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Xanax is effective in managing symptoms of anxiety disorders, including generalized anxiety disorder (GAD) and social anxiety disorder. It helps reduce excessive worry, tension, and nervousness by calming the central nervous system. Xanax is commonly prescribed for panic disorder, helping to alleviate the frequency and severity of panic attacks. It provides quick relief from the intense fear and discomfort associated with these episodes. Xanax may be used for short-term relief of anxiety related to specific stressful situations, offering temporary relief from acute anxiety. Although not officially approved for this use, Xanax is sometimes used off-label to treat short-term insomnia due to its sedative effects that promote sleep.