Exploring the affordability of mental healthcare, we delve into its long-term implications on financial health. Unraveling the intricate relationship between mental well-being and economic stability, we shed light on a topic often overlooked in financial discussions.
Since the start of the COVID-19 pandemic, mental health has declined for many Americans, with more individuals reporting mental illness since 2019
Those diagnosed with mental illness have disproportionately faced economic disadvantages and report greater financial stress
- Affordability barriers are compounding these challenges by limiting mental health access for many in need.
Mental Health Services
Respondents overall (including both those with and without a mental illness) report mental health services as one of the least affordable essential services.
- People who report mental illness are 2.7 times more likely than those who do not have mental illness to report that the service is unaffordable, even after controlling for reported household income.
Untreated mental health conditions can impact people’s ability to pursue education
Nearly 9 in ten employees report that workplace stress affects their mental health, and nearly 3 in 5 employees feel their employer does not provide a safe environment for employees who live with mental illness
- Fifty-one to 54 percent of those who report mental illness disclose taking at least one day off in the last 12 months as a result of burnout or stress
Financial security
Those with mental illness report a lower sense of financial security than those without mental illness
- Twenty percent of respondents who report mental illness disclose not being on track to meet short-term financial obligations
- The disparity worsens when considering long-term goals
- Behavioral health conditions can interfere with work, family, and navigation of daily life
About the Author(s)
Erica Coe is a partner in McKinsey’s Atlanta office, and Kana Enomoto is a senior knowledge expert in the Washington, DC, office.
- They are also coleaders of the Center for Societal Benefit through Healthcare, a McKinsey Global Institute
- Sharon Mei is an expert in New York office
Mental illness is associated with higher levels of debt and debt-related stress
This association may arise from initial debt leading to stress and triggering an underlying susceptibility for mental illness
- However, respondents reporting a mental illness also may have found it more difficult to maintain a stable job, making it more likely they would incur debt.
