The Effect of Financial Stress on Mental Health among University Students

Financial stress is a significant challenge faced by university students, affecting both their overall well-being and academic performance. This study investigates the impact of financial stress on the mental health of students in the Faculty of Technology Management and Business (FPTP) at Universiti Tun Hussein Onn Malaysia (UTHM). Financial stress is a significant challenge faced by university students, affecting both their overall well-being and academic performance. While previous studies have examined this issue broadly, there is limited research focusing on the specific experiences of students in the Faculty of Technology Management and Business (FPTP) at Universiti Tun Hussein Onn Malaysia (UTHM). Understanding the unique financial pressures and their impact on mental health within this context is essential for developing targeted support strategies. This study focuses on key financial stressors such as tuition fees, housing costs, daily living expenses, debt obligations, and insufficient financial aid and examines how these challenges contribute to psychological effects, including anxiety, depression, and emotional distress. Data were collected using both quantitative and qualitative methods through structured questionnaires and semi-structured interviews of students under the faculty. Data were collected from 167 online questionnaires among the students from the faculty, which was analysed using SPSS version 30. Interviews have also been conducted to support the findings which involve 3 students from the FPTP faculty. The findings illustrate a strong relationship between financial stress and mental health problems, bringing into sharp focus the critical need for effective coping strategies and institutional support. The findings underscore the importance of implementing structured financial literacy programs, expanding scholarship opportunities, and improving access to on-campus mental health services as practical measures to mitigate the negative psychological impact of financial stress. By addressing the specific financial challenges identified in this study, universities can reduce students’ anxiety and depression levels, enhance their academic focus, and promote long-term financial resilience.