Extended Definition of Financial Stress
Financial stress is not a type of budgeting, but a form of stress, which has emotional and physiological components. For some, financial stress may be mental strain over a situation directly relating to finances. A newlywed couple may have been able to comfortably commit to a large car payment originally, but when an unexpected pregnancy occurs, they undergo financial stress. The couple may not want to give up their new car although it seems they do not have much of a choice. When dealing with a poor income to payment ratio per month, financial stress accumulates.
Another type of financial stress is physiological. For instance, one may be injured and not able to work. Or, the primary income bearer for a household is fired. It may become stressful on the directly affected due to having little control over the situation. The providers might blame themselves for causing the financial stress. That in fact can take a toll on your health. In these circumstances not only the person, but also those dependent on the income source are affected creating a stressful environment due to finances.
Generally this word is used to describe the emotional and physical strain people may go through due to a lack of money. Whenever financial stress is applied to a country, certain precautions and strict budgeting must be taken by all of the citizens of that country. All income levels are affected by higher cost of living. Realizing everyone is under financial stress can in some ways benefits communities as a whole. Still, financial stress is a burden and influences us in many ways.