64% of the population is living paycheck-to-paycheck

Packerjohn said:
As I live longer and longer I believe in surveys less and less. Manufacturing all went south of the border and over to China. All we seem to produce is surveys after surveys after surveys. We are getting survived to death!

I do feel sorry for folks that are "down and out." However, let's look at the big picture. First of all, most folks have little or no discipline. They want everything NOW! The credit card has become the curse of this century for folks that have no restrain and no discipline. The house in Canada are way too big. Some homes of 3,000 square feet have only 2 people living there. It's a crime!

Then there are the "Jones." They have the 3 car garage, the 3 or 4 vehicles in the driveway. The Jones have bought, (on credit, of course) snowmobiles for the winter (one for him and one for her) and personnel water crafts for the summer ( of course, one for him and one for her). The Jones living in the country have to have at least one ATV. If they live by the lake they must have a pontoon boat to sit and drink beer.

No, I feel sorry for folks that are down and out but I sure don't feel sorry for those "keeping up with the Jones." There is a lot of fat that needs to be cut in this country. I think the increasing interest rates and the inflation is going to cut a lot of that fat and I, for one, is really looking forward to this cutting. I think a better society will eventually emerge from the current madness.
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Years and years ago, a friend of mine worked in the county tax collector's office. She said that it wasn't uncommon for certain homeowners who had the beautiful large homes on acres of manicured land to literally arrive in her office on the day delinquent tax notices were being sent out (and which also meant that the property was going to go up for sheriff's sale if the taxes weren't paid) begging for extensions (after having been given several already) and emptying their pockets on the counter to just pay something towards their tax liabilities.

When we were kids my Dad used to ask us who the richest person was. Back then we'd say things like "Rockefeller" or "Aristotle Onassis" or whomever else we could think of. My Dad would say "No. The richest person is the one who has no debt". Never forgot it because it's true.
 

Leann said:
Years and years ago, a friend of mine worked in the county tax collector's office. She said that it wasn't uncommon for certain homeowners who had the beautiful large homes on acres of manicured land to literally arrive in her office on the day delinquent tax notices were being sent out (and which also meant that the property was going to go up for sheriff's sale if the taxes weren't paid) begging for extensions (after having been given several already) and emptying their pockets on the counter to just pay something towards their tax liabilities.

When we were kids my Dad used to ask us who the richest person was. Back then we'd say things like "Rockefeller" or "Aristotle Onassis" or whomever else we could think of. My Dad would say "No. The richest person is the one who has no debt". Never forgot it because it's true.
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Ergo I must be the richest person in the world.. because I am happy to say I have NO debt....thank God
 
Murrmurr said:
Thankfully, my kids are doing quite well. Two of my grandkids are beginning to feel the pinch pretty dearly, but one of them lost his job. He's married but they don't have any kids, so that's good at least. His wife is still working.

Michelle and I are barely hanging in there at the moment. Michelle was talking about quitting school and going to work full-time. I don't want her to do that. She was also saying she'd get a license rather than a degree - be a pre-school teacher's aid rather than primary school teacher - but I don't want her to settle for that, either.

We'll be doing a bit better when my foster-care income starts hitting the bank, but of course a lot of that will go toward the baby; half at the very least. She's growing fast, starting on "solid" food, and she's getting interested in toys.

So I'm mulling over dipping into my savings, which is substantial, but that was for our house. So we'd have to put off buying a house. I think I'd rather do that than interrupt Michelle's career path. But maybe, considering she'll survive me by quite a few decades, maybe she should have a house that's nearly paid for with a relatively small mortgage and not many years left on it.

IDK, I'm still mulling it over.
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Just read your post. I can empathize with your situation. I am glad that my husband and I paid off our mortgage before he retired because when he was gone three years later, I didn't need to worry about a mortgage. The mortgage is the biggest expense, in my humble experience, and we had taken care of that. But it took a few years to get to that point. We had to plan it several years in advance, and everything worked out. Our goal was to be financially independent and have no debt. I am very fortunate he took care of me in that way. Very fortunate.
 
palides2021 said:
Just read your post. I can empathize with your situation. I am glad that my husband and I paid off our mortgage before he retired because when he was gone three years later, I didn't need to worry about a mortgage. The mortgage is the biggest expense, in my humble experience, and we had taken care of that. But it took a few years to get to that point. We had to plan it several years in advance, and everything worked out. Our goal was to be financially independent and have no debt. I am very fortunate he took care of me in that way. Very fortunate.
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Since I can, maybe I should just buy a house outright. I was awarded a hefty sum in a lawsuit about 20 years ago. I didn't spend much of it and it's already earned back about what I spent. My plan was pay for the grandkids' college, but only 2 of them went to college. Two of them are still in their teens, but their parents already saved for their college. So I have enough for a decent house. Just seems weird after holding onto it for this long...which is kinda funny.
 
Actually, a friend of ours asked the question when we told him my husband was planning an early retirement. Our friend asked, "Do you have your mortgage paid off?" We hadn't, because we were still living at that time in an area where the price of a home was very high, but we could afford it because my late husband was still working. We did the math and realized once he'd retire, we couldn't afford the high mortgage. So we sold that home and with the proceeds bought a home further away from the city at a very good price. He was able to retire shortly after that. It was the best decision we ever did.
 
No paychecks coming in to worry about living paycheck to paycheck. In retirement debt free I'm worried about what's going to happen when I'm 128 years old. That is when Fidelity says I'll have used up the money in my accounts paid out due to the mandatory required distributions. :(
 
We paid cash for our house 16 years ago, when I was 48 y/o, because we were fortunate enough to sell our house in South Florida (which was not nearly as nice as our house in Dallas) during the height of the real estate bubble and when Dallas real estate was still relatively cheap. I told the realtor what my budget was, he tried to show us more expensive houses and I dug in my heels. I knew what we could afford. I paid off my car in 2020. I pay off my credit card balance every month.

I guess I am rich. Our house is no mansion, but I am satisfied to just be comfortable and happy.
 
IMO, being Debt Free is the Most important factor for a decent retirement. Having to contend with mortgages, and car payments, etc., just adds unnecessary stress when trying to live on a fixed income.

We made our last house payment somewhere around 1990, and haven't paid a nickel in interest, since. Now, If we need something, we pay cash....if we can't afford it, we likely don't really need it.
 
We have a big house, but it never had a mortgage on it...as hub built it himself with our (mom and I) help and a couple of hired laborers. It took 3 years to build. Yes its really big, but we've lived in it for 37 years on several acres of land and its home to us. Home is where your heart is. Nothing as good in retirement as to be able to enjoy living and that means being able to sleep at night.
 
lol - my current house will be mortgage free in only another 29 years! I'm sure I'll move at least one more time before then, so who knows. My son can deal with the loose ends once I kick the proverbial bucket.

As for that 64% living paycheck to paycheck, they should be glad they are not a part of the 500,000 homeless in America.
 
Murrmurr said:
I'll take that hug, Autumn, thank you.

Michelle and I are still discussing it. We're going to do what's best for her, since she'll be here longer. She just needs to tell me what that is...and then we'll do what I think is best. ;)
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My two cents for Michelle: Go for the degree certification to teach K-up in schools. If you prefer preschoolers, you can always take that job (if money isn't your most pressing need.)
 
My humble home and my humble car were both bought with cash. Now that my ex died and my Social Security increased, I'm not in that pay-check to pay-check mode for once. Phew. My one credit card is used as a convenience, not as a necessity. The only big fear that I have is a hospitalization. A one week calamity would put me right back where I was, struggling to survive. If 64% of the USA population is living pay-check to pay-check, I have to ask "Why?" With government hand-outs and employers giving incentives and higher wages, is it merely a lifestyle issue and/or credit card debt?
 
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Em in Ohio said:
My humble home and my humble car were both bought with cash. Now that my ex died and my Social Security increased, I'm not in that pay-check to pay-check mode for once. Phew. My one credit card is used as a convenience, not as a necessity. The only big fear that I have is a hospitalization. A one week calamity would put me right back where I was, struggling to survive.
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My car was also paid with cash.. and like you Em I don't routinely use my credit card.. I use my debit card , because I know whatever I load onto it is all I can spend... My daughter gets annoyed with me and tells me I should be using my CC's for all purchases because they're safer... but I like the way I do it, .. and that's the way it'll stay for now..

Fortunately we don't have your last worry here.... not yet, anyway...thanks be to God and the Queen.. or whoever is responsible for the NHS
 
My best friend and his wife built a very high end home four years ago while they were both around 56 years old. Both their daughters were just finishing college so they were soon to be empty nesters. It really made no sense to me they would build such an extravagant home, and then he told me their goal was to pay it off by the time they hit 70! I almost cried for them thinking of having to work all those extra years just to pay a mortgage.

Debt free is the only way to live for me.
 
Em in Ohio said:
If 64% of the USA population is living pay-check to pay-check, I have to ask "Why?" With government hand-outs and employers giving incentives and higher wages, is it merely a lifestyle issue and/or credit card debt?
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It is many factors but i have seen the attitude that people of all AGES simply are as was told to me "comfortable with debt"
you can finance almost anything ... and the payments can be kept low so you will be paying on basic items for a decade .......

so many want something NOW ... not when they saved up for it .....
phones costing over $1000 being a simple 20 bucks a month for YEARS
cars financing stretched out and out ..... credit taken everywhere .....never had so much trouble when credit was not taken at basic places like grocery/ fast food etc .........
living a lifestyle some HOPE they can pay for down the road.
 
Jeni said:
It is many factors but i have seen the attitude that people of all AGES simply are as was told to me "comfortable with debt"
you can finance almost anything ... and the payments can be kept low so you will be paying on basic items for a decade .......

so many want something NOW ... not when they saved up for it .....
phones costing over $1000 being a simple 20 bucks a month for YEARS
cars financing stretched out and out ..... credit taken everywhere .....never had so much trouble when credit was not taken at basic places like grocery/ fast food etc .........
living a lifestyle some HOPE they can pay for down the road.
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Yes, I can only add that folks not only want things NOW as you mentioned, they want them NEW. Growing up with parents born 1913-15, I was taught the value of hand-me-downs, loaner items, and second-hand stores. So, perhaps it can be attributed to "status" or "keeping up with the neighbors" mentality.
 
Jeni said:
It is many factors but i have seen the attitude that people of all AGES simply are as was told to me "comfortable with debt"
you can finance almost anything ... and the payments can be kept low so you will be paying on basic items for a decade .......

so many want something NOW ... not when they saved up for it .....
phones costing over $1000 being a simple 20 bucks a month for YEARS
cars financing stretched out and out ..... credit taken everywhere .....never had so much trouble when credit was not taken at basic places like grocery/ fast food etc .........
living a lifestyle some HOPE they can pay for down the road.
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Tis true what you say. I was browsing an online store.. might have been ebay or it could have been a high street store.. but there were choices on how to pay... one was a method I don't know, never heard of until now .. but my point is that they were giving the opportunity to pay for items on credit which were just a few pounds.. to pay for example at stupid weekly amounts like 20p a week.. I couldn't believe my eyes.

The problem with that is not only will they be saddled with the debt long after they've dispensed with the item..there's a very good chance that they'll forget what they bought.. because they can make many purchases at those rates... and then... even further to that.. here in the UK, you can file for bankruptcy which is what so many of them do who have chalked up massive credit card debts, and be discharged from bankruptcy in just 12 months and start all over again
 
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hollydolly said:
The problem with that is not only will they be saddled with the debt long after they've dispensed with the item..there's a very good chance that they'll forget what they bought.. because they can nake many purchases at those rates... and then... even further to that..at least here in the UK, you can file for bankruptcy which is what so many of them do who have chalked up massive credit card debts, and be discharged from bankruptcy in just 12 months and start all over again
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the time frame here for bankruptcy is 7 years .... but i knew of someone who floated along and did file for a second time after the 7 years were up.......
Credit companies will give credit to almost anyone....as well.
 
Jeni said:
the time frame here for bankruptcy is 7 years .... but i knew of someone who floated along and did file for a second time after the 7 years were up.......
Credit companies will give credit to almost anyone....as well.
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It used to be 7 years here.. but not now. After 12 months you can apply for a credit card again...
 
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