Poverty and mental health may be connected in various ways, and the results of increased stress and lack of resources can be disastrous. Poverty is often a cyclical experience, leaving many struggling to manage mental health conditions or access treatment. Over time, the psychological effects of poverty can include anxiety, depression, and substance use.
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Poverty & Mental Health: What Is the Connection?
Poverty and mental health often play into each other. Reliance on overwhelmed community mental health agencies can limit necessary access to quality mental healthcare, especially for those whose income leaves them ineligible for public health insurance.
In 2021, the Federal Poverty Level (FPL) annual income for individuals was $12,880 in the contiguous 48 states. For a household of three, that level was $21,960 a year.1 This leaves roughly $1,800 monthly for covering expenses, often leaving little funds for unexpected costs or savings. Unfortunately, some individuals must choose between paying rent and seeking mental health services. This increases the rate of those in poverty who cannot access treatment.
How Poverty Affects Mental Health
Poverty can impact mental health in many ways due to stress, lack of resources, and financial struggles. Over time, individuals may experience new or exacerbated mental health disorders or use substances to cope.
“Poor mental health may affect economic well-being: When someone has depression, it can be hard to earn a living, because it is hard to get out of bed, relationships deteriorate, and you may even lose your job. As a result, people drift into poverty. Conversely, poverty may lead to poor mental health—it can be depressing if you can’t provide the life you want for your family and yourself.”
Johannes Haushofer, Assistant Professor of Economics, Stockholm UniversityPoverty & Anxiety
Poverty increases various family and individual stressors that can contribute to anxiety symptoms. Many may struggle to obtain food, maintain housing, and earn income, thus increasing worries about the future. These familial and personal pressures can also translate into high blood pressure, poor nutrition, and other health issues. According to the Anxiety and Depression Association of America, 8.7% of impoverished individuals report severe psychological distress.4
Poverty & Depression
Poverty can worsen symptoms of depression. For example, losing a job or work hours can create many complications for someone whose income is below the poverty. In turn, they may experience suicidal thoughts or severe depressive episodes. Ensuing medical bills or emergency services can further impact these individuals financially and feed into the cycle of poor mental health.
Poverty & Substance Use Disorders
The CDC reports heroin use is almost three times more prevalent in families with annual incomes below $20,000 than families with incomes above $50,000.5 Substance abuse lends itself to poverty and sometimes causes poverty. At the same time, some may self-medicate with alcohol or drugs due to the stressors of poverty, possibly contributing to further use or abuse.
Child Poverty & Mental Health
Poverty can affect child development in two crucial ways. Socially, these impacts stem from access to services, education, and opportunities. Children with limited access to services, education, and opportunities have less chance of success later in life. They also often have higher stress and are likely to continue a cycle of poverty in adulthood.
From a health standpoint, poverty affects children through aspects of Social Determinants of Health (SDOH). SDOH refers to access to food, transportation, safe living conditions, education, and support. Poor living conditions and food quality can lead to long-term health conditions such as obesity, diabetes, and chronic stress.
How Mental Illness Increases the Risk for Poverty
Unmanaged mental health can lead to poverty depending on access to services and the severity of the mental health condition. Those with debilitating mental disorders may be unable to work because of their symptoms, therefore relying on public benefits such as SSI and Medicaid.
Moderate mental health conditions may affect the ability to work, such as interruption in hours or the type of work one can tolerate/perform. Because of this, some people find their earning potential is significantly limited. Other responsibilities, like maintaining housing or paying utilities on time, may impact financial stability, leading to homelessness, debt, and poverty.
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Barriers to Accessing Mental Health Treatment
Barriers to accessing mental health treatment also relate to SDOH, including access to services, education on healthcare, and the ability to navigate the healthcare system. Many impoverished populations live far from resources and lack the transportation necessary for attending and maintaining treatment. Mental health services are sometimes expensive, especially if you fall outside poverty levels and must meet deductibles or do not have insurance. Medications often have copays that can impede those living paycheck-to-paycheck from seeking support.
What Steps Are Being Taken to Address These Issues?
Many municipalities and states are changing services offered to people with disabilities and mental health conditions, such as expanding Medicaid. Also, many insurance companies are implementing care management services to help members address SDOH.
Additionally, more employers offer benefits like employee assistance programs that can help improve access to mental health services. The explosion of telehealth also brings services (often at a discount) to people who may not otherwise have access.
How to Find Affordable Mental Health Care
You can likely qualify for public benefits in your state if your income falls below the poverty line. Ask your local Medicaid office for more information about available services. If not, you may get a discounted health insurance plan through healthcare.gov. Obtaining health insurance opens up access to many otherwise difficult-to-access mental health services.
A quick Google search of “Community Mental Health Near Me” can bring local agencies that offer discounted or free mental health services. Many agencies may help you obtain Medicaid if they provide case management services.
Finally, you can look for sliding scale services if you cannot afford treatment or qualify for Medicaid. These are therapists and counselors who offer discounted rates for people based on things like income or need. Some networks exist to help connect people with these therapists, such as Open Path Collective.
In My Experience
“The essential thing to know about poverty and mental health is they play into each other. When you start addressing one, the other often improves. Your mental health can affect finances and decisions more than you realize. Ensure you receive and cooperate with treatment if you have a mental health disorder. Remember, long-term solutions, such as saving and cutting spending, are not always appealing. However, making smart decisions about your expenses, housing, and other essentials will positively impact your life and mental health.”
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Impact of Poverty on Mental Health Infographics
