Have you ever started thinking about money (the money you’re short on, the money that isn’t coming in, all the things you have to pay for…) and started feeling overwhelmed and exhausted, as if you ran out of battery just when you needed it most?
It’s no coincidence. Neuroscientists have confirmed that your brain is really working overtime. Worrying about money and making ends meet isn’t just a practical problem; it also represents a significant mental burden.
Empty pocket, saturated mind
It’s not simply about not having money, but about feeling like you don’t have enough ; in other words, it all revolves around the perception of scarcity. Recently, neuroscientists at Wannan Medical College experimentally induced this feeling of scarcity in a group of people by having them imagine scenarios in which they didn’t have enough money and then evaluated their performance on tasks that required the use of executive functions: cognitive flexibility, attention control, and decision-making.
While the participants performed these tasks, the researchers monitored their brain activity. The result? People who thought about money problems performed worse cognitively. Brain regions linked to executive control and attention functioned less effectively.
In other words, the brain was so preoccupied with managing the threat of scarcity that it had fewer resources available for everything else. And that led participants to make more mistakes, think more slowly, and make worse decisions.
When money hijacks your attention
Being worried about money activates a kind of permanent mental radar. Your brain starts scanning for anything related to scarcity: bills to pay, high prices, products you can’t afford, intimidating future expenses…
As a result, scarcity captures your attention, literally. The problem is that attention is a limited resource, so if you focus too much on money, you’ll have little “bandwidth” left for everything else.
At that point, a domino effect occurs because less available attention leads to worse executive control, resulting in more impulsivity, more forgetfulness, and more irrational decisions that can, in turn, worsen your financial situation. And all because your brain is overloaded with worry about money.
An exhausted brain makes worse decisions
The term “brain energy” sounds very metaphorical, but it actually describes a very real phenomenon: cognitive resources are finite. In fact, other studies have shown that worrying about money puts the mind into “survival mode.”
What does that mean in practice?
First and foremost, it means that when mental resources are strained, the brain tends to seek the quickest and easiest path. This translates into greater impulsivity . You might decide faster, but your choices will be less considered and more focused on reducing immediate discomfort, even if they harm you in the long run.
Another well- documented effect of money worries is the impairment of short-term memory, which you use to retain information while you’re engaged in a task, such as a conversation or problem-solving. Scarcity acts as a constant background noise that takes up mental space.
When your mind is filled with calculations, worries, and semi-catastrophic future scenarios, remembering instructions, dates, or steps becomes much more difficult. As a result, you miss important details and make more mistakes. The problem isn’t memory itself, but rather that your mind is overloaded. In the long run, all of this narrows your mental focus.
Basically, thinking about economic problems causes:
- Attentional neglect (you miss important things)
- Increased impulsivity (thoughts such as: “I’ll buy it now and will see later”)
- Memory lapses (because you’re not paying enough attention)
- Difficulty planning for the long term (you prefer to alleviate immediate discomfort)
- Irrational decision making
This creates a very dangerous vicious cycle: lack of money affects your thinking, leading you to make bad decisions that can worsen your financial situation. Essentially, your brain operates in extreme savings mode… precisely when you need maximum efficiency.
The myth of “if you want it, you can”
This type of research dismantles the deeply ingrained idea that bad economic decisions are mainly due to a lack of self-control, ignorance, or laziness.
And that’s not the case. Often, it’s due to a brain fatigued by scarcity.
When mental bandwidth is reduced, thinking becomes more rigid, short-sighted, and less strategic. Nobody makes good decisions when they’re exhausted – not financial, emotional, or life-related.
Obviously, scarcity is amplified by structural problems; that is, when the system creates obstacles everywhere (economic inequality, limited access to quality education, precarious healthcare systems, or scarce job opportunities). These conditions raise barriers that are difficult to overcome with willpower or a positive mindset alone.
No matter how hard you try, if the rules of the game are made so that some always start with an advantage and others with a disadvantage, your brain will be forced to survive with what it has, and that limits your ability to make optimal decisions.
So, how do you stop worrying about money?
First, something fundamental: stop blaming yourself. If thinking about money leaves you exhausted, don’t assume it’s a personal failing; it’s an understandable neuropsychological reaction when living under constant financial pressure and in a structurally unequal context.
Second, understand that easing your mental load (even just a little) can make a big difference. Research conducted at the University of Singapore found that simply reducing debt improves cognitive function, decreases anxiety, and helps people enjoy the present more.
- Create a visual and simple budget. Having an app where you can clearly see your income, expenses, and savings will prevent you from constantly replaying those numbers in your head. This will free up your attention and working memory.
- Set automatic spending rules. For example, you can decide that every time you get paid, you’ll set aside 10% for savings or that you won’t spend more than X on leisure activities. Having predetermined rules reduces impulsive decisions that can lead you to overspend.
- Establish review routines. Try to consolidate your financial decisions so you don’t have to think about them constantly. For example, you can review utility bills on the same day or dedicate 30 minutes a day to reviewing your accounts, so you can focus on other things the rest of the time.
Obviously, whenever possible, having an emergency cushion (even a small one) also reduces the feeling of worry and constant alertness.
Finally, it’s worth remembering that money isn’t just an economic problem, but also a mental burden that affects cognitive function and well-being. A lack of resources not only empties the bank account, it also exhausts the brain. And that costs us much more than we realize.
References:
Huang, L. et. Al. (2023) Consequences of scarcity: the impact of perceived scarcity on executive functioning and its neural basis. Front. Neurosci.; 17: 10.3389.
Zhao, J. & Tomm, B. (2018) Psychological Responses to Scarcity. Oxford Research Encyclopedia of Psychology; 10.1093.
Ong, Q. et. Al. (2018) Reducing debt improves psychological functioning and changes decision-making in the poor. PNAS; 116 (15) 7244-7249.
Mani, A. et. Al. (2013) Poverty Impedes Cognitive Function. Science; 341(6149): 976-980.
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