If you consider yourself broke and would like help, please make a post here. I and many others would love to help, but we need some information, such as:
household income
monthly expenses - broken down by category, like rent, utilities, groceries, restaurants, etc
debts - amount owed by account, type of account, interest rate, minimum payment
assets - value of car(s), cash, etc
skills/education - in case we want to explore more ways to make money
A lot of people get discouraged and believe that they’re screwed, but I firmly believe there’s always a way to financial stability, it just takes a lot of work and humility.
That’s very noble of you, but in our capitalist systems, those who provide the most needed and valuable services are often paid the least. You may feel that telling someone to get better educated and moving somewhere cheaper will solve their problem, but then someone else will fill their past role. Our most expensive cities will always need janitors, line cooks, laborers, shelf stockers and many other roles that will never pay much. We can’t all be coders making 6 figures working remotely from bumbfuck nowhere. This doesn’t even take into account disabled people who can’t provide much or any value in the eyes of our system. You basically want to tell people to bootstrap, just in a gentler way.
Um, no. I want to help people end their own cycle of poverty. There’s nothing wrong with being a janitor, line cook, etc, and my point here isn’t to push people to change their careers, but to end the paycheck to paycheck cycle and get more control over their financials. That’s it.
My offer stands. If you or anyone else wants to discuss personal finance, provide some details and I or someone else here would love to lend a pair of eyes. However, if you’re intent on maintaining your status quo, I guess good luck to you and I hope you find success in whatever way you choose to define it.
A budget is a luxury that requires a minimum amount of income. They are presuming people are just being bad with their money, and it completely sidesteps the real issue and story here that income is far too low for basic costs for a large number of people.
I’m not sure why you got up on your soapbox to put someone down like that. They didn’t say any of the things you said. Their comment isn’t even edited, and yours is…
Lol. You wrote a comment in reply to another comment. Usually replies are for responding to what the preceding comment said. Perspectives that follow the preceding perspectives.
If you want to say something about things that nobody has said, you can just make a new post.
The original post is that 50% of Americans consider themselves ‘broke’. @[email protected] a solution that would be considerate if 0.1% of working class Americans considered themselves broke. @[email protected] offers an analysis why a ‘pull yourself together’ solution doesn’t work when the issue starts hitting 50+% of a nation. That means there’s something systemically going wrong and any suggested ‘pull yourself by the bootstraps’ solution is going to be met with more and more anger from a larger and larger crowd.
A large chunk of the US fritter away their money on interest, and that’s precisely the type of problem that can be solved with careful budgeting. Here’s a report by Forbes about debt, and I’ll highlight this section on credit card debt:
Credit Card debt details
In 2022, 48% of all credit card users carried a balance at least once based on Federal Reserve data. While families with higher income levels were less likely to report revolving a balance, the proportion of cardholders was substantial across all income levels.
According to a Forbes Advisor survey from December 2023, 22% of credit cardholders are either somewhat or very unconfident they can pay their next credit card bill in full.
And some more details from a Federal Reserve report (referenced by the above section), which states that 37% of families making $100k or more carried a balance. That income is well above the level most claim to need to feel financially secure. That doesn’t mean a $100k salary is insufficient, it means there’s more to the discussion than just income.
Personal anecdote about staying debt free in school
My parents helped me with school tuition, but I paid my own rent, food, transportation, etc while making around minimum wage (first job was $0.50 over min wage, second was $2 over). I know it’s possible to live debt free on pretty much any income, provided work is steady, because I’ve done it. Student loan repayments are capped at 10% of discretionary income in the US (so after taxes), with 20% being the worst case (it varies by program). So I don’t think student loans are the main issue either.
Examples of spending problems
I don’t know if careful budgeting can fix all of the problems the 50% quoted in the article have, but it can certainly help with a lot of them, if not most. Issues vary, but a large percentage of problems aren’t income problems, but spending problems, such as:
gambling - how many “play the market” and lose? Teaching people to buy and hold should reduce the “broke” feeling from investment losses
keeping up with the Joneses - you don’t really need that flagship phone with unlimited data with a half dozen subscriptions, nor do you need a new car (the newest car I’ve ever had was 8yo when I bought it and I paid cash)
My point here is that a very large chunk of that 50% could be much more financially stable by making a few behavioral changes. However, it’s a lot easier to claim to be a victim than to make those changes, so that’s why these types of articles get a lot of traction and comments are largely unconstructive.
If you actually want to change your financial trajectory, talking about it can help. Making a post here detailing your income, expenses, debts, etc is one way to do that. A budget isn’t going to help someone living on the streets suddenly afford an apartment, but if you have a steady job, there’s a really good chance that a reasonable budget can end the paycheck to paycheck cycle. And I’m guessing a very large chunk of that 50% in the article would fall into this category.
Explain how it is reductionist to say that when there’s over 50% of a whole nation that’s in financial woes?
If anything trying to blame the each individual’s actions is reductionist.
It paralyzes any political discussion in order to uphold an ever fragile status quo.
How many more people in your own country need to into debt before
you start calling it a systemic issue? 80%? 90%? 99%? 99.9%? 99.99%?
Whatever your solution is going to be, people’s incomes are going to go down,
as everything is being automated.
Grocery stores are being automated.
Fast food chains are being automated.
Any brick-and-mortar store is disappearing.
Artists are being replaced
Your personal anecdote is worthless.
I delivered magazines, newspapers and mowed lawns when I was a kid.
Good luck telling the Gen Z that!
And if you don’t understand whe, I’ll try be as reductionist as possible
in how my (and your) personal anecdote doesn’t work anymore:
Internet, AI & robots has set up the us the bomb
All your income are belong to FAANG!!
You have no chance to survive make your time
Move Cap Install Com
For great justice!
Hahahaha. Are you preaching work harder pick yourselves up by your bootstraps?
People need to make a minimum amount of money to do that. If their housing alone is more than 50% of their income, what you are thinking won’t work. The money isn’t there.
Also, changing jobs and moving are luxuries that some people struggle to enjoy. Sometimes it requires money upfront, sometimes it requires education people may not have, or some people are unfairly held back with disabilities.
I think you are genuinely trying to help, but this does smell a bit of never having experienced being “in the red” poor no matter what you do. Those people have next to no options.
I’m talking like $30k in income, which far too many families deal with and is unliveable anywhere.
If you’re making $30k, you qualify for a ton of welfare programs throughout the country. So saying “$30k income isn’t livable” doesn’t make sense on its own without taking into account the various programs available. It may still be unlivable, but the income number on its own can’t really determine that.
Not all problems can be solved with budgeting and changing jobs, but a lot of them can be. That’s why I recommend anyone who would like to improve their situation to reach out, more often than not a few extra pairs of eyes can help get you on track to financial security.
If you consider yourself broke and would like help, please make a post here. I and many others would love to help, but we need some information, such as:
A lot of people get discouraged and believe that they’re screwed, but I firmly believe there’s always a way to financial stability, it just takes a lot of work and humility.
That’s very noble of you, but in our capitalist systems, those who provide the most needed and valuable services are often paid the least. You may feel that telling someone to get better educated and moving somewhere cheaper will solve their problem, but then someone else will fill their past role. Our most expensive cities will always need janitors, line cooks, laborers, shelf stockers and many other roles that will never pay much. We can’t all be coders making 6 figures working remotely from bumbfuck nowhere. This doesn’t even take into account disabled people who can’t provide much or any value in the eyes of our system. You basically want to tell people to bootstrap, just in a gentler way.
Um, no. I want to help people end their own cycle of poverty. There’s nothing wrong with being a janitor, line cook, etc, and my point here isn’t to push people to change their careers, but to end the paycheck to paycheck cycle and get more control over their financials. That’s it.
My offer stands. If you or anyone else wants to discuss personal finance, provide some details and I or someone else here would love to lend a pair of eyes. However, if you’re intent on maintaining your status quo, I guess good luck to you and I hope you find success in whatever way you choose to define it.
They’re asking for info so they can help with a budget or a debt paying strategy.
A budget is a luxury that requires a minimum amount of income. They are presuming people are just being bad with their money, and it completely sidesteps the real issue and story here that income is far too low for basic costs for a large number of people.
It reeks of “work harder” bullshit.
I’m not sure why you got up on your soapbox to put someone down like that. They didn’t say any of the things you said. Their comment isn’t even edited, and yours is…
Because this is a forum where people share perspectives. If you don’t want to hear them then don’t read the comments.
Lol. You wrote a comment in reply to another comment. Usually replies are for responding to what the preceding comment said. Perspectives that follow the preceding perspectives.
If you want to say something about things that nobody has said, you can just make a new post.
The original post is that 50% of Americans consider themselves ‘broke’.
@[email protected] a solution that would be considerate if 0.1% of working class Americans considered themselves broke.
@[email protected] offers an analysis why a ‘pull yourself together’ solution doesn’t work when the issue starts hitting 50+% of a nation. That means there’s something systemically going wrong and any suggested ‘pull yourself by the bootstraps’ solution is going to be met with more and more anger from a larger and larger crowd.
That’s a bit reductionist.
A large chunk of the US fritter away their money on interest, and that’s precisely the type of problem that can be solved with careful budgeting. Here’s a report by Forbes about debt, and I’ll highlight this section on credit card debt:
Credit Card debt details
And some more details from a Federal Reserve report (referenced by the above section), which states that 37% of families making $100k or more carried a balance. That income is well above the level most claim to need to feel financially secure. That doesn’t mean a $100k salary is insufficient, it means there’s more to the discussion than just income.
Personal anecdote about staying debt free in school
My parents helped me with school tuition, but I paid my own rent, food, transportation, etc while making around minimum wage (first job was $0.50 over min wage, second was $2 over). I know it’s possible to live debt free on pretty much any income, provided work is steady, because I’ve done it. Student loan repayments are capped at 10% of discretionary income in the US (so after taxes), with 20% being the worst case (it varies by program). So I don’t think student loans are the main issue either.
Examples of spending problems
I don’t know if careful budgeting can fix all of the problems the 50% quoted in the article have, but it can certainly help with a lot of them, if not most. Issues vary, but a large percentage of problems aren’t income problems, but spending problems, such as:
My point here is that a very large chunk of that 50% could be much more financially stable by making a few behavioral changes. However, it’s a lot easier to claim to be a victim than to make those changes, so that’s why these types of articles get a lot of traction and comments are largely unconstructive.
If you actually want to change your financial trajectory, talking about it can help. Making a post here detailing your income, expenses, debts, etc is one way to do that. A budget isn’t going to help someone living on the streets suddenly afford an apartment, but if you have a steady job, there’s a really good chance that a reasonable budget can end the paycheck to paycheck cycle. And I’m guessing a very large chunk of that 50% in the article would fall into this category.
Explain how it is reductionist to say that when there’s over 50% of a whole nation that’s in financial woes?
If anything trying to blame the each individual’s actions is reductionist.
It paralyzes any political discussion in order to uphold an ever fragile status quo.
How many more people in your own country need to into debt before
you start calling it a systemic issue? 80%? 90%? 99%? 99.9%? 99.99%?
Whatever your solution is going to be, people’s incomes are going to go down,
as everything is being automated.
Grocery stores are being automated.
Fast food chains are being automated.
Any brick-and-mortar store is disappearing.
Artists are being replaced
Your personal anecdote is worthless.
I delivered magazines, newspapers and mowed lawns when I was a kid.
Good luck telling the Gen Z that!
And if you don’t understand whe, I’ll try be as reductionist as possible
in how my (and your) personal anecdote doesn’t work anymore:
Internet, AI & robots has set up the us the bomb
All your income are belong to FAANG!!
You have no chance to survive make your time
Move Cap Install Com
For great justice!
Hahahaha. Are you preaching work harder pick yourselves up by your bootstraps?
People need to make a minimum amount of money to do that. If their housing alone is more than 50% of their income, what you are thinking won’t work. The money isn’t there.
Also, changing jobs and moving are luxuries that some people struggle to enjoy. Sometimes it requires money upfront, sometimes it requires education people may not have, or some people are unfairly held back with disabilities.
I think you are genuinely trying to help, but this does smell a bit of never having experienced being “in the red” poor no matter what you do. Those people have next to no options.
I’m talking like $30k in income, which far too many families deal with and is unliveable anywhere.
If you’re making $30k, you qualify for a ton of welfare programs throughout the country. So saying “$30k income isn’t livable” doesn’t make sense on its own without taking into account the various programs available. It may still be unlivable, but the income number on its own can’t really determine that.
So that’s why talking about expenses and skills is important. Many problems can be solved with proper budgeting, but some may need a job change to increase income. Increasing income on its own can’t solve budgeting problems (i.e. “you can’t outrun your fork”). Even people with middle and upper middle class incomes live paycheck to paycheck, nearly 1/3 of lottery winners go bankrupt, and nearly 80% of retired NFL players go broke. The reason behind most of those is the same thing I’m talking about: lack of personal finance education and skills.
Not all problems can be solved with budgeting and changing jobs, but a lot of them can be. That’s why I recommend anyone who would like to improve their situation to reach out, more often than not a few extra pairs of eyes can help get you on track to financial security.
You sure make knowledge of and access to resources sound sooooooo simple.