If January’s bank statements have left you feeling anxious, you’re in good company. The post-Christmas squeeze affects most households, and the financial hangover can linger well into the new year.
But here’s something important to understand: feeling stressed about money doesn’t mean you’re bad with money. It often just means nobody ever taught you the basics. Most of us leave school without any practical financial education, then spend years figuring things out – sometimes through expensive mistakes.
This article won’t transform your finances overnight – no article can. But it offers practical, realistic steps to help you feel less overwhelmed and more in control.
Start with what you actually know
Financial stress often feeds on vagueness. When we avoid looking at the numbers, our imagination fills in the gaps – usually with something worse than reality.
The first step is simply knowing where you stand. Not judging it, not fixing it yet, just understanding it. What’s coming in? What’s going out? What do you owe? For many people, facing the actual numbers is less frightening than the anxiety of not knowing.
Understand your payslip
It sounds basic, but many people don’t fully understand their payslip. Tax codes, National Insurance, pension contributions, student loan deductions – these affect your take-home pay significantly, yet remain mysterious to most.
Spend fifteen minutes looking at yours properly. Check your tax code is correct (HMRC makes mistakes more often than you’d think). Understand what your pension contribution actually is. Know what you’re being deducted for and why. This isn’t exciting, but it’s empowering.
The 24-hour rule
Impulse spending is the enemy of financial control. One simple habit can make a significant difference: wait 24 hours before any non-essential purchase. Often, the urge passes. When it doesn’t, at least you’re buying deliberately rather than reactively.
This isn’t about denying yourself everything – that’s not sustainable. It’s about creating space between the impulse and the action. That pause is where better decisions happen.
Know what you’re worth
Many people feel uncomfortable discussing pay, which benefits employers more than employees. Research consistently shows that workers who negotiate salaries earn significantly more over their careers than those who don’t.
This doesn’t mean demanding a raise every month. It means knowing the market rate for your role, documenting your achievements and value, and being prepared to have conversations about pay when appropriate – whether that’s during reviews, when taking on new responsibilities, or when moving jobs.
Small steps, not grand plans
The financial advice industry loves dramatic transformations: “Save 50% of your income!” “Pay off all debt in twelve months!” For most people, this is unrealistic and demoralising.
Better to focus on small, sustainable changes. Can you save 1% more? Can you reduce one subscription you don’t use? Can you meal plan for three days a week instead of buying lunch? Small improvements compound over time, and they don’t require willpower you don’t have.
When to get help
If you’re struggling with debt, don’t suffer in silence. Free, confidential advice is available from organisations like Citizens’ Advice, StepChange, and the Money Helper service. These exist specifically to help people in financial difficulty – without judgement.
Similarly, if your employer offers financial well-being support, use it. Many workplaces now provide access to financial guidance, and it’s there precisely because money worries affect so many people.
The bigger picture
Financial stress is one of the biggest sources of anxiety in modern life, affecting sleep, relationships, health, and work performance. Taking even small steps to feel more in control has benefits that extend far beyond your bank balance.
You don’t need to have everything figured out. You just need to start facing it.