By: Mihika Sharma
Abstract
What is Financial Stress?
Financial stress is defined as difficulty meeting basic financial commitments due to a shortage of money. Financial stress can show up in many different ways, but in general, it relates to any stress you feel as a result of your financial situation. It is an emotional tension that is specifically related to money
Financial Stress in Teenagers
Teenagers may either suffer directly from financial stress or indirectly through family circumstances. It often includes:
1. Low family income
2. Parental job loss
3. Medical expenses
4. Burden of student loans
Research on Financial Stress
It was found that financial stress often leads to heightened anxiety among adolescents who are aware of their parents’ struggles.
Research shows that teenagers exposed to economic hardship exhibit increased stress levels, which can lead to chronic anxiety and depressive symptoms.
Several studies demonstrate a clear correlation between financial stress and mental health problems.
Approximately 30% of adolescents report feeling stressed about their family’s financial situation. Furthermore, surveys indicate that economic downturns have exacerbated financial stress in families, impacting teenagers’ emotional well-being.
Impacts of Financial Stress on Teenagers' Mental Health
Financial stress can have a significant impact on a teenager's mental health. Several studies have demonstrated a cyclical link between financial worries and mental health problems such as depression, anxiety, and substance abuse.
Teenagers from low-income households are more likely to experience higher levels of anxiety, mood disorders, and suicidal ideation. The relationship between financial instability and mental health can create a vicious cycle, where mental health issues further exacerbate financial difficulties.
Academic Impact of Financial Stress
Teenagers experiencing financial difficulties often find it hard to concentrate on their studies, leading to declining academic performance.
It was found that stress related to financial issues can result in higher dropout rates, as students feel overwhelmed and disengaged from their education.
The students are not able to buy books and required study materials, which often leads to a decline in their academic performance and can further lead to a lack of motivation and depression.
Most of the students choose to drop out as they are not able to pay their tuition fees, and this may result in unemployment in the future.
Developmental Implications of Financial Stress
Financial stress can have a major impact on a teenager’s development.
Financial stress can hinder teenagers’ social development, leading to withdrawal from peers and isolation.
They avoid participating in social activities as they feel embarrassed about their family’s financial conditions, further exacerbating feelings of loneliness.
financial stress causes a lot of anxiety about the next steps in life and what that can look like.
Case Study
Mia Spencers, an A+ student faces hardship in her life when her father loses his job. She was unable to pay her school fees on time resulting in humiliation by her teachers. It affected her mental health pretty badly, there was a significant decline in her academic performance. She had lost her interest and preferred to be alone. She began to withdraw socially and experienced anxiety.
But, with the help of some scholarships, she was able to complete her studies and achieve her dreams. The only reason she could do that was because she never gave up. She kept going and going, even after the humiliation, she never stopped working hard. Her talent was recognized by a prestigious university and got a fully funded scholarship.
Coping Mechanism
It’s hard to cope with the problems which are not in our hands but it’s not impossible. It may be difficult, but it’s possible. It is possible if the family is supportive, since family plays a crucial role in life, if they are the ones who keep demotivating then the child can’t cope with the problems.
Many colleges/universities have started scholarship programs to help students who wish to study but can’t afford to.
There are many NGOs out there who are helping those in need by either donating money or providing basic necessities.
Most importantly of all, have faith in yourself and never give up. Keep going until you get it. Fight until you win.
Conclusion
In conclusion, financial stress significantly impacts teenagers’ mental health and development, leading to various psychological and social challenges. Addressing this issue is essential for fostering healthier, more resilient adolescents. By implementing supportive strategies at home, in schools, and within communities, we can help mitigate the effects of financial stress and promote better mental health outcomes for teenagers. Further research and advocacy are needed to develop comprehensive support systems for those affected by financial instability.
REFERENCES
D'Souza, R. (2022, August 24). How financial stress is impacting young people's mental health? Teen Vogue. Retrieved October 18, 2024, from
Australian Institute of Family Studies. (2023). Financial disadvantage and children’s school readiness. Family Matters, (83). Retrieved October 18, 2024, from
https://aifs.gov.au/research/family-matters/no-83/financial-disadvantage-and-childrens-school-re adiness#:~:text=From%20the%20perspective%20of%20the,child%20interactions%20and%20p arenting%20styles.
Rojas, C., & Garcia, R. (2019). The impact of financial distress on mental health: A cross-sectional study. Journal of Epidemiology and Community Health, 73(10), 977-982. https://doi.org/10.1136/jech-2019-212558
IGI Global. (n.d.). Financial distress and health. In Encyclopedia of Public Health (p. 47382). Retrieved October 18, 2024, from
https://www.igi-global.com/dictionary/financial-distress-and-health/47382 Fondation Jeunes en Tête. (2023, March 1). How do money problems impact young people's mental health? Retrieved October 18, 2024, from
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