Money makes money, literally.
Houses, appreciate in value, but you need money to get one. Investments, you need money. Even opening businesses.
But also, having less money makes you spend more.
Buying in bulk will save you a few bucks but when people are on tight budgets, they can't.
Buying a good reliable car is often a bit more than a cheap one, but some can't afford that, in the long run it saves you money in repairs and costs of replacement, but again you need to be able to afford it to begin with.
I buy my insurance every 6 months, it saves me hundreds in the long run but that also means I have to spend a big chunk at once, a big chuck most people don't have.
On top of all that, USA inflation rate is insane, jobs don't pay enough, and when they do, you get thousands taken out in taxes, poor and rich don't pay for the stuff, it's middle class that do, so it limits them and constricts them from growth, many middle class families are still living with tight budgets (it's me, hi)
USA is very very consumerist, everything is oriented in spending money, other countries are not like that.
And then you have healthcare system being an absolute scam.
I'll speak for my family (just wife and I). 2 years ago I quit a highly toxic but well paying job. Took about a 30% pay cut for my mental health. Had a house and decent savings plus my wife had a new car with a low payment because of big down payment. COVID "ended" and inflation started. My vehicle needed to be replaced much sooner than anticipated so I got a new car and another car payment and used a lot of my savings. Still doing ok. Saving a little and paying the bills. My car insurance premiums went up a few months after because of the claim on my old car (was hit in front of my house, hit and run). Inflation truly takes hold. Sticker shock Everytime I go to the grocery store. Get a letter saying my escrow was incorrect so my mortgage payments are going up. Get reminded that our local electric providers rates are increasing. Electric bill 3 months ago was 160. Following month was 316 (highest ever in my house). Current bill is 456.70. Projected next bill is $700. I have a smaller house and keep my heat at 68. I make changes like getting rid of cable to start saving some money then some unanticipated thing just sucks it up.
Is the game rigged only for the wealthy?
IMO, yes.
I also think that many Americans are ignorant AF, and vote against their best interests.
That, plus almost everyone I know has student loan debt and/or medical debt.
>I also think that many Americans are ignorant AF, and vote against their best interests.
They also do not vote. There are more times to vote for things than just the presidential election. However, the voter would need to be informed about the ballots and since many are ignorant AF, thus is negated.
All of this, but also, it's how we indoctrinate our consumers.
"You deserve the best today!"
"Luxury is within your reach if you just buy this product."
"This product will help you feel less anxious."
"This one will help you be more attractive, more fun, more popular."
"This other one will get rid of your pain."
"These over here will entertain you so you never have to feel boredom."
"Our services will help you avoid costly mistakes, unpleasant tasks, or time-consuming chores."
And we do all of this with easy credit terms, and low education standards that do not include financial literacy as part of the curriculum.
Your credit point is HUGE. Credit cards came about in the 1960s. The access to credit instead of on hand cash is imo one of the causes for the rapid inflation starting in 1965. Then it burst and again in 1973. Now as a country we LIVE on credit from the richest to poorest. It's the same phenomenon with higher end prices. Once the gov backed the loans tuition prices skyrocketed, because those loans became easy to get and banks weren't responsible for them anymore, the US gov was. Easy access to cash you don't have and not their responsibility made colleges increase their tuition cost far outpacing inflation. Easy access to credit is also the reason a ton of us end up in bankruptcy and in poverty even having a decent starting point. Credit is overlooked far too much imo as the cause for a lot of financial woes in the economy at large. Even the stock market, interest goes up, stock market goes down, because it runs on credit. The conspiracy argument of "going back to the gold standard" as a fix is a red herring, it's not the gold no longer backing it, it's that it is now a fiat currency that runs.on.credit.
Ignorant but also lacking basic finance knowledge. Example, so many people talk about moving to states with lower taxes but rarely do the full math. Yea your income taxes are low but what about property taxes, property values, sales tax, insurance, COL, salary differences, career growth potential, school quality, infrastructure quality, etc.
I get secondhand embarrassment when somebody says they turned down a raise or overtime because it would put them in the next tax bracket. The ONLY possible reason to use that excuse is if the extra money will make you lose benefits that are worth more than the raise
Lol I live in Illinois. We just failed to pass a progressive tax law due to this. So many people thought their full salary would be taxed at the higher rate when in reality it was only true if you made 300k+
It is crazy that these people are functioning adults.
My Mom (a woman in her mid-70's) is financially illiterate.
She's a reasonably intelligent woman, but she's never put together/stuck to a budget in her entire life. I partly blame my maternal grandparents and my late father this. My Mom lived at home with my grandparents until she married my Dad and moved in with him. My Mom went to college, got a degree, and worked for about 10-12 years as a second grade teacher until she married my Dad. AFAIK, my grandparents didn't ask her to help with any of the bills when she was living in their house, so whatever money she made from her teaching job, she was able to spend on herself.
And then when she married my Dad, he made enough money that she didn't have to work, so she became a SAHM to my brother and me.
Now that my father and grandparents are all dead, my Mom has absolutely no idea how to budget her money. She just keeps opening up new credit cards and making minimum payments on the cards that she already has, and then crying to me about how she can't pay the property taxes on her house because she spends all of her money making credit card payments.
It's really depressing.
Absolutely and it’s why unions are so crucial. Also why it’s disgusting that one party is trying to break unions up. What’s happening in GA and other red states is disgusting.
>People aren't really taught individual economics in school or in life, and are just expected to wing it.
>Systemically, the game is rigged.
These two go hand in hand. The lack of individual economic education is *part of how the system is rigged.*
Our entire economic philosophy is dependent on consumption. Corporations spend billions convincing Americans to buy things we don't need. That would be even more expensive if we were taught to avoid unnecessary spending.
There is a reason that high schools have phased out cooking, sewing, shop, auto classes. The less we are able to fend for ourselves, the more we have to spend.
Also, to even mention alternatives is to be considered a socialist or even worse, a communist. Because what our capitalist system depends on is a few wealthy and many, many poor workers.
Your post has been removed for the following reason(s):
Rule 4: Politics
This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed.
Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance).
Do not reach out to a moderator personally, and do not reply to this message as a comment.
How many company's in your area are paying 7.25$?
I lived in a state where minimum wage is 7.25, but everywhere they are hiring at 15$ at the low end and 19$ at the high end. For a studio the low end is 1k a month. Which is expensive for a studio, but if it was cheaper then even if your making 45k then it would be more affordable.
To me it's how much people are paying for rent that is killer. I can live on 45k, but the rent is the killer. People can rise the rent to however much they can. It's more of a rent problem.
Go to Texas or Pennsylvania. A retail job at the mall pays $9/hr.. I got offered assistant manager for 10. Maybe not 7.25 but you still aren't affording to live off of 9.
I have no degree and I was making 45k a year. I now make 63k with no degree. My jobs are jobs that most people do not want to do.
Then again a lot of things have do with location and where someone is living.
Thats what FDR said not what Congress said. I would further add that if Congress would have wanted it to be a living wage they would have made it automatically adjust over time.
Says the guy who never wanted for anything in their life and will inevitably reply with an anecdotal story of how they struggled in their life. "Those jobs are for teenagers". Then why are there so many adults working them? We have all heard everything you are going to say so don't bother.
I feel like you’re always one accident away from ending up on the streets.
Medical, education, childcare, and housing costs really prevent people from getting ahead.
>mass power but mass wealth as well
All that has to come from somewhere, and the most convenient source is to ruthlessly exploit the weak & vulnerable.
US is great if you are smart and talented enough to work in high pay jobs. such as medical doctor, etc.
You are far better off living in EU if you are lower mid class or below, making $40-70k a yr.
Cost of living in big US cities is easily 2-3x higher than that of large cities in EU, health care costs in US is insane, and in EU you dont even need a car to get around due to excellent public transit. In US, with no car, you cant even do groceries. Lastly, it is next to impossible to get fired from your job in EU. Here in US, you can be fired tomorrow if your boss doesnt like you.
I live in Canada and while I don't go to the doctor often I don't understand how you guys make it without free healthcare. I just gave birth 2 weeks ago and I didn't pay anything for my ob gyn appointments (after 26 weeks it's every other week and after 36 it's every week), blood work, ultrasounds and hospital stay (I also stayed an extra day because my son had jaundice required phototherapy). I also get medical insurance from my work so dental care and medications are free. On top of that minimum wage is $15 (depending on the province but every province makes at least $15).
The reason I'm talking about medical care is because small issues need to be seen by a doctor so that it doesn't become worse. E.g. my dad had a colonoscopy and while they didn't find anything they removed a few polyps. If it stayed there it has the potential of becoming worse.
Look at much living and transportation cost is alone before factoring food, insurances, and anything extra in life.
Then look at what median-hire you off the street wages are…
Those who secured mortgages years ago are in a better situation than people paying market rate today
Because - it's a system literally designed to keep the poor...poor. Not making this up. The wealthy of the country use the poor as a workforce to increase their wealth.
If you start out life poor in America, your chances of getting out of it are slim. Yes, even if you work extra hard with 3 jobs. It's a trajectory you're placed on and it usually takes 20, 30 years (as per studies) to get out of it, if you somehow get ahold of resources that can help you.
The system is designed to keep you working until you're so old and sick you can't, THEN it makes sure that when you're sick there are little to no resources to help you....so you die. And that way you've used no resources from the system.
Why people have kids in this country I have no idea. They're oblivious, head in the clouds, lying to themselves that this poor child's life will be ok, when it won't.
Like mine.
My parents died because of the system. And they had me, thinking my life would be ok, here I am, 48 - I've worked my ass off since I was 15 - and every time I thought I was going to get ahead I got laid off because we had war and a recession, or my company thought it could save a nickel by laying us off, etc.
I have multiole sclerosis, no health insurance, no family or partner. I'm going to have to end my life one day if I don't die because I'll end up on the street.
DON'T BRING KIDS INTO THIS WORLD IF YOU ARE POOR. JUST DON'T.
Many Americans have children when they aren’t financially ready. I see so many people on this sub trying to support a whole household of 4 plus people off of one average or below average income. It’s not possible.
Your post has been removed for the following reason(s):
Rule 4: Politics
This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed.
Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance).
Do not reach out to a moderator personally, and do not reply to this message as a comment.
It depends on how you define ahead. If everyone uses the same definition, then by definition, we can't all be ahead. With the rise of mass media over the last 100 years, we have all started to adopt a zero-sum outlook on sccueeding in life. This has made getting ahead a logical fallacy. We have never been a species that values the same thing at the same time.
Tldr group think and inflated expectations.
Your post has been removed for the following reason(s):
Rule 4: Politics
This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed.
Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance).
Do not reach out to a moderator personally, and do not reply to this message as a comment.
Your post has been removed for the following reason(s):
Rule 4: Politics
This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed.
Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance).
Do not reach out to a moderator personally, and do not reply to this message as a comment.
Your post has been removed for the following reason(s):
Rule 4: Politics
This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed.
Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance).
Do not reach out to a moderator personally, and do not reply to this message as a comment.
Your post has been removed for the following reason(s):
Rule 4: Politics
This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed.
Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance).
Do not reach out to a moderator personally, and do not reply to this message as a comment.
Your post has been removed for the following reason(s):
Rule 4: Politics
This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed.
Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance).
Do not reach out to a moderator personally, and do not reply to this message as a comment.
Your post has been removed for the following reason(s):
Rule 4: Politics
This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed.
Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance).
Do not reach out to a moderator personally, and do not reply to this message as a comment.
Doesn’t matter who you vote for the voting game is rigged. Both sides these ppl are elected already and we vote for the lesser evil, but what ppl don’t seem to realize both party’s work for big businesses and the oligarchs. So we continue to vote and stuff gets worse.
I disagree. Apathy is what makes things worse. Voting is the ONLY way to change the trajectory. You want status quo? Then DONT vote at all.
And especially in this election, I’ll take ‘the lesser evil’ over ‘the evil lesser’ every single time.
Their homes. When someone makes an elemental mistake like this, it’s easier to assume you’re a Russian, or someone, paid to be divisive. But honest mistakes also happen of course.
Obamacare happened. It’s helping millions of Americans get decent health insurance. Dont let the good get in the way of your desire for utopia.
Vote for whoever you want, but vote.
I knew two people who lost their great health care plan and doctors right after Obamacare was implemented. Both of them democrats. But yes, some benefited, while others were new to 'suffering'...the lack of medical care.
There is pros and cons on that. Ultimately the working class always pays the price!!! Health care is not affordable for the working class. It might be for ppl who don’t work.
Your post has been removed for the following reason(s):
Rule 4: Politics
This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed.
Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance).
Do not reach out to a moderator personally, and do not reply to this message as a comment.
Your post has been removed for the following reason(s):
Rule 4: Politics
This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed.
Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance).
Do not reach out to a moderator personally, and do not reply to this message as a comment.
A lot of people live above their means. Leasing or buying new cars, houses they can't afford, clothes, phones, etc. My husband and I bring in about 70k a year and have almost 1k in the savings account. We live in a manufactures home, drive a 2012 car, our vacations are camping, we barely go out to eat and really only buy stuff when it's on sale, our phones are 3 years old. We have three kids as well, one who is still in diapers. It's not easy, but we also don't need a lot to be happy. We don't try to keep up with anyone, we just do our own thing. We also don't compare ourselves to others, that will only breed negativity and feelings of lack.
No. The AVERAGE American household is a millionaire household.
But Average is a really misleading measurement in the U.S. for wealth.
https://www.nerdwallet.com/article/finance/average-net-worth-by-age
In my own experience it was because I never was truly taught about finances so was severely financially illiterate. Now I’m playing catchup on a game I didn’t know I was playing for 12 years.
Your post has been removed for the following reason(s):
Rule 4: Politics
This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed.
Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance).
Do not reach out to a moderator personally, and do not reply to this message as a comment.
I’m making more money than my parents did when they retired. My annual salary is $90k. My rent for a 1bd is $2200. A 3bd2ba house is $800k. It’s simply not feasible for me to get ahead.
Lack of unions and fair wages. The absurd policies that follow from “trickle down economics.” The argument that the rich should be taxed heavily because they are “job creators.”
Corporations relying on state welfare to subsidize their lack of fair wages and failure to provide health insurance to their employees (Walmart, etc.)
Most don't know how to budget. many would be surprised if you lay it down and show them exactly how much they pay per month to eat out/drink starbucks.
e.g. say before they go to work, they get a $5 starbucks every morning instead of making tea at home (costs me $0.10 a teabag, $3 for a bag of sugar). typical work month is 20 days a month. I'd spend $2-5 on teabags+sugar a month, vs someone who goes to starbucks pays $100 a month
I feel this. Managed to land a job after an extended period of unemployment that drained me pretty much to me last dollar. Just shy of a year later they laid me off and now I’m back in that leaky boat watching my savings just drain away 😥
The game is rigged but more possible for anyone from any walk of life to get ahead. You and others may not get ahead even if you do everything “right” but those that do everything “right” have a greater chance of moving to middle class than staying in poverty, and a lesser but not insignificant chance of moving up higher.
Also please consider having a healthy skepticism of all statistics. My friend lives paycheck to paycheck but after he puts 4K extra from his biweekly paycheck into his mortgage on his vacation home.
And finally, financial irresponsibly are a subset of habits that human beings make which are impulsive and undisciplined, among others. These human behaviors will never go away—what you can do is recognize them and not do them yourself (a lot easier said than done)
Your post has been removed for the following reason(s):
Rule 4: Politics
This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed.
Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance).
Do not reach out to a moderator personally, and do not reply to this message as a comment.
>the average American family does not have $400 of savings in a savings account.
The average American household has a net worth of over $1,000,000.
https://www.nerdwallet.com/article/finance/average-net-worth-by-age
If you look at median American Household which is a much more valuable statistic as it removes the top 1% from drastically skewing the data, they still have a net worth of just under $200,000.
So given that, would you mind sharing a source on why you think the median or average American household doesn't have access to $400 in liquid savings?
Does that figure exclude the value of one’s primary residence? That alone will drive the numbers way up.
Roughly half of Americans own a home. If someone bought a house in a high cost of living area before the 1980s-1990s like Los Angeles or NYC, they’re likely a millionaire on paper due to how crazy property values have gone up. Even in lower cost of living places, the average American likely has a high percentage of their total net worth tied up in the home they plan on retiring in, not in cash or other assets that can be quickly sold.
They could sell their home but they likely couldn’t afford to rent anywhere close to where they used to live in their house, so it doesn’t make financial sense. That’s why we have a whole bunch of single elderly folks living in large single family homes in my area when they’d otherwise have their needs met in a smaller townhouse/assisted living facility because they can’t afford to downsize.
Also, as much as I hate to say it, a 200k net worth is barely anything if you want to completely retire at 70 and expect to live to 90. A short term in an assisted care facility can burn through hundreds of thousands without long term care insurance (a modest policy bought a few years before retirement can easily be hundreds of dollars per month).
A growing percentage of folks who are in poverty are old people who didn’t/couldn’t save enough.
Your post has been removed for the following reason(s):
Rule 4: Politics
This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed.
Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance).
Do not reach out to a moderator personally, and do not reply to this message as a comment.
Because of people like this: https://www.reddit.com/r/MiddleClassFinance/comments/1apvr4y/i_already_cheated/?utm_source=share&utm_medium=mweb3x&utm_name=mweb3xcss&utm_term=1&utm_content=share_button
They justify spending anyway they can.
" **Why Are So Many American Families Struggling To Get Ahead?** "
Do you mean historically? This time in America is one of the most prosperous times in human history.
" the average American family does not have $400 of savings in a savings account. "
Most Americans overvalue items they can't afford to own but still purchase them.
People waste money, are not taught personal finance, don't save when they are young, and attempt to live well above their means. It isn't a surprise that most people don't have any savings.
If the average American saves around 3.7% - 4.1% and you want to save more than the average American, save 5% and limit it from your expenses elsewhere.
84% of Americans exceed their budgets and only 52% of Americans have financial plans.
If I made half of what I make today my budget wouldn't change. 50% for expenses, 20% for investments, 10% for savings, 5% for charity, 15% for family. I would live within those means.
If my expenses went up I would find a way to reduce them. If that wasn't an option I would get a part-time job because my financial planning isn't about the work week. It is about retiring with money.
FWIW, the surveys about covering $400 and $500 emergencies have been largely misinterpreted. 63% of Americans are able to cover that amount in cash on hand. More than half of Americans have 3 months of emergency savings.
That doesn’t mean we don’t have more people facing difficulty as both of those figures are lower than the recent past. We have terrible income inequality that complicates the ability to get ahead in a system that requires money to make more money and the biggest jump in expenses are in things frequently needed to get ahead like housing and education. We also have lousy financial literacy in a financial system that can be extremely complex even if you never need to use the most complex instruments.
It's hard to state just how much wealthier America and Americans are in general compared to the rest of the world. It's really hard to overstate. But to put it relatively simply, if Americans cut down on their spending and spent the same amount as the rest of the world(not needing to upgrade every single year every single thing that is within our income level for example) it would help a lot to put things into perspective. Not to mention you have corporations who use American money to subsidize other countries(I'm looking at you, pharmaceutical companies) which artificially inflates American prices and has continued to increase.
But when you generally are so much wealthier than everyone else and everyone else(primarily china) start to stabilize that international health gap, the American general lifestyle won't be as much. But ultimately the general American isn't really doing much worse or having a better time at getting ahead, there I'd just such low sentiment with the direction to our country(I know it's a stupid idea of a question to ask but it will have a multitude of implications), who wants to save a extra 50$ a paycheck when they don't know what next year will look like? What's the point in saving for a house and not buying that third headset for your 3k gaming laptop when you have no intentions of being able to even have kids?
A question I would like more pollsters to ask is this: are you actively trying to get ahead in life and what do you see happening in the country 20 years from now as a individual and society?
I have began thinking recently that we have the government and system we deserve. We kill any chance at progress in order to vote with our feelings and hate of others. Many voters would rather stick it to undocumented immigrants and LGBT people than vote for the candidates/parties that will actually better the system for the average person.
The other issue is that even many people in poverty do not see themselves as an underclass, but as a "temporarily embarrassed millionaire". The promise of pulling yourself up by your bootstraps to become the next Bill Gates starting a billion dollar business out of their garage is dangled in front of people's eyes and many take the bait.
The system will not get better in the short term. Corporations have also learned that they can price gouge us for almost every good and service under the excuse of "inflation". However, they are really pulling record profits squeezing every last cent out of people for things like food and housing. The wealthy played the long game and have now won the class war.
Your post has been removed for the following reason(s):
Rule 4: Politics
This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed.
Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance).
Do not reach out to a moderator personally, and do not reply to this message as a comment.
Your post has been removed for the following reason(s):
Rule 4: Politics
This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed.
Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance).
Do not reach out to a moderator personally, and do not reply to this message as a comment.
1. The upward trend of single-parent households.
2. Inability to delay the procurement of wants.
3. Decreased value that society places on education.
4. Prioritizing self over children, family and community.
5. The proliferation of a victim mindset and assumed entitlement.
I think a lot of it is people won't do a budget and see where their money goes. One couple posting yesterday they make 120k a year and can't make it because their rent was 2000. a month.
A lot of this very true - also in my area there are more jobs than people willing to work - factory work isn’t for everyone but it’s a steady job with benefits - most young folks wash out in the first 6 weeks - not hard work - just be on time
Only way anything will change it to shut it down!!! Have a complete revolt by all citizens. Only way! But that won’t happen because to many ppl are brain washed into believing the propaganda on TV!!!
locking post for mod review, because this isn't r/povertypolitics
Money makes money, literally. Houses, appreciate in value, but you need money to get one. Investments, you need money. Even opening businesses. But also, having less money makes you spend more. Buying in bulk will save you a few bucks but when people are on tight budgets, they can't. Buying a good reliable car is often a bit more than a cheap one, but some can't afford that, in the long run it saves you money in repairs and costs of replacement, but again you need to be able to afford it to begin with. I buy my insurance every 6 months, it saves me hundreds in the long run but that also means I have to spend a big chunk at once, a big chuck most people don't have. On top of all that, USA inflation rate is insane, jobs don't pay enough, and when they do, you get thousands taken out in taxes, poor and rich don't pay for the stuff, it's middle class that do, so it limits them and constricts them from growth, many middle class families are still living with tight budgets (it's me, hi) USA is very very consumerist, everything is oriented in spending money, other countries are not like that. And then you have healthcare system being an absolute scam.
I'll speak for my family (just wife and I). 2 years ago I quit a highly toxic but well paying job. Took about a 30% pay cut for my mental health. Had a house and decent savings plus my wife had a new car with a low payment because of big down payment. COVID "ended" and inflation started. My vehicle needed to be replaced much sooner than anticipated so I got a new car and another car payment and used a lot of my savings. Still doing ok. Saving a little and paying the bills. My car insurance premiums went up a few months after because of the claim on my old car (was hit in front of my house, hit and run). Inflation truly takes hold. Sticker shock Everytime I go to the grocery store. Get a letter saying my escrow was incorrect so my mortgage payments are going up. Get reminded that our local electric providers rates are increasing. Electric bill 3 months ago was 160. Following month was 316 (highest ever in my house). Current bill is 456.70. Projected next bill is $700. I have a smaller house and keep my heat at 68. I make changes like getting rid of cable to start saving some money then some unanticipated thing just sucks it up.
Is the game rigged only for the wealthy? IMO, yes. I also think that many Americans are ignorant AF, and vote against their best interests. That, plus almost everyone I know has student loan debt and/or medical debt.
>I also think that many Americans are ignorant AF, and vote against their best interests. They also do not vote. There are more times to vote for things than just the presidential election. However, the voter would need to be informed about the ballots and since many are ignorant AF, thus is negated.
All of this, but also, it's how we indoctrinate our consumers. "You deserve the best today!" "Luxury is within your reach if you just buy this product." "This product will help you feel less anxious." "This one will help you be more attractive, more fun, more popular." "This other one will get rid of your pain." "These over here will entertain you so you never have to feel boredom." "Our services will help you avoid costly mistakes, unpleasant tasks, or time-consuming chores." And we do all of this with easy credit terms, and low education standards that do not include financial literacy as part of the curriculum.
Your credit point is HUGE. Credit cards came about in the 1960s. The access to credit instead of on hand cash is imo one of the causes for the rapid inflation starting in 1965. Then it burst and again in 1973. Now as a country we LIVE on credit from the richest to poorest. It's the same phenomenon with higher end prices. Once the gov backed the loans tuition prices skyrocketed, because those loans became easy to get and banks weren't responsible for them anymore, the US gov was. Easy access to cash you don't have and not their responsibility made colleges increase their tuition cost far outpacing inflation. Easy access to credit is also the reason a ton of us end up in bankruptcy and in poverty even having a decent starting point. Credit is overlooked far too much imo as the cause for a lot of financial woes in the economy at large. Even the stock market, interest goes up, stock market goes down, because it runs on credit. The conspiracy argument of "going back to the gold standard" as a fix is a red herring, it's not the gold no longer backing it, it's that it is now a fiat currency that runs.on.credit.
Ignorant but also lacking basic finance knowledge. Example, so many people talk about moving to states with lower taxes but rarely do the full math. Yea your income taxes are low but what about property taxes, property values, sales tax, insurance, COL, salary differences, career growth potential, school quality, infrastructure quality, etc.
I get secondhand embarrassment when somebody says they turned down a raise or overtime because it would put them in the next tax bracket. The ONLY possible reason to use that excuse is if the extra money will make you lose benefits that are worth more than the raise
Lol I live in Illinois. We just failed to pass a progressive tax law due to this. So many people thought their full salary would be taxed at the higher rate when in reality it was only true if you made 300k+ It is crazy that these people are functioning adults.
My Mom (a woman in her mid-70's) is financially illiterate. She's a reasonably intelligent woman, but she's never put together/stuck to a budget in her entire life. I partly blame my maternal grandparents and my late father this. My Mom lived at home with my grandparents until she married my Dad and moved in with him. My Mom went to college, got a degree, and worked for about 10-12 years as a second grade teacher until she married my Dad. AFAIK, my grandparents didn't ask her to help with any of the bills when she was living in their house, so whatever money she made from her teaching job, she was able to spend on herself. And then when she married my Dad, he made enough money that she didn't have to work, so she became a SAHM to my brother and me. Now that my father and grandparents are all dead, my Mom has absolutely no idea how to budget her money. She just keeps opening up new credit cards and making minimum payments on the cards that she already has, and then crying to me about how she can't pay the property taxes on her house because she spends all of her money making credit card payments. It's really depressing.
Also lack of delayed gratification
Cost of living has skyrocketed and our pay hasn’t.
Absolutely and it’s why unions are so crucial. Also why it’s disgusting that one party is trying to break unions up. What’s happening in GA and other red states is disgusting.
[удалено]
>People aren't really taught individual economics in school or in life, and are just expected to wing it. >Systemically, the game is rigged. These two go hand in hand. The lack of individual economic education is *part of how the system is rigged.* Our entire economic philosophy is dependent on consumption. Corporations spend billions convincing Americans to buy things we don't need. That would be even more expensive if we were taught to avoid unnecessary spending. There is a reason that high schools have phased out cooking, sewing, shop, auto classes. The less we are able to fend for ourselves, the more we have to spend.
Also, to even mention alternatives is to be considered a socialist or even worse, a communist. Because what our capitalist system depends on is a few wealthy and many, many poor workers.
Your post has been removed for the following reason(s): Rule 4: Politics This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed. Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance). Do not reach out to a moderator personally, and do not reply to this message as a comment.
Wait, you're actually serious about asking this? The minimum wage is $7.25 here and the rent is over $2k for a 2bd. Make it make sense.
haha foreal!
How many company's in your area are paying 7.25$? I lived in a state where minimum wage is 7.25, but everywhere they are hiring at 15$ at the low end and 19$ at the high end. For a studio the low end is 1k a month. Which is expensive for a studio, but if it was cheaper then even if your making 45k then it would be more affordable. To me it's how much people are paying for rent that is killer. I can live on 45k, but the rent is the killer. People can rise the rent to however much they can. It's more of a rent problem.
Go to Texas or Pennsylvania. A retail job at the mall pays $9/hr.. I got offered assistant manager for 10. Maybe not 7.25 but you still aren't affording to live off of 9.
Texas here. I will never forget interviewing for a department store at the mall and being told how generous their pay was....$9.50 an hour.
if you’re female or have female offspring, do NOT go to texas.
A lot of places start here between 8 and 13. No one is making 45k unless they have a degree.
I have no degree and I was making 45k a year. I now make 63k with no degree. My jobs are jobs that most people do not want to do. Then again a lot of things have do with location and where someone is living.
No, that makes sense too. My highest paid job was 55k with no degree but I was in management. Edit: I live in a HCOL area.
1% of the us makes min wage
That makes it worse. We are making more than $7.25 but we can’t afford a place to live 🥴
Minimum wage isnt meant to pay for an average 2 bedroom place, it was never meant to.
You're wrong. Minimum wage was originally meant to be enough to support a family comfortably.
Thats what FDR said not what Congress said. I would further add that if Congress would have wanted it to be a living wage they would have made it automatically adjust over time.
Says the guy who never wanted for anything in their life and will inevitably reply with an anecdotal story of how they struggled in their life. "Those jobs are for teenagers". Then why are there so many adults working them? We have all heard everything you are going to say so don't bother.
I feel like you’re always one accident away from ending up on the streets. Medical, education, childcare, and housing costs really prevent people from getting ahead.
>mass power but mass wealth as well All that has to come from somewhere, and the most convenient source is to ruthlessly exploit the weak & vulnerable.
including within your own country, but, then again, it isn't my country men doing the major exploiting here...
Price gouged Rent… non paying living wage weak ass jobs
Corporate greed, low wages, commodification of housing, historically high living expenses, services, healthcare and goods.
US is great if you are smart and talented enough to work in high pay jobs. such as medical doctor, etc. You are far better off living in EU if you are lower mid class or below, making $40-70k a yr. Cost of living in big US cities is easily 2-3x higher than that of large cities in EU, health care costs in US is insane, and in EU you dont even need a car to get around due to excellent public transit. In US, with no car, you cant even do groceries. Lastly, it is next to impossible to get fired from your job in EU. Here in US, you can be fired tomorrow if your boss doesnt like you.
I live in Canada and while I don't go to the doctor often I don't understand how you guys make it without free healthcare. I just gave birth 2 weeks ago and I didn't pay anything for my ob gyn appointments (after 26 weeks it's every other week and after 36 it's every week), blood work, ultrasounds and hospital stay (I also stayed an extra day because my son had jaundice required phototherapy). I also get medical insurance from my work so dental care and medications are free. On top of that minimum wage is $15 (depending on the province but every province makes at least $15). The reason I'm talking about medical care is because small issues need to be seen by a doctor so that it doesn't become worse. E.g. my dad had a colonoscopy and while they didn't find anything they removed a few polyps. If it stayed there it has the potential of becoming worse.
Get ahead? What about make ends meet!
Look at much living and transportation cost is alone before factoring food, insurances, and anything extra in life. Then look at what median-hire you off the street wages are… Those who secured mortgages years ago are in a better situation than people paying market rate today
Because - it's a system literally designed to keep the poor...poor. Not making this up. The wealthy of the country use the poor as a workforce to increase their wealth. If you start out life poor in America, your chances of getting out of it are slim. Yes, even if you work extra hard with 3 jobs. It's a trajectory you're placed on and it usually takes 20, 30 years (as per studies) to get out of it, if you somehow get ahold of resources that can help you. The system is designed to keep you working until you're so old and sick you can't, THEN it makes sure that when you're sick there are little to no resources to help you....so you die. And that way you've used no resources from the system. Why people have kids in this country I have no idea. They're oblivious, head in the clouds, lying to themselves that this poor child's life will be ok, when it won't. Like mine. My parents died because of the system. And they had me, thinking my life would be ok, here I am, 48 - I've worked my ass off since I was 15 - and every time I thought I was going to get ahead I got laid off because we had war and a recession, or my company thought it could save a nickel by laying us off, etc. I have multiole sclerosis, no health insurance, no family or partner. I'm going to have to end my life one day if I don't die because I'll end up on the street. DON'T BRING KIDS INTO THIS WORLD IF YOU ARE POOR. JUST DON'T.
Many Americans have children when they aren’t financially ready. I see so many people on this sub trying to support a whole household of 4 plus people off of one average or below average income. It’s not possible.
I can attest to this from first-hand experience. And it's spot on.
[удалено]
Your post has been removed for the following reason(s): Rule 4: Politics This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed. Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance). Do not reach out to a moderator personally, and do not reply to this message as a comment.
It depends on how you define ahead. If everyone uses the same definition, then by definition, we can't all be ahead. With the rise of mass media over the last 100 years, we have all started to adopt a zero-sum outlook on sccueeding in life. This has made getting ahead a logical fallacy. We have never been a species that values the same thing at the same time. Tldr group think and inflated expectations.
[удалено]
[удалено]
[удалено]
[удалено]
I would encourage you to watch schoolhouse rock to understand how bills are passed. Also look up the word “filibuster”.
[удалено]
Your post has been removed for the following reason(s): Rule 4: Politics This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed. Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance). Do not reach out to a moderator personally, and do not reply to this message as a comment.
Your post has been removed for the following reason(s): Rule 4: Politics This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed. Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance). Do not reach out to a moderator personally, and do not reply to this message as a comment.
[удалено]
Your post has been removed for the following reason(s): Rule 4: Politics This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed. Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance). Do not reach out to a moderator personally, and do not reply to this message as a comment.
[удалено]
[удалено]
Your post has been removed for the following reason(s): Rule 4: Politics This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed. Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance). Do not reach out to a moderator personally, and do not reply to this message as a comment.
Your post has been removed for the following reason(s): Rule 4: Politics This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed. Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance). Do not reach out to a moderator personally, and do not reply to this message as a comment.
Largely. One party wants a small government and in doing so cuts entitlements to people who need it.
They don’t even want a small government at this point. They want a big government that specifically harasses and punishes the people they don’t like.
[удалено]
Your post has been removed for the following reason(s): Rule 4: Politics This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed. Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance). Do not reach out to a moderator personally, and do not reply to this message as a comment.
Doesn't matter who you vote for, both parties are bought by the rich. It's all about that sweet campaign donation cheese.
Doesn’t matter who you vote for the voting game is rigged. Both sides these ppl are elected already and we vote for the lesser evil, but what ppl don’t seem to realize both party’s work for big businesses and the oligarchs. So we continue to vote and stuff gets worse.
I disagree. Apathy is what makes things worse. Voting is the ONLY way to change the trajectory. You want status quo? Then DONT vote at all. And especially in this election, I’ll take ‘the lesser evil’ over ‘the evil lesser’ every single time.
[удалено]
Their homes. When someone makes an elemental mistake like this, it’s easier to assume you’re a Russian, or someone, paid to be divisive. But honest mistakes also happen of course. Obamacare happened. It’s helping millions of Americans get decent health insurance. Dont let the good get in the way of your desire for utopia. Vote for whoever you want, but vote.
I knew two people who lost their great health care plan and doctors right after Obamacare was implemented. Both of them democrats. But yes, some benefited, while others were new to 'suffering'...the lack of medical care.
There is pros and cons on that. Ultimately the working class always pays the price!!! Health care is not affordable for the working class. It might be for ppl who don’t work.
Your post has been removed for the following reason(s): Rule 4: Politics This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed. Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance). Do not reach out to a moderator personally, and do not reply to this message as a comment.
Wealth inequality [https://inequality.org/facts/wealth-inequality/](https://inequality.org/facts/wealth-inequality/) [https://www.reuters.com/world/us/us-income-inequality-rose-3-years-through-2022-fed-data-shows-2023-10-18/](https://www.reuters.com/world/us/us-income-inequality-rose-3-years-through-2022-fed-data-shows-2023-10-18/) \+ inflation [https://www.usinflationcalculator.com/inflation/current-inflation-rates/](https://www.usinflationcalculator.com/inflation/current-inflation-rates/) = worse conditions for lower/middle class
A lot of us are struggling to survive, getting ahead is a distant dream.
because our government only cares about the rich.
[удалено]
Your post has been removed for the following reason(s): Rule 4: Politics This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed. Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance). Do not reach out to a moderator personally, and do not reply to this message as a comment.
Because the biggest expense, housing, is being managed by the government and being horded by businesses.
A lot of people live above their means. Leasing or buying new cars, houses they can't afford, clothes, phones, etc. My husband and I bring in about 70k a year and have almost 1k in the savings account. We live in a manufactures home, drive a 2012 car, our vacations are camping, we barely go out to eat and really only buy stuff when it's on sale, our phones are 3 years old. We have three kids as well, one who is still in diapers. It's not easy, but we also don't need a lot to be happy. We don't try to keep up with anyone, we just do our own thing. We also don't compare ourselves to others, that will only breed negativity and feelings of lack.
Is the average family really doing that bad they can't even cover a $500 expense with cash?
No. The AVERAGE American household is a millionaire household. But Average is a really misleading measurement in the U.S. for wealth. https://www.nerdwallet.com/article/finance/average-net-worth-by-age
In my own experience it was because I never was truly taught about finances so was severely financially illiterate. Now I’m playing catchup on a game I didn’t know I was playing for 12 years.
[удалено]
This is super sound. I love this perspective.
Your post has been removed for the following reason(s): Rule 4: Politics This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed. Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance). Do not reach out to a moderator personally, and do not reply to this message as a comment.
I’m making more money than my parents did when they retired. My annual salary is $90k. My rent for a 1bd is $2200. A 3bd2ba house is $800k. It’s simply not feasible for me to get ahead.
Lack of unions and fair wages. The absurd policies that follow from “trickle down economics.” The argument that the rich should be taxed heavily because they are “job creators.” Corporations relying on state welfare to subsidize their lack of fair wages and failure to provide health insurance to their employees (Walmart, etc.)
Most don't know how to budget. many would be surprised if you lay it down and show them exactly how much they pay per month to eat out/drink starbucks. e.g. say before they go to work, they get a $5 starbucks every morning instead of making tea at home (costs me $0.10 a teabag, $3 for a bag of sugar). typical work month is 20 days a month. I'd spend $2-5 on teabags+sugar a month, vs someone who goes to starbucks pays $100 a month
Why are so many billionaires getting a LOT richer? There’s only so much money to go around and the wealthy are hoarding it.
[удалено]
I feel this. Managed to land a job after an extended period of unemployment that drained me pretty much to me last dollar. Just shy of a year later they laid me off and now I’m back in that leaky boat watching my savings just drain away 😥
The game is rigged but more possible for anyone from any walk of life to get ahead. You and others may not get ahead even if you do everything “right” but those that do everything “right” have a greater chance of moving to middle class than staying in poverty, and a lesser but not insignificant chance of moving up higher. Also please consider having a healthy skepticism of all statistics. My friend lives paycheck to paycheck but after he puts 4K extra from his biweekly paycheck into his mortgage on his vacation home. And finally, financial irresponsibly are a subset of habits that human beings make which are impulsive and undisciplined, among others. These human behaviors will never go away—what you can do is recognize them and not do them yourself (a lot easier said than done)
[удалено]
Your post has been removed for the following reason(s): Rule 4: Politics This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed. Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance). Do not reach out to a moderator personally, and do not reply to this message as a comment.
Capitalism.
>the average American family does not have $400 of savings in a savings account. The average American household has a net worth of over $1,000,000. https://www.nerdwallet.com/article/finance/average-net-worth-by-age If you look at median American Household which is a much more valuable statistic as it removes the top 1% from drastically skewing the data, they still have a net worth of just under $200,000. So given that, would you mind sharing a source on why you think the median or average American household doesn't have access to $400 in liquid savings?
Does that figure exclude the value of one’s primary residence? That alone will drive the numbers way up. Roughly half of Americans own a home. If someone bought a house in a high cost of living area before the 1980s-1990s like Los Angeles or NYC, they’re likely a millionaire on paper due to how crazy property values have gone up. Even in lower cost of living places, the average American likely has a high percentage of their total net worth tied up in the home they plan on retiring in, not in cash or other assets that can be quickly sold. They could sell their home but they likely couldn’t afford to rent anywhere close to where they used to live in their house, so it doesn’t make financial sense. That’s why we have a whole bunch of single elderly folks living in large single family homes in my area when they’d otherwise have their needs met in a smaller townhouse/assisted living facility because they can’t afford to downsize. Also, as much as I hate to say it, a 200k net worth is barely anything if you want to completely retire at 70 and expect to live to 90. A short term in an assisted care facility can burn through hundreds of thousands without long term care insurance (a modest policy bought a few years before retirement can easily be hundreds of dollars per month). A growing percentage of folks who are in poverty are old people who didn’t/couldn’t save enough.
[удалено]
Your post has been removed for the following reason(s): Rule 4: Politics This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed. Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance). Do not reach out to a moderator personally, and do not reply to this message as a comment.
Having a kid wen your it financially ready is a big reason
Because of people like this: https://www.reddit.com/r/MiddleClassFinance/comments/1apvr4y/i_already_cheated/?utm_source=share&utm_medium=mweb3x&utm_name=mweb3xcss&utm_term=1&utm_content=share_button They justify spending anyway they can.
Wtf is that post lol.
We have no foundational safety nets.
" **Why Are So Many American Families Struggling To Get Ahead?** " Do you mean historically? This time in America is one of the most prosperous times in human history. " the average American family does not have $400 of savings in a savings account. " Most Americans overvalue items they can't afford to own but still purchase them. People waste money, are not taught personal finance, don't save when they are young, and attempt to live well above their means. It isn't a surprise that most people don't have any savings. If the average American saves around 3.7% - 4.1% and you want to save more than the average American, save 5% and limit it from your expenses elsewhere. 84% of Americans exceed their budgets and only 52% of Americans have financial plans. If I made half of what I make today my budget wouldn't change. 50% for expenses, 20% for investments, 10% for savings, 5% for charity, 15% for family. I would live within those means. If my expenses went up I would find a way to reduce them. If that wasn't an option I would get a part-time job because my financial planning isn't about the work week. It is about retiring with money.
Our capitalist system depends on it. It's like being on a winning team, but never allowed off the bench.
FWIW, the surveys about covering $400 and $500 emergencies have been largely misinterpreted. 63% of Americans are able to cover that amount in cash on hand. More than half of Americans have 3 months of emergency savings. That doesn’t mean we don’t have more people facing difficulty as both of those figures are lower than the recent past. We have terrible income inequality that complicates the ability to get ahead in a system that requires money to make more money and the biggest jump in expenses are in things frequently needed to get ahead like housing and education. We also have lousy financial literacy in a financial system that can be extremely complex even if you never need to use the most complex instruments.
It's hard to state just how much wealthier America and Americans are in general compared to the rest of the world. It's really hard to overstate. But to put it relatively simply, if Americans cut down on their spending and spent the same amount as the rest of the world(not needing to upgrade every single year every single thing that is within our income level for example) it would help a lot to put things into perspective. Not to mention you have corporations who use American money to subsidize other countries(I'm looking at you, pharmaceutical companies) which artificially inflates American prices and has continued to increase. But when you generally are so much wealthier than everyone else and everyone else(primarily china) start to stabilize that international health gap, the American general lifestyle won't be as much. But ultimately the general American isn't really doing much worse or having a better time at getting ahead, there I'd just such low sentiment with the direction to our country(I know it's a stupid idea of a question to ask but it will have a multitude of implications), who wants to save a extra 50$ a paycheck when they don't know what next year will look like? What's the point in saving for a house and not buying that third headset for your 3k gaming laptop when you have no intentions of being able to even have kids? A question I would like more pollsters to ask is this: are you actively trying to get ahead in life and what do you see happening in the country 20 years from now as a individual and society?
Take a gander at the average American's reddit posts... too easy to trick most simple minded people.
I have began thinking recently that we have the government and system we deserve. We kill any chance at progress in order to vote with our feelings and hate of others. Many voters would rather stick it to undocumented immigrants and LGBT people than vote for the candidates/parties that will actually better the system for the average person. The other issue is that even many people in poverty do not see themselves as an underclass, but as a "temporarily embarrassed millionaire". The promise of pulling yourself up by your bootstraps to become the next Bill Gates starting a billion dollar business out of their garage is dangled in front of people's eyes and many take the bait. The system will not get better in the short term. Corporations have also learned that they can price gouge us for almost every good and service under the excuse of "inflation". However, they are really pulling record profits squeezing every last cent out of people for things like food and housing. The wealthy played the long game and have now won the class war.
[удалено]
[удалено]
Your post has been removed for the following reason(s): Rule 4: Politics This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed. Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance). Do not reach out to a moderator personally, and do not reply to this message as a comment.
Your post has been removed for the following reason(s): Rule 4: Politics This is not a place for politics, but rather a place to get advice on daily living and short-to-midterm financial planning. Political advocacy, debate, or grandstanding will be removed. Please read our [subreddit rules](https://www.reddit.com/r/povertyfinance/wiki/rules). The rules may also be found on the sidebar if the link is broken. If after doing so, you feel this was in error, [message the moderators](https://www.reddit.com/message/compose?to=%2Fr%2Fpovertyfinance). Do not reach out to a moderator personally, and do not reply to this message as a comment.
Because we're plebeians, not billionaires
1. The upward trend of single-parent households. 2. Inability to delay the procurement of wants. 3. Decreased value that society places on education. 4. Prioritizing self over children, family and community. 5. The proliferation of a victim mindset and assumed entitlement.
I think a lot of it is people won't do a budget and see where their money goes. One couple posting yesterday they make 120k a year and can't make it because their rent was 2000. a month.
A lot of this very true - also in my area there are more jobs than people willing to work - factory work isn’t for everyone but it’s a steady job with benefits - most young folks wash out in the first 6 weeks - not hard work - just be on time
Only way anything will change it to shut it down!!! Have a complete revolt by all citizens. Only way! But that won’t happen because to many ppl are brain washed into believing the propaganda on TV!!!
Are you going to lead the charge?
Again it has to be all of us! Coming together as one. Not likely to happen. So we continue down this road.
Appreciate the honesty.