77% of Us Lose Sleep Over Financial Worries. How Do We Earn It Back?

It’s 6:25 a.m., and I have not slept yet.

This isn’t the battle cry of a hard-partying weekend warrior, though looking around TikTok, there’s plenty of that to be found as well. This sentiment, it turns out, is a surprisingly common plea, not just for Gen Z’ers, but for an increasingly tired population.

What’s keeping them up at night? Is it the root of all evil?

Well, yes and no. But it is money.

Indeed, most U.S. adults (76%) feel at least some level of anxiety about their personal finances, according to a November 2023 survey by Sleepfoundation.org. For many, this means worse sleep: 77% say they lose sleep over money worries at least some of the time. Within that group, 41% say this happens all or nearly all the time. Without solutions, these issues can go on for a very long time—almost a quarter of respondents say they’ve been losing sleep over money worries for years.

Why Does Money Stress Disrupt Sleep?

Anxiety and sleep are a familiar pairing. Among those surveyed by Sleepfoundation.org, 44% say they regularly have problems sleeping due to anxiety, more than the number of people who report having depression, fatigue, pain, insomnia, or difficulty focusing. Among common sources of worry, money concerns lead the way. More than half of those surveyed say they lose sleep over financial stress at least some of the time, which is more than the number of people who say the same about family (47%), mental health (39%), health (37%) and relationship (34%) issues. This data echoes a 2022 poll by the American Psychological Association, which found that more than a quarter of Americans say that most days they are so stressed they can’t function. Trusted Source American Psychological Association (APA) APA is the leading scientific and professional organization representing psychology in the United States, with more than 121,000 researchers, educators, clinicians, consultants and students as its members. View Source

While some anxiety during the day might be unavoidable, it can become a whole new problem at night if you can’t calm your mind. Dr. Alex Dimitriu, a physician board-certified in psychiatry and sleep medicine, says that when we’re anxious, we’re in a very “awake” state, so it’s hard to rest. On top of that, anxiety and poor sleep can create a negative feedback loop: the more stress you have, the harder it is to sleep, and the more tired you are during the day, the more stressed you feel.

“Constant worry can make us less present, less happy, and certainly sleep more poorly at night,” Dr. Dimitriu says. “The circular component here is that the worse we sleep, the harder it is to resist impulses. So thoughts, and especially worries, can continue to spiral as part of a vicious cycle.”

Like relationship issues or health concerns, matters of money, or worries about one’s job require a lot of thought, and the answers are not always clear, says Dr. Dimitriu. This can lead to over-thinking and imagining catastrophic outcomes, he says.

How Does Money Stress Cause Anxiety?

For many, simply getting by is a struggle: 43% said that thinking about their ability to pay household bills disrupts their sleep, making it the most common financial worry. Another 28% are haunted at night by their ability to pay mortgage or monthly rent. Other specific financial concerns include interest rates and inflation (32%), credit card debt (29%), and losing a job or other source of income (29%).

In the past year, the rising cost of living has intensified these challenges—83% of U.S. adults cite inflation as a significant stressor. Another poll in April 2023 found that when people were asked what the most important financial problem facing their family was, inflation was the top answer given. Trusted Source Gallup Gallup Inc. is an American analytics and advisory company based in Washington, D.C. View Source

Who Loses Sleep from Financial Stress?

Those who are unemployed are at heightened risk of financial stress. More than half of survey respondents who are out of work or can’t work lose sleep over financial stress often or almost all the time compared to 41% of all respondents. Among the unemployed, 43% say they’re very anxious about money, and 28% say they have been losing sleep for many years. 

That said, having a job doesn’t guarantee a lack of stress, especially if you don’t feel your job is secure. “Financial stress results from job loss, but also from negative performance evaluations and the fear of job loss,” says Dr. Dimitriu.

Even having financial expertise doesn’t necessarily guarantee you won’t stress about money. Among those who work in finance and insurance, nearly half say they always or often lose sleep over money stress. That’s a much higher rate than in some other sectors, such as the government, in which only 9% of people give the same answer. Many finance and insurance workers (41%) also say they are very anxious about personal finances. Other careers with high rates of money-related sleep disruption include health care and social assistance (46%), construction (46%), retail (45%) and information services, data and software (44%). 

How Income Impacts Sleep

The survey results indicate that, in general, the higher one’s income, the better their sleep quality. Among households with incomes lower than the median U.S. income of $75,000, Trusted Source U.S. Census Bureau The Census Bureau is dedicated to providing current facts and figures about America’s people, places, and economy. View Source 38% say they have poor or very poor sleep quality—far higher than the 16% of people in households that earn $100,000 or more who report the same. Those in the lower income group sleep an average of 5 hours and 54 minutes, well below the recommended 7-9 hours of sleep per night for adults and 29 minutes less per night than those households earning $100,000 or more. 

On top of that, lower-income Americans have been hit harder by inflation. They are more likely to say it’s caused severe hardship. But even among respondents with incomes higher than the median, more than a third always or often lose sleep over money, showing that having more cash coming in doesn’t guarantee you’ll be stress-free.

How to Alleviate Financial Worries

Whatever the cause of your stress, it’s tempting to try to resolve it through endless thinking. That’s a common tendency with all kinds of anxiety, whether rooted in relationships, health, or money, says Dr. Dimitriu. However, that may not lead to concrete answers or solutions. With money stresses, it’s better to focus on the facts.

“Because [these stressors] are financial, they are numerical, which makes the problem and solutions quite objective, unlike other things people worry about, like relationships, which are more “fuzzy,” or subjective,” says Dr. Dimitriu. “Fortunately, financial stressors can actually be best addressed through pen and paper problem-solving, or speaking with a financial advisor or accountant,” he says.

That doesn’t mean money issues are easy to solve, but at least you’ll have a clearer sense of where to direct your energy. Among those surveyed, 40% say they alleviate their financial stress by focusing on paying for necessities. Around the same amount (38%) create and stick to a budget and about a third (34%) put more money into savings or find additional income. 

Strategies to Relieve Financesomnia

While tackling finances is essential, it’s equally necessary to develop strategies to manage anxiety at night. Money comes and goes, and even the most financially secure person might face unexpected downturns that cause their stress to spike. 

Benedict Ang, 27, a fitness coach and business owner in Indianapolis, says that when he’s lying awake at night worrying about money, he tries to practice mindfulness. 

“I concentrate on deep breathing and visualize positive outcomes and solutions to clear my mind,” he says. “It is critical to avoid overthinking and stressful situations.”

He also has a ritual: before going to bed, he writes down his financial concerns and potential solutions so they’re out of his head and on paper. “This simple practice eventually allows me to fall asleep with a clearer mind,” he says.

Gabrielle Yap, a 25-year-old editor, says she avoids checking her bank account, bills, or emails related to money before bed, as they can trigger anxiety and worry. “I also limit my exposure to news, social media, or other sources of information that can make me feel insecure or inadequate about my finances,” she says. “I try to create a relaxing and comfortable environment for sleep, such as dimming the lights, playing soothing music, or using aromatherapy.”

Dr. Dimitriu agrees that designating scheduled worry time can be a tremendously helpful technique for anyone kept up by thoughts. “Instead of ruminating endlessly at night, spend thirty minutes in the evening or during the day problem-solving on paper,” he says.

Some other tips he gives:

• When you find yourself having an anxious thought, consider: What is the utility of this thought? What helpful action can be taken? 
• Thinking alone never solves anxiety. Try writing, talking with someone, and seeking help instead.
• It’s easy to let our imaginations run wild. Recognize your anxious thoughts for what they are—thoughts.
• Remember that it’s normal for the stock market to rise and fall over time.

In addition, “scheduling an appointment with a specialist can be a more helpful action than endlessly ruminating on the same issue,” he says.

That might be a mental health professional such as a therapist or psychiatrist, a Certified Financial Planner (CFP), or both. There are even financial therapists who specialize in helping people manage financial stress and change their behavior. Whatever route you choose, improving your relationship with money is crucial for long-term health. 

Methodology

The survey commissioned by SleepFoundation.org was conducted on the online survey platform Pollfish on November 2023. Results are from 1,000 survey participants in the United States who were ages 18 and older at the time of the survey. All respondents attested to answering the survey questions truthfully and accurately.