Financial hardship, positive financial behaviour, and behavioural health outcomes among U.S. soldiers

Abstract

LAY SUMMARY Financial hardship, such as difficulty paying for expenses or having to borrow money from family and friends to pay for needs, is of concern for several reasons, including how it affects mental and physical health. The authors wanted to provide more detailed information on which aspects of health it affects and were also curious about whether positive financial behaviors affected the health of military personnel. This study found that service members who reported more financial hardship also reported higher levels of depression, anxiety, posttraumatic stress disorder, insomnia, and physical aggression, poorer general health, and less sleep. However, positive financial behaviors had little effect on any of the health outcomes. Findings suggest that focusing on reducing financial hardship will be more effective in improving mental health than encouraging positive financial behaviors. This research has implications for the ongoing military efforts to improve financial literacy and reduce financial hardship.