For The Third Straight Year, Money Is the Top Factor Negatively Impacting Americans’ Mental Health

Inflation concerns are rising among Americans who say money affects their mental health

NEW YORK – April 30, 2025 – Ahead of Mental Health Awareness Month in May, a new Bankrate survey finds that more than 2 in 5 Americans (43%) say money negatively impacts their mental health at least occasionally causing feelings of anxiety, stress, worrisome thoughts, loss of sleep, depression and more. This is down from 47% in 2024 and 52% in 2023 but still remains the top-cited factor for the third year in a row, among even current events (38%; e.g. politics, world news, climate change etc.) and one’s own health (36%).

For more information: https://www.bankrate.com/banking/money-and-mental-health-survey/

Other factors negatively impacting Americans’ mental health include the state of the U.S. economy (33%), health of family and friends (27%), relationships with friends/family (25%), work (25%), personal appearance (19%), romantic relationships (17%), chores/household obligations (16%), parenting (9%) and something else (5%). About 1 in 5 (21%) say nothing has a negative impact on their mental health.

Across generations, Gen Xers (49%; ages 45-60), millennials (47%; ages 29-44), and Gen Zers (46%; ages 18-28) are more likely to say money negatively impacts their mental health at least occasionally, compared to baby boomers (34%; ages 61-79). Baby boomers are more likely to say that current events negatively impact their mental health (40%).

“We often see a ‘hierarchy of needs’ when it comes to Americans’ mental health,” said Bankrate Economic Analyst Sarah Foster. “If you’re concerned about day-to-day bills, affording basic essentials or putting food on the table, you might not have much room left to fixate on the world around you, the U.S. economy or current events.”

Notably, women are more likely to say that money negatively impacts their mental health (at 45%) compared to men (41%). Additionally, lower-income Americans were also more likely to say that money negatively impacts their mental health, at 48% of those earning under $50,000 annually versus 47% of Americans earning between $50,000 and $79,999 annually and 36% of Americans earning $80,000 or more annually. High-income earners (earning $80,000 or more annually) are more likely to say that current events negatively impact their mental health (46%).

Among those who say money has a negative impact on their mental health, the top money-related concern across all demographics is inflation/rising prices (69%), up from 65% in 2024 and 68% in 2023. Other money concerns include paying for everyday expenses (61%), not having enough emergency savings (57%), not having enough discretionary spending money (46%) and being in debt (43%). * Respondents could select more than one

Concerns about money not only impact Americans’ mental health, but they may impact their financial habits as well. Americans who say money negatively impacts their mental health are also three times more likely to have paid a bill late over the past month than those who say money does not impact their mental health (at 22% vs. 7%, respectively). They are also less likely to have saved for the future or a goal (at 20% vs. 24%) and less likely to have invested in the stock market in that time compared to those who say money does not impact their mental health (at 11% vs. 14%).

“Tariffs, inflation, higher interest rates and a recession are all forces that Americans can’t prevent, no matter how much they want to,” Foster noted. “Taking proactive steps to manage your finances can provide a sense of stability and security. Go through your budget regularly, and get in the habit of paying yourself first through saving. Having an emergency financial game plan functions much in the same way as fire extinguishers or emergency exits.”

Methodology:

This survey has been conducted using an online interview administered to members of the YouGov Plc panel of individuals who have agreed to take part in surveys. All figures, unless otherwise stated, are from YouGov Plc. The total sample size was 2,363 U.S. adults, of whom 1,046 have money concerns that impact their mental health while 1,317 do not. Fieldwork was undertaken between March 19th-21st, 2025. The survey was carried out online and meets rigorous quality standards. It gathered a non-probability-based sample and employed demographic quotas and weights to better align the survey sample with the broader U.S. population.

About Bankrate

Bankrate has guided savers and spenders through the next steps of their financial journeys since 1976. Whether it’s rates or information on mortgages, investing, credit cards, personal loans, insurance, taxes or retirement, the company offers various free resources to help consumers reach their goals. From product comparison tools to award-winning editorial content, Bankrate provides objective information and actionable next steps. Bankrate also aggregates rate information from over 4,800 institutions on more than 300 financial products, with coverage in more than 600 local markets. It’s why over 100 million people put their trust in Bankrate every year.

For more information:
Taylor Lynch
Publicist
taylor.lynch@bankrate.com
980-366-0594