National Financial Awareness Day: Take Notice

August 2, 2025

August 1, 2025

While the exact origin of National Financial Awareness Day remains unclear, it first began gaining traction in the United States around 2019. The purpose of the day is simple but profound: to encourage individuals to take control of their financial lives through education, planning, and consistent action.

In a world where money often feels like a source of stress rather than security, Financial Awareness Day offers a chance to rethink that narrative. It reminds us that financial literacy isn’t reserved for the wealthy or those with formal training in economics. Anyone—regardless of background or income level—can develop the habits and knowledge needed to build a more stable financial future.

From saving and budgeting to investing and retirement planning, this day is about empowering people to make money work for them, not the other way around.

The Link Between Money and Mental Health

It’s impossible to talk about financial awareness without addressing its deep connection to mental health. Financial stress can be emotionally and physically draining, especially for those navigating job loss, debt, or rising living costs.

Here are a few ways financial hardship commonly affects mental and emotional wellbeing:

1. Anxiety and Depression

People facing persistent money worries often experience anxiety about how to pay bills or manage day-to-day expenses. According to a report from the World Economic Forum, those in lower-income brackets are up to three times more likely to suffer from depression and anxiety than those with financial stability. The fear of losing housing, falling into deeper debt, or not being able to afford basic needs creates constant pressure, which can easily take a toll on mental health.

2. Chronic Stress and Illness

Living in a state of financial uncertainty isn’t just mentally exhausting—it can also lead to physical health issues. Chronic stress is linked to higher blood pressure, sleep disturbances, and even cardiovascular problems. For people who grew up or live in poverty, the emotional stress can feel like PTSD symptoms.

3. Limited Access to Care

Mental health care in the U.S. can be expensive, and those facing financial hardship often struggle to access the support they need. Insurance coverage might be limited or non-existent, and out-of-pocket therapy costs are a non-starter for many families. This gap reinforces a cycle where financial stress leads to mental health decline—without the resources to break that cycle.

How to Recognize Financial Awareness Day in a Meaningful Way

Whether you’re just starting out or are already well into your career, it’s never too late to improve your financial health. Financial Awareness Day is a great time to assess where you are—and take a few steps toward where you’d like to be. You don’t need to overhaul your entire financial life in one day, but small actions can lead to big change over time.

Here are a few practical ways to observe the day and strengthen your financial foundation:

Start Saving—Even a Little

Open a dedicated savings account and commit to regular contributions. Even $10 a week adds up over time. Many experts recommend saving at least 20% of your income, but if that’s not doable right now, just start where you can.

Cut Back on Spending

Track your daily expenses and look for small areas to cut back—whether it's eating out less or canceling unused subscriptions. Redirect those savings toward your emergency fund or debt repayment.

Improve Your Credit Habits

Avoid carrying a high balance on your credit cards and aim to pay them off monthly. Try not to exceed 30% of your credit limit on any card. Set reminders for due dates or use automatic payments to avoid late fees and interest charges.

Begin Investing

You don’t need thousands of dollars to get started. There are plenty of beginner-friendly investment platforms that allow you to invest spare change. Start with low-risk investments and diversify as your confidence and knowledge grow.

Create a Budget

A good budget gives you visibility and control. Use a spreadsheet, notebook, or one of the many free apps available to create a monthly plan. Once you know where your money is going, you’ll be in a better position to make intentional choices.

Plan for Retirement

Even if retirement feels far off, the earlier you start saving, the better. Aim to contribute 10–15% of your income to a 401(k), IRA, or other retirement account. If that feels like too much, start small and gradually increase your contributions as your income grows.

Final Thoughts: Progress Over Perfection

Financial Awareness Day isn’t about becoming an overnight expert or hitting some arbitrary net worth. It’s about taking a step forward—however small—that moves you closer to financial security and peace of mind.

Whether that means setting up a savings account, learning how credit scores work, or just making one less impulse purchase this week, every action counts. Celebrate this day by committing to a better financial future—not just for yourself, but for your family and community too.

Your financial wellness journey doesn’t have to be perfect. It just has to start.

Sources:

https://www.vfccu.org/assets/articles/DEI/National-Financial-Awareness-Day.pdf

https://nationaltoday.com/national-financial-awareness-day/

https://nationaltoday.com/national-financial-awareness-day/