A growing number of Brits are suffering from a little-known but debilitating condition called money dysmorphia, which distorts their perception of their financial situation, leading to severe stress and anxiety. According to a recent study, this phenomenon is affecting millions across the UK, regardless of income level.
What is Money Dysmorphia?
Money dysmorphia is a psychological condition where individuals have a distorted view of their finances. Some may feel perpetually broke despite having savings, while others might overspend to maintain an illusion of wealth. This mismatch between reality and perception can lead to poor financial decisions and emotional distress.
Who is Affected?
The issue isn’t limited to any specific demographic. Both high earners and those on modest incomes can experience money dysmorphia. Common symptoms include:
- Constantly worrying about money, even when financially stable
- Feeling guilty about spending, even on essentials
- Comparing oneself to others’ perceived wealth
- Overspending to ‘keep up appearances’
The Impact on Mental Health
Financial experts warn that money dysmorphia can have serious consequences for mental health. The constant stress of feeling financially insecure—whether real or imagined—can lead to anxiety, depression, and even physical health problems.
How to Combat Money Dysmorphia
Financial advisors recommend several strategies to regain a healthy perspective:
- Track your spending: Use budgeting apps to understand where your money goes.
- Set realistic goals: Focus on achievable financial milestones.
- Limit social media: Avoid comparing your finances to curated online personas.
- Seek professional help: A financial planner or therapist can provide clarity.
With the cost-of-living crisis exacerbating financial anxieties, addressing money dysmorphia has never been more critical.
