Workaholism: Why do we do so much for money?

Lilian Yoffe

“We’ve each given the hours of our lives in dull rote jobs for other men’s profit, and have been asked to be grateful for doing that.” – Charles Bukowski

As we enter September, Labour day acts as a symbol for the last day of summer break and the beginning of another work term. It can be a bittersweet moment as we come to the realization that months of freedom is coming to an end. But when this work grind continues to overpower one’s emotional and physical stability, it can become more problematic than you think. When we live in a society where working long hours is viewed as the norm and even is praised, leading to a mindset where work is the determinant of one’s value and worth. In this transitional period, when our priorities and needs are shifting, the importance of reorienting oneself along their values cannot be stressed enough.

In 2019, nearly half of the population in the United States identified themselves as workaholics.¹ Is this surprising? Not really, as we have discussed the socially constructed idea surrounding work and also oneself being potentially detrimental. Workaholics have a hard time detaching themselves from work, wherever they go.² Although there is no one concrete reason as to why people start having desires to uncontrollably work constantly, some have associated this type of behaviour to one’s fatuation over becoming the work-martyr, and also to the 5 big personality traits. Interestingly, a study concluded that conscientiousness, extraversion, neuroticism and openness are positively correlated to workaholism.³ Additionally, many researchers have pointed out the underlying cause of workaholism as an attempt to escape the harsh reality we are in, on top of avoiding the topic of one’s emotions throughout life.

When the motive to work is to avoid your own reality, it can be damaging physically, psychologically, and emotionally. It goes without saying that many workaholics also suffer from depression, stress, anxiety and sleep deprivation.² It is the constant internal reminder that anything in excess, including work, is detrimental. The goal can be earning a lot, yet this type of lifestyle can eventually be extremely harmful that one decides to step away from the workforce. Whether it be draining one’s physical and mental health, or damaging relationships outside of the context of work, workaholism affect many in different ways and as we enter September, it is crucial to acknowledge the possibility of slipping into habits of overworking.

However, workaholism is not just about cutting down the hours. One must realize the significance of separating life and work, but also have the mental energy and capacity to face reality as it is and resist the impulse to hide behind work. This is the hard part.

Acknowledging one’s emotions can be difficult, especially for those who have never really have gone through self-reflection or value reason much more than emotions. Nevertheless, emotions are a big part of who we are today and ignoring it do more harm than good to all of us.

Q: Am I working with a purpose?

Q: Do I enjoy working, but do I also make time to spend alone time / time with family and friends?

Q: When was the last time I sat down and reflected on myself?

These are a few questions that can help us track back to our values before we become overwhelmed and consumed by our work. Just like working out, the workforce needs rest days too.

1. Schmall, T. (2019, February 2). Almost half of Americans consider themselves ‘workaholics’. New York Post. https://nypost.com/2019/02/01/almost-half-of-americans-consider-themselves-workaholics/.
2. Brummelhuis, L. ten B., & Rothbard, N. P. (2018, June 14). How being a workaholic differs from working long hours – and why that matters for your health. Harvard Business Review. https://hbr.org/2018/03/how-being-a-workaholic-differs-from-working-long-hours-and-why-that-matters-for-your-health.
3. Andreassen, C. S., Hetland, J., & Pallesen, S. (2010). The relationship between ‘workaholism’, basic needs satisfaction at work and personality. European Journal of Personality, 24(1), 3–17. https://doi.org/10.1002/per.737
4. Seybold, K. C., & Salomone, P. R. (1994). Understanding workaholism: A review of causes and counseling approaches. Journal of Counseling & Development, 73(1), 4–9. https://doi.org/10.1002/j.1556-6676.1994.tb01702.x

As we enter August and approach Labor day in September, it serves as a reminder for all of us that another school year is starting. Whether it be for a worker, student, or parent, it can act as a transitional time period where it is a new beginning. However, this year’s “back to school” era is a little different for all. After a whole year and a half of the pandemic, many experienced major changes, psychologically and financially. In many countries including the United States and Canada, industries are aiming for the following year to be close to where we used to be, or almost “back to normal”. However, we are all aware of all the adjustments we have made and continue to make to tackle the pandemic. Despite its positive connotation of society’s return to its past state, we are continuously reminded of the losses and the changes of the past year. With an altered mindset due to the urgent need to readjust to a new reality, this year’s “back to school” season will look different.

In the U.S., the unemployment rate rose from 3.8% in February of 2020 to 13.0% in May of 2020.1 Internationally, the pandemic provoked the loss of 225 million jobs. Many people experienced an unprecedented loss of jobs and income. A financially and psychologically traumatic incidence in addition to the already existing pandemic which is extremely distressful on its own. A study by Griffiths reported an association of poor mental and physical health with job loss during the pandemic.2 This trend can be credited to the lack of social interactions and also a decrease in financial assets. It is quite frightening to see the number of people whose life was flipped upside down int he matter of days. Additionally, some have been able to work from home for the past year and a half and this return to normalcy can induce a different kind of stress. While working from home was an adjustment in itself, returning to an office is also another adaptation that can be uncomfortable for some workers.3 However, the fear of financial instability is another strong and prevalent factor that one cannot ignore, especially after the past year.

Similar to these workers, students at all levels have encountered various obstacles due to the pandemic. For students, socialization is critical for their development, especially at young ages. For post-secondary students, as student debt was already a recurring issue for many, the pandemic had an adverse effect on their sense of financial security. According to a survey conducted by Temple University, one out of three students had lost their job due to the pandemic.4 Additionally, the 2020 College Student Financial Survey reported that approximately 13.3 million undergraduate students disclosed that the pandemic has changed their outlook on their financial status in the future.5 While the excitement of being able to return to in-person classes and resume a semblance of normalcy is immense, the financial stress can be a large factor in their decision-making. Maintaining a balance between the excitement of returning to a social realm and money issues that have accumulated over the past year would be crucial in establishing a healthy relationship with money.

What does this mean to all of us?

This means that regardless of where you are in life, there is a level of adjustment we must go through. The psychological damage that has been done over the past year can translate into financial stress, especially during this transitional season. While some men think that forgetting what happened in the past year and a half is the best solution, that is unfeasible and would also not be as helpful as we think. Learning from what we have gone through individually and as a society can help us acknowledge and understand the emotional trauma from the past and manage financial behavior in the future. Strategies such as:

⦁ Acknowledge the experiences in the past and do not underplay it
⦁ Fully be aware of the changes that may come your way as much as possible

There is no way to predict all the emotional turmoil that this new transition can bring, psychologically and financially. However, the unfamiliarity and uncertainty of money decisions are bound to happen for all. It is crucial to accept the emotions surrounding these decisions before shutting them out and just solely focusing on the quantitative aspect of money. Welcome to back to school, but more like back to the new normal.

⦁ Kochhar, R. (2020, August 26). Unemployment rose higher in three months of COVID-19 than it did in two years of the Great Recession. Pew Research Center.

https://www.pewresearch.org/fact-tank/2020/06/11/unemployment-rose-higher-in-three-months-of-covid-19-than-it-did-in-two-years-of-the-great-recession/.

⦁ Griffiths, D., Sheehan, L., van Vreden, C., Petrie, D., Grant, G., Whiteford, P., R Sim, M., & Collie, A. (2020). The impact of work loss on mental and physical health during the Covid-19 pandemic: Findings from a prospective cohort study. Journal of Occupational Rehabilitation, 31, 455–462.

https://doi.org/10.1101/2020.09.06.20189514

⦁ Caine, P. (2021, March 11). After a year of remote life, new anxiety emerges: Returning to work. WTTW News.

https://news.wttw.com/2021/03/11/after-year-remote-life-new-anxiety-emerges-returning-work.

⦁ Saul, S. (2021, April 1). For many college students, pandemic life is disappointing. for others, it is a financial crisis. The New York Times.

https://www.nytimes.com/2021/03/30/world/college-students-economic-struggle.html.

⦁ Dickler, J. (2020, August 31). Due to PANDEMIC, more than 13 million college students are worried about their financial future: Study. CNBC.

https://www.cnbc.com/2020/08/31/majority-of-college-students-are-worried-about-money-due-to-covid-19.html.

Marissa Pasquariello

“Financial independence occurs when you’ve saved enough to support your current spending habits for the rest of your life without the need to earn more money.” – JD Roth, one of the original personal finance bloggers. This may be true for some and different for others, but why is financial independence so important? The “how” and the “why” behind wanting to achieve financial independence varies from person to person. By being financially independent, not only have you gained greater financial security, but you also reduce stressors revolving around your finances and are able to work and live on your own terms (i.e. you have a good grasp of your own emotions surrounding money). Thinking long-term curates a mindset of accumulating wealth to achieve financial independence. Our paychecks do not directly translate to our wealth. In other words, our income does not define our wealth. There are a variety of factors that allow one to accumulate wealth including: seeking a promotion, ensuring job security, diversifying income sources and seeking private investments, to name a few. However, accumulating wealth should not be synonymous with damaging yourself emotionally. When investments and financial plans overtake your daily routine, that is when you know it is time to re-evaluate your relationship with money.

Investing is a great way to make your money work for you. Similarly, it is a way to gain control of your financial security and grow your wealth to generate an additional stream of income. To get good returns, it is common to invest in a savings account, liquid funds, land, gold, and even artwork. Additionally, investing in the financial market is also a common occurrence for all ages, starting with high school or college students, to retired elders. While it may have a sophisticated ring to it, it can be psychologically damaging to continue a certain lifestyle that fits the “ideal” investor stereotype. Overconfidence, when investors are excessively self-assured about their decisions, can be one of the causes of a poor lifestyle surrounding money where no decision is being doubted or questioned solely due to the fact that a confident individual has made the choice. On the other end of the spectrum, fear of losing money may override any kind of rational thinking. Prioritizing financial gain over emotional, physical, or cognitive health can be dangerous and may lead to establishing many unhealthy habits surrounding money that would lead in the opposite direction of financial independence.

Although investing to increase your wealth is important for financial independence, as discussed above, it is just as important to invest in yourself. It is easy to invest “externally”, gaining tangible returns; however, investing “internally” can be just as beneficial.

Just like investing “extenterally”, investing “internally” can manifest in a variety of forms. By investing in yourself, you are developing a mature mindset and preparing for an unknown future. Once it is understood that lifelong learning is needed to grow, adapt to become accustomed to potential new seasons in your life, you will be amazed at the strides you make financially and within yourself. By developing a growth mindset, you rid yourself of the fear of failure. This is because you know that valuable lessons will be made in the process and may better prepare you for circumstances down the line. Not only will this leave you better equipped to handle conflicts in your relationships, but also in the workforce and in day-to-day life.

Our financial decision making is influenced by cognitive processes. Research in behavioural finances demonstrates that the decisions we make dictate individual investors’ wealth. However, the psychology that generates the observed patterns of saving, trading and investing behaviour remains unclear. Investing into your wellbeing now can reap long-term benefits. For example, by investing in better habits, you may increase your 1. health (allowing for a fuller life) 2. enhance your sleeping habits (impacting your cognitive health and energy levels) 3. change your attitude and outlook (increase your mood and better relationships) 4. adapt your mindset (spending time being creative, learning a new language) 5. make time for others (volunteering, enhancing relationships). Most importantly, you have a better understanding of your own emotions, which is where financial behaviours stem from.

Similarly, investing in your future can slip into the category of internal investing. Working toward your education and career can be considered investing. Although education does not guarantee wages or wealth, it forms connections, betters oneself and makes one better equipped to face obstacles. The realization that one’s self worth carries more value than any aspect of financial worth can be learned from experience but also through education and gained knowledge. From a student perspective, you may be financially independent by supporting yourself. You do not need to be a billionaire to understand what it means to be financially independent. It acts as a cycle: if you cannot invest “internally”, and manage your emotions surrounding money, it becomes extremely difficult to understand or apply investments outside of yourself. Those investments translate into quantitative and qualitative aspects that you may use as assets in the future.

Overall, external investing is simply not enough to reach full financial independence. Independence is not just about having enough money to sustain yourself or make ends meet. Likewise, great finances do not ensure happiness or fulfillment. Investing is not inherently evil but without care and by only looking for external investments, it can become emotionally taxing.

Investing “internally” is just as important as investing eternally. Some ways to invest in yourself include:

– Keeping money and self-worth separate
– Have an emergency plan
– Learn to accept your emotions before questioning your judgements

Therefore, there must be a balance of both external and internal investments. In other words, investing in both your finances and yourself, will lead you to the point of financial independence without money becoming a burden in the process.

Burns, S. (2020, May 6). 5 reasons you need to invest in yourself as much as your business. Forbes. https://www.forbes.com/sites/stephanieburns/2020/05/06/5-reasons-you-need-to-invest-in-yourself-as-much-as-your-business/?sh=3c2449814a3b.
Chen, S. (2021, January 7). Achieving financial independence at any age. Forbes. https://www.forbes.com/sites/stephenchen/2019/02/11/achieving-financial-independence-at-any-age/?sh=188a14565a62.
Frydman, C., & Camerer, C. F. (2016, August 5). The psychology and neuroscience of financial decision making. Trends in Cognitive Sciences. https://www.sciencedirect.com/science/article/pii/S1364661316300997.
Gardner, C. (2020, June 4). Top benefits of financial independence: United Advisers. RSS. https://www.unitedadvisersgroup.com/benefits-of-financial-independence/.
Kennon, J. (2021, June 3). Understand wealth and become financially independent. The Balance. https://www.thebalance.com/achieve-financial-independence-358175.
Shimkus, D. (2019, August 8). How investing in yourself today will set you up for career Success Tomorrow. Forbes. https://www.forbes.com/sites/darrenshimkus/2019/08/07/how-investing-in-yourself-today-will-set-you-up-for-career-success-tomorrow/?sh=2f6f74ea71b3.

The link between money and value has been well established by the field of economics. But correlation of money and personal value as a function of self-esteem and self-worth has largely remained unexplored. In North America, one of the leading capitalist society in the world, economic and financial values are tied to the worth of an individual, despite the multitude of qualities that person may possess. Since the late 1900’s, the American economic expansion has resulted in the current system, where accumulation of wealth is synonymous with process and growth.1 If history has shown us anything, it is that rendering humans to a series of numbers is anything but good. By understanding how money can be used judiciously, we can begin to reassociate the pricelessness of individuality to human value. This can help us understand that financial independence can be achieved without having countless streams of incomes, or having the status of a billionaire. We can contextualize what financial independence means by looking at the aspects of money that relate to each of our unique experiences. In other words, how much is enough for each of us, individually.

Financial independence can mean one has enough wealth to live comfortably without working for the rest of their life.2 That is the meaning of independence from a purely wealth-based point of view; how much money one has accumulated. However, it can also represent one’s ability to manage their money well, allowing them to live a relatively comfortable life. This psychological perspective takes into account one’s spending habits, cultural narrative, socio-economic factors, and many more layers, demonstrating that independence can be achieved without tons of money. We will be focusing on the latter standpoint of financial independence.

Spending and earning are the baselines of managing one’s finances. As people start working, they understand the value of money by earning independently as well as spending a set amount on their needs and wants. Establishing a healthy financial habit does not only encompass the significance of earning, but it also emphasizes how keeping spending under control is a preventative measure for looming financial trauma. Financial well-being does not have to revolve around a minimalist lifestyle. It is a balance to be established around your necessities, as well as one’s physical and emotional health. Therefore, one’s financial independence is unique to each person’s situation. For instance, when comparing a student to an entrepreneur, financial independence will look different for each, seeing that their priorities and financial status are unalike to say the least. While the mentality of success might be present in both cases, spending money on traditional education, in this case, is a cost that an entrepreneur would not think of. Conversely, the student is not burdened by the need to reinvest into their business even at the expense of one’s own financial independence. The earning capacity of a student varies from what an entrepreneur can earn. Cultural backgrounds and upbringing also affect one’s outlook on their definition of financial success and independence. Knowing that a financially fulfilling and sufficient lifestyle is unique to each individual is crucial in managing their spending.

For many, financial independence as described above is feasible. However, changing certain habits throughout this personal journey can be the most challenging aspect of attaining financial independence. Change in behaviour is quite complex due to the unfamiliarity when implementing a new set of habits.3 Scientifically, once a neuronal pattern of firing has been formed with a set of habits, it is then ingrained in our brain. Difficulty of breaking financial habits comes with psychological pressure we put on ourselves in order to make changes in our behaviour.4 The result is negative emotional experience accompanied by self-judgement, guilt, perfectionism and fear. Moreover, acknowledging and learning how to tackle the obstacles that come our way during this change is also important when trying to improve one’s financial habits.4 When we face a hurdle in this process, our internal critique come out to label these unwanted behaviours as lazy or stubborn.4 However, it is in these exact moments that self-care, self-reflection, and problem-solving skills are required, to get through the impasse. It is not necessarily perfection that can establish a healthy relationship with money, rather starting with small changes in order to create a habit that is conducive to one’s lifestyle.

Overspending and underspending are financial behaviours that many partake in despite its potential damage to one’s financial, mental, and physical health. In many cases, these behaviours mask the true source of these actions, such as stress, psychological pain, or trauma. Adopting a new habit not only tackles the superficial problem of spending too much or too little, but it also addresses the psychological source of the behaviour. Understanding the “why” behind this new habit will make it a lot easier to continue managing and implementing these new actions and not do them mindlessly.

When do you know you are financially independent?

If you are solely looking at the number, it is quite simple to see if you can maintain a comfortable lifestyle with the current saving. However, from a psychological perspective, financial independence is not a moment or a day. It is a continuous action, a lifestyle, to build a healthy relationship with money in ways that you are in control.

– Acknowledging bad financial habits and replacing them with good ones
– Separate money from your worth
– Know what is financially enough for you
– Stop comparing yourself to others

These are a few pointers to start us all on our way to financial independence. Our inclination of using money as a measure of growth and self-worth is embedded in our society. Neglecting the importance and power of money will not do us any good. It’s weight, however, should never exceed one’s worth nor ability to think for oneself.
1. Cook, E. (2017, October 20). How Money Became the Measure of Everything. The Atlantic. https://www.theatlantic.com/business/archive/2017/10/money-measure-everything-pricing-progress/543345/.
2. Probasco, J. (2021, July 1). Declare Your Own Financial Independence Day. Investopedia. https://www.investopedia.com/financial-edge/0611/declare-your-own-financial-independence-day.aspx.
3. Call, M. (n.d.). Why is Behavior Change So Hard? https://accelerate.uofuhealth.utah.edu/resilience/why-is-behavior-change-so-hard.
4. Jaffe, A. (n.d.). Why Is It So Hard to Change Bad Habits?Adi Jaffe Ph.D. Psychology Today. https://www.psychologytoday.com/ca/blog/all-about-addiction/201903/why-is-it-so-hard-change-bad-habits.

Money is quantifiable, humans are not

It has been three months since you have been laid off your job. In the first two or three weeks, you were able to manage to pay all your monthly bills: rent, electricity, food, and so on. However, you are entering month three. It is getting harder and harder to make ends meet and the inadequate income has finally caught up. Now, it is not a question of if you can buy new clothes and afford to go to a nice restaurant once a month, but rather “how am I going to feed myself this month”. The urge to call your friends and family is shadowed by a strong sense of shame and guilt.

While the scenario written above devastating, it is not a rare nor an irregular story. It is something that happens to countless adults for an extended period of time, leading to financial trauma. When an American survey reports that about three quarters of adults experience stress regarding finances, it comes as no surprise that the compounding of stress snowballs into symptoms of PTSD. However, the disconnect between money and our emotions creates a lack of acknowledgement in how these intrapersonal and interpersonal financial issues are dealt with. While the problem might stem simply from money, financial health is not just about quantitative data. It is about having a stable and healthy relationship.

Financial trauma, as Brianna Wiest writes, is caused by the effects of one’s income being insufficient for the expenses for a long period of time.¹ Not only does it affect our emotional state, but it also negatively influences our physicality and our cognitive functions. When we are faced with financial stress, the autonomic nervous system in our body signals the body to react in one of three ways: fight, flight, or freeze. As these responses are not suggestive of a healthy and balanced reaction to prolonged distress, it makes it quite clear that our response to financial stress can lead to grave and alarming emotional responses. Economic hardship as a child or inability to secure a stable income as an adult are one of many situations in which it can lead to financial trauma.²

Similar to PTSD, depression is also commonly seen in those who endured financially traumatic experiences.³ The cyclic nature of depression can stem from the recurring and overbearing thoughts of shame and guilt that is often caused by one’s financial instability. The stigma surrounding money prevents people from acknowledging and addressing their financial worries and issues with professionals and these issues are often kept bottled up. This further pushes people into lethargy and continues the cycle of depression.⁴  Galen Buckwalter, who is an expert in financial trauma, emphasizes that as our stress system was developed way before money become an integral part of our everyday lives, our body’s response to financial stress is not transient like it would have been when we’re chased by a bear, but rather continous.¹ Unlike a sudden stress trigger that is momentary, this consumes our body every second of the day.¹

Additionally, when society establishes a financial hierarchy where the higher you are, the better off you are, many start to associate these different levels with one’s worth. The more money you have, the better you are as a person. In retrospect, we know this is far from the truth and an extremely myopic way of looking at self-esteem. However, the coupling of money and self-worth is a result of social conditioning that is prevalent yet harmful.⁵ The danger of this association is that we start to evaluate ourselves by using a single number (ex. income) and as transient being that is easily replaceable, such as being cut from a job. In times of low financial stability, questioning our self-worth often becomes an additional stress factor that can contributes to the accumulation of distress and damage. When our goal to overcome this chronic stress of finance seems unachievable despite the hard work, this traumatic experience leads to symptoms similar to those of PTSD.

Is there an end to this?

Money is an integral part of our lives but more importantly, it is crucial to understand that they do not define our worth.

A healthy relationship with money is not synonymous with perfection. A recovery from financial trauma is completely possible with addressing the core issues that lead to chronic stress. While budgeting and planning are important aspects of recovery, respecting and acknowledging our emotions is a vital aspect of truly accepting ourselves. When we are more familiar with our feelings, it becomes easier to identify emotions in various financial situations. Some may think pushing our emotions aside and relying on our logic is the only way to go; however, this can lead to both psychological and physical distress, which is something we want to avoid. Some ways of facing chronic financial stress and trauma include:

1. Respecting our emotions and acknowledging them
2. Keeping a budget and trying to aim for transparency for yourself
3. Talking to family, friends, or professionals

Our emotions are a crucial aspect of who we are. It is important to include them in the conversation, even when we’re talking numbers.

1. Wiest, B. (2021, January 7). Financial Trauma Is A Reality For One Third Of Millennials, This Expert Explains How To Recover. Forbes. https://www.forbes.com/sites/briannawiest/2019/04/04/financial-trauma-is-a-reality-for-one-third-of-millennials-this-expert-explains-how-to-recover/?sh=7cb2dc38130c.
2. Polizzi , M. (2021, April 29). Growing Up Poor Can Cause Long-Lasting Trauma-Here’s How You Can Overcome It. Health.com. https://www.health.com/money/child-poverty-financial-trauma.
3. Tull, M. (2020, March 27). How to Get Treated for Your PTSD and Depression. Verywell Mind. https://www.verywellmind.com/ptsd-and-depression-2797533.
4. Wehrenberg, M. (n.d.). Shame and Depression. Psychology Today. https://www.psychologytoday.com/us/blog/depression-management-techniques/201507/shame-and-depression.
5. Gariepy, L. (2020, June 23). Your relationship with self-worth and money: It’s complicatedLaura Gariepy. Financial Best Life. https://financialbestlife.com/your-relationship-with-self-worth-and-money-its-complicated/#:~:text=Research%20shows%20there’s%20a%20powerful,someone%20has%20healthy%20self%2Desteem.