29% of Americans reported having “unmanageable” levels of debt in 2023 according to the Financial Health Pulse 2023 U.S. Trends Report (opens in a new tab). That is over 97 million people, or Beaver Stadium (Penn State’s football stadium) filled 915 times. We sat down with Dr. John Delony from Ramsey Solutions (opens in a new tab) to talk about the correlation between money and mental health and ways to alleviate some of that stress.
Dr. John Delony is a two-time #1 national bestselling author, mental health expert and host of The Dr. John Delony Show. John has two PhDs and over two decades of experience in counseling, crisis response and higher education.
Do you think there is a correlation between finance and mental health?
"Yes," said Dr. Delony. "The way I usually explain it is quick and straightforward: a cornerstone of mental health is the agency or autonomy that your body knows. Your nervous system knows that you are in control of what is happening next in your life, and any time your body recognizes you're not in control, it sounds the alarm systems that it was taught growing up, or it will try to shut off those alarm systems. When your body tries to shut off those alarm systems, it will put into motion a set of systems to keep you safe and numb."
Dr. Delony illustrated this by sharing an example of financial stress keeping individuals up at night. He said that if your body knows "at the nervous system level" that troubles at work could mean losing your job and, therefore, your house, car and ability to feed your family, the natural biological response is to stay awake to find a solution.
"Our bodies are paying the price, and then we blame our bodies for not sleeping. We blame our bodies for being anxious,” Dr. Delony said.
Do you think there is a difference between generations or when approaching different milestones?
Dr. Delony shared, “I think there's a couple of things.” Many of us fall into the common misconception that if we can just change some of the external factors in life like buying a new house or a better car, that we are going to be infinitely happy. Often, we achieve those things and a few days later, we still feel the same way.
“I think we have been sold that your joy, happiness and peace is just over that next purchase. So, yes, I think that is disorienting.”
He shared an example about graduating from college, saying, “College graduates think they should have it all worked out now that they have a degree, but it is just the beginning of a new chapter filled with its own set of struggles. Now you have $100,000 of student loan debt and on top of that realization, you can't buy a house or a car; you think about delaying getting married or having kids. These things that, statistically speaking, bring infinite mental stability, safety and emotional health to your life can be a disaster.”
How do we, as a financial institution, tell people that it is okay to talk about their debt and their financial situation?
Dr. Delony told us in our interview that he believes it is time for financial institutions and people in general to start having an honest conversation about debt. “As a counseling intern, people would, in session one, tell me everything about them; but not one person would tell me how much debt they owed,” Dr. Delony shared. It is important to talk about your struggles with financial professionals that are able to assist you. Our associates are available to be that ear to listen at any of our locations or over the phone. We are here to help.
Long-term debt is making people think their worth is a number and not measured by the relationships they have with others. John said, “The answer to the question, 'What are you worth?' is a number in our culture. The real answer to the question, 'What are you worth?' is who you love and who loves you. We need to change that thought process.”
What can we do to help people feel less anxious and stressed about money, other than the obvious, talking about it?
Dr. Delony believes that collectively, we have to help people look at their future selves two years down the road or five years down the road and help them figure out what they can do right now to give them the best shot at peace and happiness.
“Imagine, in five years, you receive a call that your mom is sick, or the economy is in a downturn, and you've just lost your job. What can you do right now, not if, but when that call comes? What steps could you have taken today to prepare for that future?” asked Dr. Delony.
He believes you should treat your finances as a vital part of your overall health. Just like we exercise to stay healthy, we should save and budget to keep our finances healthy.
“Let's shift our focus from seeking comfort to striving for financial freedom. Comfort may bring temporary peace, but financial freedom ensures peace forever.”
Having an emergency fund at a local credit union is a great way to start. Dr. Delony recommends having three to six months of what it takes to run your household in an account that you can access when an emergency arises.
“Let’s focus on gaining peace of mind, not interest,” said Dr. Delony.
If you want to build a more solid financial foundation, our associates are here to help with all your financial needs. We can help you set up that emergency fund, help you pay down debt and have those difficult conversations to aid you in gaining peace of mind for your financial future.