How to manage money with ADHD

Telegraph

2 days ago

As a financial planner at one of Britain's most high-end wealth managers, Olly Cheng has seen his fair share of clients with attention deficit hyperactivity disorder (ADHD) – not that many of them are aware of it.
'When a client starts telling you about their quirks – like having a cup of coffee before bed – you're almost in the room diagnosing them,' he said.
Mr Cheng, who has ADHD himself, sees familiar tendencies in the ambitious entrepreneurs and chief executives he manages at Rathbones – and he recognises that parents who disclose a child's diagnosis, worried about inheritance implications, may be inadvertently telling him something about themselves as well.
The number of adults diagnosed with ADHD increased 20-fold between 2000 and 2018. After the pandemic, the number of adults seeking a diagnosis climbed a further 400pc, according to the ADHD Foundation.
The condition is characterised by impulsivity, high energy levels and a propensity for being distracted. Perhaps unsurprisingly, if you have ADHD, managing your bills, savings, investments and spending can feel overwhelming.
For Dr Ben Stride, a GP and founder of Think ADHD, an online resource guide, the condition is effectively a 'tax' that needs to be budgeted for.
'People with ADHD often experience difficulty when managing money. This isn't down to carelessness or a lack of motivation, but rather due to differences in brain function that affect self-regulation,' he said.
'ADHD impacts executive functions which include skills like planning, organisation and impulse control.'
Here, experts tell Telegraph Money the tactics anyone with ADHD can use to stop finances getting out of control.
Acknowledge your impulse spending triggers
Being a spectrum, ADHD presents differently depending on the person. 'Those with inattentive-type ADHD may struggle more with missed payments, disorganisation and feeling overwhelmed by their finances,' said Dr Stride.
'Those with hyperactive-impulsive traits may be more prone to risk-taking behaviours such as gambling and credit misuse.'
Different steps can address the condition's various symptoms, so it's important to be aware of what kind of behaviours you're susceptible to.
'ADHD is often associated with emotional dysregulation. Spending money can become a way of coping with low mood or stress, creating a temporary sense of relief, followed by guilt or shame,' Dr Stride said.
'It becomes a self-punishing loop with an impact that can last for years.'
Automate as much as you can
For those with inattentive-type ADHD, modern banking apps can help reduce that overwhelmed feeling at the sheer number of payments you need to remember.
Mr Cheng recommends setting up as many direct debits and standing orders as possible to alleviate the stress of managing bills, savings and credit card payments.
'The more people can get done with direct debits, the better,' he said. 'There's a bit of work to do early, but if you can set payments up and put them to the back of your mind, it's the best possible thing you can do.'