10 Proven Money Management Tips to Help People with ADHD
Do you find it challenging to effectively manage your finances because of ADHD? You’re not alone. People with ADHD often find it difficult to control their spending and save money. This leads to a constant struggle between financial goals and impulsive spending.
ADHD does not only affect attention and focus, but also impacts many areas of daily life, such as money management. Studies have demonstrated that individuals with ADHD face an annual financial burden of £1,600 compared to the general population. This is commonly referred to as the "ADHD tax". This is often because of tendencies like impulsivity and disorganisation. Navigating bank statements, budgeting, and savings can feel like an uphill climb, leading many to feel lost and frustrated.
Effectively managing money with ADHD is not just a dream – it's an achievable goal. With the right strategies, individuals with ADHD can take control of their finances and build a financially secure future. By adopting proven tips and strategies, you can develop habits that empower you rather than overwhelm you.
Here are 10 essential tips from our community that can help people with ADHD improve their relationship with money.
1) Set up automatic payments for bills
Setting up automatic payments for your bills can help you manage your money better and avoid late fees. This might mean setting up a direct debit for utilities such as water, broadband, and energy.
Automating payments helps pay important bills on time without having to remember each due date. This is especially helpful for individuals with ADHD.
By using automatic payments, you can avoid penalties, late fees and cancellation notices. It also helps simplify your financial management, so you can focus on other important things like budgeting.
2) Use separate bank accounts to separate out your money for different purposes.
Having multiple bank accounts can help with managing money, particularly for people who struggle with impulsive spending or keeping track of their budget. I use 'fun', 'need' and 'savings' as my main bank accounts.
Having different accounts for different purposes, like one for bills, another for savings, and an extra one for guilt-free spending, helps us have a more organised and effective financial system.
Separating money ensures that funds for essential expenses, such as rent and bills, are not unintentionally spent on non-essential items.
Additionally, having a designated account for "fun" money allows for guilt-free spending while maintaining control over finances.
3) Use specific names for your savings accounts to help discourage impulsive spending.
Giving your savings accounts purposeful names can significantly enhance your ability to resist impulsive spending. Instead of labelling an account simply as "savings," consider more specific titles that evoke a sense of purpose.
Using specific names for savings accounts, like ‘Summer 2025 Holiday’, ‘House Deposit’ or ‘New Car’ can help prevent impulsive withdrawals. When you see "House Deposit" it reminds you of your financial goals and aspirations, prompting you to think twice before dipping into the account for an unplanned purchase.
This strategy helps you focus on your financial goals, instead of getting tempted by short-term wants. It takes advantage of the psychology behind money management to make it easier.
Linking accounts to specific goals helps you prioritise saving over impulsive choices and encourages careful spending.
4) Use “Salary Sorting” to automatically route money into designated accounts.
Salary sorting automatically directs a portion of your salary to specific accounts, ensuring that your bill payments and savings are handled without needing manual transfers.
Direct a portion of your salary to different accounts for your needs, bills, savings, and guilt-free spending as soon as you are paid. This can help simplify your finances. This way, you won't have to constantly monitor your funds.
Simplifying bill payments reduces cognitive load and helps avoid forgetting or accidentally spending money meant for bills.
5) Freeze your credit cards (literally) and remove them from digital wallets.
If you have credit card debt and want to control your spending in a creative way, try freezing your credit cards.
This involves placing your credit cards in a container filled with water and putting that container in the freezer. It might sound strange, but it works!
By encasing your cards inside a solid block of ice, you can create a powerful deterrent against impulsive spending.
While your cards are frozen, remove them from digital wallets like Apple Pay to ensure you can't use them for online purchases either.
This technique allows you to take a pause and think twice before making unnecessary purchases, all while keeping your cards accessible should you need them in a genuine financial emergency.
It's a practical tactic to help you regain control over your finances and reduce the anxiety associated with credit card debt.
6) Prioritise debt repayment: Pay the minimum on all accounts and make extra payments on one debt.
If you have many credit cards or types of debt, it's important to have a repayment plan to stay on track without getting overwhelmed.
Start by making the minimum payments on all your accounts to avoid late fees and protect your credit score. Choose one specific debt to focus on, and direct any extra money towards it, even if it's just an additional £5 per month.
There are two main strategies:
- pay off the account with the highest interest rate first, which can save you the most money in interest over time.
- tackle the one with the lowest balance.
While the mathematical approach favours the highest-interest debt (number 1), I personally prefer and recommend the lowest-balance strategy (number 2).
Prioritising the payment of the smallest balance first can get rid of a debt faster, offering a psychological advantage and tangible evidence of progress, which in turn strengthens your motivation to persist in your debt repayment efforts.
By consistently following this approach, you’ll gradually reduce your overall debt load while fostering a sense of accomplishment along the way.
7) Allocate money for fun, even if it’s just a small amount each month.
When budgeting, it's essential to allocate some money for fun, no matter how small the amount may seem. After all, enjoying life is crucial for maintaining motivation and mental well-being.
Putting aside a portion of your income each month for activities that bring you joy can offer a valuable way to release stress and alleviate the anxiety that often accompanies financial planning and money management.
By allowing room in your budget for fun, you not only foster a healthy relationship with money but also ensure that you remain engaged and committed to your financial goals.
Incorporating joy into your financial journey is key to sticking with it in the long run.
8) When you get a raise, allocate a portion into your savings before adjusting your lifestyle to the extra income.
Whenever you receive a raise, it can be tempting to adjust your lifestyle and indulge in new spending habits. However, a smarter approach is to allocate a portion of that extra income directly into your savings before you even notice the change on your payslip.
By doing this, you not only bolster your financial security but also cultivate a habit of saving that can help mitigate ADHD impulse spending. This proactive strategy allows you to enjoy the benefits of your hard work while simultaneously reinforcing a positive financial routine that promotes long-term financial stability.
Even small contributions to your savings can add up over time, making budgeting a more enjoyable part of your financial journey.
9) Join a Community of Like-Minded Individuals
Managing money can feel overwhelming, especially when dealing with ADHD, but you don’t have to do it alone.
Joining a community of like-minded individuals who understand the unique challenges of ADHD and finances can provide invaluable support.
Our ADHD and Money Management Community has more than 2.8k members. It is a place where people share their successes, struggles, memes, and practical tips for managing money.
Engaging in a community not only helps you discover new strategies but also keeps you motivated. Collective experiences can inspire and help you take control of your finances by providing emotional support and practical advice.
Joining a community can help you improve your money management skills and feel more connected.
10) Make Money Management Feel Like a Game
For those who find traditional budgeting tools dull or overwhelming, gamifying the process can make all the difference.
An app like Rule, designed for people with ADHD, can make money management more enjoyable, fun and engaging.
Rule breaks down financial tasks into small, achievable goals, helping you stay focused and motivated. By having clear goals and monitoring your progress, you can celebrate small achievements using streaks, leaderboards, and in-app rewards.
The app empowers you to manage your budget effectively by turning the process into a rewarding game. It’s ideal for those who struggle with attention and impulsivity.
Apps like Rule make it easier to manage your money and can even make it a fun part of your financial journey.
Conclusion: Take Control of Your Finances, One Step at a Time.
Managing money with ADHD can be overwhelming, but using the right strategies and tools can make it manageable and even rewarding. Automating payments, using multiple bank accounts, and using budgeting apps like Rule can simplify financial management and reduce money-related stress.
Remember, progress doesn't happen overnight. Small, consistent steps—whether it's automating bill payments or renaming your savings accounts—can have a big impact over time.
To have better control over your money, create a structured plan and be mindful of your spending. This will help you avoid impulse purchases, feel more confident about managing your finances, and work towards long-term financial stability.
Start today, and take one step closer to financial freedom.