Diversity, Equity, Inclusion & Belonging: ADHD & Finances
On this episode of Financially Naked: Stories from The Financial Gym, Rachel and Whitney discuss the impact of ADHD on personal finances. Whitney shares her journey from filing bankruptcy to financial empowerment, highlighting the challenges she faced and the strategies she used to regain control. They discuss the unique financial struggles that come with ADHD, why neurotypical advice often doesn’t work, and practical steps for managing money in a way that aligns with how ADHD brains function.
Podcast Notes
The Role of ADHD in Whitney’s Journey
Before working at The Financial Gym, Whitney was a client. After accumulating significant debt, she needed help. Working with The Financial Gym and a lawyer, she went through the process of filing for bankruptcy.
At first, she didn’t understand how ADHD impacted her relationship with money. She had feelings of shame and self-blame, but now she knows that ADHD had a huge part in getting into debt in the first place.
When Whitney was in debt, she struggled to ask for help. Not only was she embarrassed, but ADHD made taking the first step difficult. Her money issues were rooted in fear, anxiety, and shame.
Telling her mom a year into the debt was a huge relief, and The Financially Naked session was a huge weight off her shoulders. Having The Gym and her bankruptcy lawyer to walk her through exactly what to do and keeping her on track was incredibly helpful.
Filing for bankruptcy forced Whitney to go cash-based and drastically reduce her expenses. This process helped give her a fresh slate and the opportunity to build new financial habits. It was hard, but it was a lesson she needed to learn.
Building Financial Stability with ADHD
ADHD brains struggle with impulse spending and decision fatigue, which can make sticking to a budget challenging. Traditional financial advice isn’t always helpful for neurodivergent people.
Whitney found that sitting down and going through two years of expenses by hand using a spreadsheet helped her understand her spending patterns. After that exercise, she continued to manually track her expenses in a spreadsheet for a while.
Budgeting apps often felt overwhelming, so she tracked her expenses in a spreadsheet. Recently, she discovered Monarch Money, the only app she connects with.
When tracking expenses, Whitney keeps her categories simple so the process doesn’t feel overwhelming.
Accountability is powerful for people with ADHD. External motivators. Working with a Financial Trainer or having to turn in spending reports to the court helped Whitney stick to her new financial habits and goals.
Practical Tips for Managing Money with ADHD
Implementing a 24 to 48-hour waiting period before making non-essential purchases helps curb impulsive spending. The forced pause can help you think and be mindful about purchases.
If you know you like shopping or impulse spending, create a budget for it. Restriction often leads to failure, so having a designated budget for impulse purchases keeps you on track.
Unsubscribe from marketing emails and limit your exposure to shopping triggers. These actions can reduce the temptation to spend money.
If you are overwhelmed by financial tasks like creating a budget or filing taxes, invest in education and guidance (rather than solely outsourcing). Being part of the process can be empowering.
It’s never too late to take control of your finances. If you feel behind in life, know you are not alone. Progress happens at your own pace, and every financial mistake is fixable.
If you want to work with a Certified Financial Trainer to help navigate your finances, schedule a free warm-up call today! If you have any ideas or questions for the show, send an email to trainerpodcast@fingyms.com.