What the fuck is this? “How employers might help change that” Answer: they wont, they just might be forced to let employees give themselves a fee-free loan from their own retirement account, oh and here’s a slightly different new emergency savings account. It’s still all just your money…What the actual fuck?
What about the half of US workers that don’t have a retirement account? I guess fuck them?
Paying higher wages doesn’t get people to start bank accounts, much less retirement accounts.
Many people on the poorer end of the spectrum literally hide money in their walls/mattresses rather than get bank accounts - I know many of these people firsthand.
Seriously, that’s what it ended up costing me, and I did part of the body work needed to be able to fit a new windshield in right. If I hadn’t kept the tools around, that would have been another 500.
Mind you, the 500 I did pay out included some other body work I just couldn’t physically do. The glass and installation of the glass was “only” 150 ish (can’t remember what the tax was).
The one before that, that was barely under 500 was the AC unit for the house freezing up and fucking the compressor.
And 500 is a single emergency. You get hit by multiple, and you’re fucked .
A simple blown tire that renders you only reliable way to work that doesn’t pay enough to cover your basic living expenses is a catastrophic emergency that could cost around 500 bucks.
They are. And it would be funny if it weren’t such utter bullshit. As if the sizeable chunk of the population that lives paycheck to paycheck could actually afford to hold on to a couple thousand dollars in stimulus funds. When shit is waaayyyy more expensive than it was 3 years ago and wages haven’t really climbed that much.
Nobody has any fucking money. You can’t afford medical, you can’t afford a house, you can barely afford a car. You can barely afford rent. Everything is more expensive. Food, gas, everything. Wages can’t keep up with inflation and employers could give a shit.
As a non American can I ask about your monthly budget? I’m really curious as to what’s really going on and how much it’s costing because everyone from different states are talking differently.
The US is massive and each state and city can have wildly varying costs of living and pay.
So it’s a bit hard to compare someone from NYC to someone who lives in Austin Texas.
Generally on the north east coast the cost of living is high due to density and so wages/salaries tend to be higher than somewhere with a lower cost of living. As you move into the mid west and central US things tend to come back down before going up again on the west coast.
to an extent, it really does differ by state. however, housing costs went up significantly for both buying a house or renting in the last 2 years.
I live in the greater Seattle area, but not in Seattle, which is fairly expensive. I make about $50k per year, which is about $3400/ month take home after taxes and paying for health insurance. $1550 of that goes to rent. internet costs me $60/ month; I could get cheaper, crappier internet, but this way I also get to work from home a few days a week and enjoy online video games. power varies, depending on if I need to run the heat. for the summer, it’s about $60/month, in the winter it might go up to $200/month. I don’t do well in the cold, I could save money but sleep poorly and risk getting sick by not warming up so much. my brother has a deal for phone service, so we share a family plan where my share is $30/ month. I don’t have a car now, I ride the bus generally. that’s about $50/ month, but varies if I need to be in the office more or go more places than my usual sedentary habits.
if you’re keeping track, that’s about $1600/ month left after allocated expenses. I haven’t talked about food or other household necessities, or any fun leisure stuff. you’ll also notice I don’t have any student loans or medical debt or a car loan. I did spend a full year unemployed during covid, and ran up my credit card staying afloat. so I’ve got about $20k debt that I put at least $500/ month toward.
getting a car would be prohibitively expensive here - in addition to the cost of the car, I’d also be paying $100/ month to park it, +gas, +insurance. I’ve lived in other states where not having a vehicle meant you couldn’t work, because there was no effective public transit. usually those places didn’t have the parking expense, but gas and insurance alone are more expensive than my transit costs here usually are.
I’m pretty ok for this area. my rent is pretty cheap for a studio apartment (no bedroom, just living area, private kitchen, private bathroom). my debt is fairly low, and my credit remains pretty good, so if I need a loan it’s an option.
I work full time for CVS and I have 26 cents in my bank account, nevermind 500. I literally cannot save, every cent is expenses. When an emergency happens I am straight up fucked every time.
An emergency happened for me in june and I was homeless by July, working fucking full time. I fucking hate this country. Literally standing in line to donate plasma for gas money. Christ.
America is kinda fucked up. Seeing it from the outside, nothing is surprising, the solutions are fairly obvious. If nothing else, the direction in which to go. Yet, it’s just dumb and dumber.
You had a real shot at change with Bernie Sanders. At least one of the three pieces. At this point, you’ll have a revolution within the next 5-10 years that changes the two party system, or it’s lights out.
True, financial literacy is pretty lacking, but that’s more of an education issue than “their fault”
Most dealerships and banks will happily approve a loan that’s too high to be realistic. It’s predatory, I make $20/hr and got approved for up to $300k for a mortgage. I bought a house worth half that and it’s still a lot. Just feel like banks really shouldn’t let people sign loans worth 80% of their monthly income
Financially illiteracy is a point; but it’s not a point for 50+% of the US. Median wage is $50k/year, which is far too low to ever purchase a home, so they’re affected by the median rent being $1,383. which is half their net income.
Yeah 63% seems way too high. The median wage in the US is like $50k. That’s not a ton of money, but half the population should definitely be able to find $500 in an emergency.
