How ADHD Impacts Your Finances
Years ago, when I thought about ADHD, I saw a hyper little boy who wouldn’t sit still. This is actually how my son presented his ADHD at the age of two. The boy wouldn’t stop moving. That was the extent of my knowledge of ADHD. Hyperactivity, that’s it. Years later, I know that ADHD affects the entire person, not just how much they move. Yes, hyperactivity is still part of the diagnosis criteria for the subtype of hyperactivity. But even if the person is hyperactive, it affects so much more.
ADHD, in short, is an executive functioning disorder. What exactly are executive functions? They are the mental skills that help individuals manage and regulate their thoughts, behaviors, and emotions to achieve goals. I love how Jessica McCabe explains on her YouTube channel, How to ADHD. You can find the episode on executive functioning here.
If executive functions affect the whole person, it also affects their finances, as we need executive functions to manage our finances, from impulsive spending to difficulty organizing bills, budgets, other important financial documents, and late payments. Oh, let’s not forget the decision-making regarding our monetary needs. ADHD can cause havoc in one’s financial life.
Let’s take a closer look at some of these challenges…
Impulsive spending: Decided to purchase without planning to buy the item.
Disorganization: Difficulty keeping track of bills, receipts, and financial statements.
Procrastination: Tendency to put off financial tasks, such as budgeting or filing taxes.
A simple example of an impulsive purchase would be the candy bar in the check-out line at the grocery store. I don’t think purchasing a $1.75 candy bar is the worst thing in the world, but if we do it enough times, it adds up. So does eating out, which we weren’t planning to do because we are too tired to cook. Or those new boots, the money used for them was supposed to go to the credit card. The solution is to have some spontaneous cash to spend. A certain amount each month that you can use however you please. If married, talk with your partner about how much you should get each month.
Disorganization means missed payments, which equals late fees. These late fees prevent us from saving for our future, which is detrimental to our financial health. Solution: have a weekly day when you sit down and pay your bills. Write due dates and paydays on the calendar so that you can see the flow of your money.
Procrastination: This causes more stress than we need. Life is stressful enough; we don’t need to add more. To solve this, we are going back to our tip for disorganization. Make a weekly day when you handle your finances and make phone calls. If it's Tuesday afternoon, mark out a time to do this. Every Tuesday, you get it done. If you miss a Tuesday, it’s okay; there is another Tuesday in 7 days.
I have not yet discussed how ADHD affects our long-term financial goals, but I will do so in my next blog post. It is a vital topic.
I made these solutions super simple, but they can be that easy. I’ve also found that body doubling and a coach can help. If you are struggling with your financial journey, I encourage you to seek the help you need. The trick is learning to work with your brain.
If you go to www.TheADHDMoneyCoach.com, you can learn about my program for helping those with ADHD and schedule a discovery call with me. If you want to jump into a discovery call, you can schedule that here.
One last thing: ADHD affects everyone differently. That’s why it’s essential to get specific advice for your situation. The advice given regularly may not work with you, and you may need to tweak some things. That is okay; it means you're unique.
Please share with a friend! I want to help as many people as possible, and I can only do that with your help.