6 in 10 Americans don't have $500 in savings

crank · Jan 24, 2017

Nightmare515 said: ↑

The lack of knowledge about savings (compound interest mainly) in this thread is a bit staggering. It's no wonder so many Americans have trouble with finances, many seem to simply lack the will to learn about how money works.

You have to find a balance between living your life and planning for the future. Sure go ahead and yell "YOLO!!" and have fun and use phrases like "tomorrow isn't guaranteed". True, however, planning your life around the fact that you might not be here tomorrow is simply irresponsible because more likely than not you will be here tomorrow, and the day after, and the year after. But you know what also isn't guaranteed tomorrow? Your job.

This is what so many people don't understand. They have this mentality that old folks were born old or that they themselves will never reach that age or it's simply too far in the future to even think about right now. News flash kiddos, you will be 30 one day, and 40, and 50, and so on. And one day you are going to retire and wish more than anything that you could go back in time and slap the crap out of your younger self for putting you in your current situation.

Right now is tax season and everybody is talking about their tax returns and what they are going to do with that money. VERY FEW people that I personally know have even mentioned the word "save", the majority of them are going to blow their tax money on something they have convinced themselves that they "deserve" through their year of hard work. So instead of putting that money in the bank, or even some of it, they will buy a new 70" 4K TV instead.

Just make an allotment, 20 bucks, 10 bucks, 5 bucks, anything. Have the money taken out before it ever reaches your hands and you won't even miss it.

It's mainly all about personal discipline. These are trends that parents need to be teaching their children at a young age so that it continues when they are off on their own. These are very simply principles that will help tremendously. Live slightly BELOW your means and save the rest for your future. You'll thank yourself later, I promise you.

I can sort of sympathize with those who make very little money because I myself have been there and lived like that for many years. It's no excuse but I do understand. But when I see middle class folks in debt up to their eyeballs with no money to spare I simply sit back and wonder honestly what the hell are you doing? If you make $70,000 a year then simply live like you only make $60,000 a year and save the rest. It's really not that hard to do.

But whatever, that's their problem not mine, go ahead and live la vida loca for all I care, I got mine.
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Agree with all of this. I would even say that if you earn $70k, live like you earn $50k. We started living on about a third of what we earned years before we had kids, and it meant that by the time the first was born, we'd paid off our farm. Two thirds of our combined income went straight to the mortgage.

Quantum Nerd · Jan 24, 2017

crank said: ↑

I'm not sure, but I think you're using 'self-sufficient' in a different way than it's usually understood. Self-sufficient means living WITHOUT dependence on purchased foods, utilities, etc. It means living on little or no money. Very few young people want to do that. Most want to live in a highly dependent way, purchasing everything in their lives. They cannot survive 24 hours without vast and complex dependencies.

Self-sufficient people can survive not only 24 hours 'off grid', but if they're good at it, an entire lifetime.
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Ask all the self-proclaimed self-sufficient guys on here if they are on prescription drugs. That will give you the answer.

Of course, they have the illusion that they are self sufficient because they pay the bills. Nothing could be further from the truth.

Bluesguy · Jan 24, 2017

Quantum Nerd said: ↑

Now, here you see that our good friend Bluesguy thinks that half the country are lazy moochers who want free government checks. What disdain for the fellow citizens. And they talk about deplorables.
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Just mention reforming Social Security, Medicaid, Medicare and watch them scream. Suggest they save for themselves and watch the excuses. One thing for sure the more you subsidize something them more of it you get. And where did I say anything about lazy?

Again

Tell people, "Don't worry. We will take care of you," and what do you expect?

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6 in 10 Americans don't have $500 in savings

crank Well-Known Member

Quantum Nerd Well-Known Member

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6 in 10 Americans don't have $500 in savings

crank Well-Known Member

Quantum Nerd Well-Known Member

Bluesguy Well-Known Member Donor

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