The link between ADHD and debt

October is attention deficit hyperactivity disorder (ADHD) awareness month.

ADHD can make managing money challenging so now’s a great time to shine a spotlight on an often misunderstood condition.

What is ADHD?

ADHD is a neurodevelopmental condition that affects millions of children and adults worldwide.

While the main symptoms include inattention, hyperactivity and impulsivity, studies suggest there may be a significant link between ADHD and money troubles, particularly debt.

Research shows that those with ADHD are more likely to experience:

• higher levels of debt
• increased risk of poverty
• difficulty maintaining stable employment

Managing your money with ADHD

Managing finances can be daunting for anyone, but it can be particularly challenging for those with ADHD.

Struggling with impulse control, organisation and planning can lead to:

• spontaneous purchases
• struggles with sticking to a budget
• not saving for emergencies
• missing bill payments
• overlooking important financial details
• failing to keep track of expenses

These decisions can quickly add up, resulting in stretched budgets, late fees and debt.

ADHD and financial wellbeing

Debt can significantly impact the financial wellbeing of those with ADHD in the following ways:

• Lower credit scores – late payments and high debt levels can negatively impact credit scores, making it harder to secure loans or better interest rates in the future.
• Increased stress and anxiety – financial difficulties can lead to stress and anxiety, which can worsen ADHD symptoms and create a vicious cycle.
• Relationship strain – money problems can put a strain on personal relationships, especially if a partner or family member is unaware of the challenges associated with ADHD.

ADHD-friendly support

ADHD can make handling money tricky. But with the right tips and support, you can manage it better.

Take a look at our guide about ADHD and debt. It explores how the two are connected and provides some helpful neurodiversity-friendly tips for managing your finances in a way that suits your needs.