Updated: April 1, 2025
Money plays a major role in our lives and it’s often a major source of stress. Recently, a new term was coined to describe that feeling of having not enough money, regardless if it’s true or not. It’s called money dysmorphia.
What is Money Dysmorphia?
A person suffering from money dysmorphia has distorted view of their finances. According to a US report, nearly one-third, or 29%, of Americans shared that they are experiencing this.
Body dysmorphia is when you look in the mirror and you’re not happy with what you see, even if you totally look fine. Money dysmorphia is similar to this, but instead of your body, it’s your wallet.
You could be earning a decent paycheck, but you still feel like you’re barely scraping by. Or maybe you’ve got some savings tucked away, but you’re always worried about the future.
What are the Causes of Money Dysmorphia?
Comparison Trap
Social media can make money dysmorphia worse. Ever scroll through Instagram and see your friends posting pics of their fancy vacations or new gadgets? It’s easy to feel like you’re falling behind, even if you’re doing just fine.
Instant Gratification
We live in a world of instant everything – from fast food to one-click shopping. This can make it hard to save money because we’re always tempted to spend it now rather than wait for the future.
Fear of Missing Out
The fear of missing out or FOMO isn’t just about missing out on parties or events. It can also apply to money. You might feel like you’re missing out on life if you’re not constantly spending money on experiences or things.
Hidden Costs
Ever notice how the true cost of something is often more than just the price tag? Whether it’s interest on a loan, maintenance fees for a car, or subscription costs for streaming services, expenses can add up fast, and these feed on your fear that you might not have enough money in the future.
Mindset Matters
Your mindset plays a big role in how you handle money. If you constantly think you’ll never have enough, you might end up sabotaging your own financial success.
What’s the Cure for Money Dysmorphia?
Track Your Spending
Knowledge is power, right? Start by keeping track of where your money goes each month. This will give you a more accurate answer if you’re spending more than what you’re earning each month. If not, then that can ease some of the financial anxiety.
Budget Wisely
Creating a budget doesn’t mean you have to stop spending money altogether. It’s about prioritizing your spending so that you can enjoy the things that matter most to you while still saving for the future.
Set Realistic Goals
Instead of comparing yourself to others, focus on your own financial goals. Whether it’s paying off debt, saving for a vacation, or investing for retirement, set goals that are meaningful to you.
Practice Gratitude
Take a moment each day to appreciate what you have, whether it’s a roof over your head, food on the table, or a supportive network of friends and family. Gratitude can help shift your perspective from scarcity to abundance.
Seek Support
If money dysmorphia is really affecting your life, don’t be afraid to seek help. Whether it’s confiding to a trusted friend, seeking out a financial advisor, or talking to a mental health professional, there are resources available to help you improve your financial mindset.
Final Words
Remember, managing your money is a journey, not a destination. It’s okay to make mistakes along the way – the important thing is that you keep moving forward. It all starts with curbing money dysmorphia and building a healthier relationship with your finances.
What to do next: Click here to start your financial journey with IMG Wealth Academy
