the news each week, it’s no surprise that many people are feeling anxious about the economy and their financial future.

Anxiety is a normal reaction to these events. It’s your body’s way of telling you to stay alert and work harder to protect your finances and your family’s future.

And many are anxious: Three out of four adults feel stressed about money, and two out of three say the economy contributes significantly to their stress, according to the American Psychological Association. Women are also more likely to be concerned with their economic security, according to a recent poll by the National Women’s Law Center. Fifty-nine percent of women said they were worried about achieving their financial goals in the next five years, compared to 46 percent of men.

But if you find yourself worrying about the economy and your finances for hours each day, to the point where you have difficulty sleeping or concentrating on other tasks even though you are aware your fears are irrational, you may have generalized anxiety disorder.

People with generalized anxiety disorder, or GAD, experience persistent, excessive, and unrealistic worry about issues like money, health, family, or work for six months or longer. They don’t know how to stop the worry cycle and feel it is beyond their control. Physical symptoms of generalized anxiety disorder include fatigue, restlessness, difficulty sleeping, irritability, edginess, muscle tension, and gastrointestinal discomfort or diarrhea.

According to Sally Winston, PsyD, co-director of the Anxiety and Stress Disorders Institute of Maryland, some of her patients are also experiencing the following symptoms:

• Checking online finances every hour.
• Worrying about things that are not at risk, such as bank deposits that are insured by the Federal Deposit Insurance Corporation (FDIC).
• Worrying about standing in food kitchen or unemployment lines.
• Watching TV for hours each day and hearing the same information over and over.

GAD affects 6.8 million adults, or 3.1% of the U.S. population, in any given year. Women are twice as likely to be affected.

Like other anxiety disorders, GAD is treatable. Cognitive-behavioral therapy is effective for many people at identifying, understanding, and modifying thinking and behavior patterns. This helps people with GAD learn to control their worry on their own. Some with GAD also take medication. You may also want to talk to your doctor about adding alternative treatments, such as relaxation techniques, meditation, yoga, or exercise, as part of your overall treatment plan.

“The worst response to feeling anxious is increased substance abuse, especially alcohol,” Winston says. She recommends getting a massage, working out, spending time with pets or children, or drinking a cup of tea.

Because the disorder frequently co-occurs with other health conditions, such as other anxiety disorders, depression, or a sleep disorder, don’t be afraid to raise concerns with your doctor about other symptoms you have that may or may not be related to GAD.

Whether or not you have GAD, you can take these steps to reduce your anxiety in times of economic uncertainty:

• Turn off the TV. Take a break from the bad news, especially if it adds to your fear and anxiety. “Fear is a very powerful motivator, but you should never make a financial decision in the heat of the moment or during an emotionally charged period of time,” says Brian Jones, a financial planner and vice president of CJM Wealth Advisers in Fairfax, Virginia.
• Determine if immediate action is required. Make a plan, Winston advises, whether it’s to call a financial adviser, delay vacation plans, or even to do nothing for right now. Then let your worries take a back seat to the plan and the rest of your day.
• Concentrate on things you can control. If you’re worried about your finances, focus on saving money and paying off debt instead of fretting about the price of groceries or gas. If you’re spending more than you earn, or more than you’re comfortable spending, decide which expenses are important and which aren’t. You can’t control rising prices, but you can control your bank account and how you spend your money.
• Put things in perspective. When it comes to your finances, unless you’ve recently lost your job or you are close to retirement, think in the long term. If you take your money out of the market, you’ll miss the gains when it goes back up, which analysts agree it will eventually do.
• Think conservatively. If you are nearing retirement or are worried about your job or financial security, talk to your financial advisor about diversifying your portfolio to include more low-risk investments that will minimize the impact of a struggling market economy.
• Stay healthy. Get enough sleep, eat healthy, exercise, and allow for personal time. This will help clear your mind of negative thoughts. If you are exhausted — physically or emotionally — it will be more difficult for you to handle stress and anxiety.
• Talk to someone. “If you do have questions, or if you feel paralyzed by fear, go talk to someone who does this for a living,” says Jones, who advised asking friends and family which financial planner they use and recommend if you don’t already have one. Tell that person you’re feeling overwhelmed, and tell them how they can help, or ask for advice. You may also want to talk to a therapist.

Resources

Getting Through Tough Economic Times - practical advice on how to deal with the effects that financial difficulties can have on mental and physical health
Federal Deposit Insurance Corporation (FDIC) – information for consumers
Money 101: A step-by-step guide to gaining control of your financial life – CNN Money
‘Is My Money Safe?’ And Other Questions to Ask – New York Times
Feeling financial anxiety? Take some steps in the right direction – Austin American-Statesman
How to Keep Healthy at Work – The American Lawyer

Generalized Anxiety Disorder – National Institute of Mental Health
Generalized Anxiety Disorder – Mayo Clinic
When Worry Consumes You – HealthDay News

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