A person doesn't realize how fortunate we are

[folivier]

DW and I early in our careers both had a couple layoffs that took a few months to recover from. But we did. We did it by cutting our expenses drastically. Think Ramen, tuna fish, cheap TP, etc.
We always needed 2 cars but mine was an older junker, DW's was usually a nicer and newer economy car. Our expenses expanded as our careers improved. Now going into my 16th year of retirement we're enjoying our lives quite nicely.
IMO it seems lots of the grumbling from the younger working class are those that buy $1000+ cell phones yearly, new tv's every couple years, have 2 expensive cars along with the loans, boats, expensive vacations, etc.
They complain about how expensive houses are but our houses were much cheaper when we bought at 16-18% mortgages.
They just need to quit buying so much and enjoy life. Just my opinion. Don't chase the Joneses.

 

[Mark1]

My only thought was that gas isn't expensive enough yet.

Made me laugh, as this is my usual thought. When I see high diesel prices posted it brings a, rolling coal, smile to my face. Unfortunately, many of the trucks here are locals so we have no off-season.

Like Street indicated, I feel very fortunate and I sometime realize how lucky I am and how things could have easily went much different in my life. I'm very confident that if I had been born poor and in a third world country, I would still be poor regardless of how hard I worked.

 

[Aerides]

I'm not too old to remember being near each month broke after paying for my rent and bills every week, juggling enough to get by despite a full time job with overtime. (I shared an apartment, had a very low car payment, didn't have excess anything, but only a starting level income). I clipped coupons, shopped sales, all the right stuff. Once I got a raise or two, and when overtime really opened up so I could work 60 hours a week things eased up, then I got promotions and the rest is history.

But when I was starting out, an extra $20 a week for gas would have decimated my budget.

It makes me sad that many of us seem to not remember how hard it is when you're 24 and starting out. Unless of course you jumped out of school into a well paid job? Most don't.

 

[Koolau]

Well, how's that working for us?

We get the gummint we vote for. SO, "perfect."

 

[FIYes]

I’ve mentioned before that high gas prices don’t impact me that much since I drive so little. However, the impact of gas prices on overall inflation is meaningful to me. I realize how very fortunate I am at this stage in life to be able to afford what I need and want. I remember tight budgets starting out and the concern that would never be able to afford a house due to high interest rates and inflation. Those of us on this forum are fortunate indeed.

 

[COcheesehead]

The habits that started when I had nothing got me to where I am today. I do not take for granted what we have. I grew up lower middle class with parents of the Depression. Every expenditure was thought about at great length. Little was wasted.
I am about to list something on eBay that I’ll probably make $60 on. I am excited about that. Old habits are hard to break.

 

[athena53]

Yesterday was the first Friday where I saw a lot of out-of-towners arriving for summer vacations from Texas, Oklahoma and Kansas. I saw several driving heavily modded pickup trucks while I was walking around downtown mid-day. Many would punch down on the gas when the light changed to make a lot of noise and leave a thick trail of black smoke as they sped down Main Street.

My only thought was that gas isn't expensive enough yet.

I live in a Kansas City suburb and I see that day in, day out. Everyone's vehicle is bigger than my Honda Civic.

Yes I know I'm fortunate- born on third base into a family that valued education, blessed with marketable skills, parents were good financial role models, enjoyed good health, unemployed only 6 weeks out of 38 years. Still, I could have blown it all on expensive vehicles and designer clothes.

The sentiments I see on FB bother me. I'm not Elon Musk or Jeff Bezos but already I feel I'm being punished for making good financial decisions through IRMAA, Federal tax on Social Security, getting a lower % of my and my employers' SS contributions back in my monthly check. One very detailed actuarial study concluded the people in my age group with my earnings record (mostly maxed out every year) get about 70% of what their and their employers' combined contributions, accumulated at interest, would buy for a comparable package of benefits in the insurance market.

And if the threatened cuts in SS in 2030 happen I'm sure it won't be the same % across the board.

 

[thenameiwish]

The sentiments I see on FB bother me.

Dump FB.

 

[old medic]

Many would punch down on the gas when the light changed to make a lot of noise and leave a thick trail of black smoke as they sped down Main Street.
My only thought was that gas isn't expensive enough yet.

Most likely diesels... they call it rolling coal...
Our diesel is quite and smokeless...

 

[COcheesehead]

Dump FB.

Or just control who you follow

 

[athena53]

Or just control who you follow

I've done that with a few people. I can't dump FB completely- I'd miss cute pictures of my grandchildren! I've also posted corrections to mindless "Copy and Paste" posts with huge misconceptions. The current one I've seen multiple times claims that if you earned an average of $30K every year and worked for 40 years, you and your employers put in $180,000 (about right) and accumulated at only 1% interest that would be $1.2 million after 40 years. Ummm, no. It then goes on to calculate what you should be getting in SS off that fictional $1.2 million. I backed into the interest rate you'd actually need and it was 8%- and that was assuming flat earnings over 40 years when typically your later years are higher-earning years but have less time to accumulate.

At least one had the grace to delete the post.

 

[Mulligan]

We spent the majority of our years living on the edge, robbing from Peter to pay Paul and Mary went without. We learned to make do. It wasn't until the kids moved on that we got some breathing room. Now we are very aware and thankful of how fortunate and lucky we are.

Same here…Not on the edge in terms of bankruptcy, but always on the edge if I had ever lost my job and couldn't have found one quickly I would have quickly became up sh!t creek without a paddle! The higher gas prices and such are annoying, but I tease my daughter with it. I tell her these higher gas prices aren't hurting me any, it’s hurting you as in less inheritance, ha.

 

[target2019]

Dump FB.

That was my first thought.

 

[COcheesehead]

I've done that with a few people. I can't dump FB completely- I'd miss cute pictures of my grandchildren! I've also posted corrections to mindless "Copy and Paste" posts with huge misconceptions. The current one I've seen multiple times claims that if you earned an average of $30K every year and worked for 40 years, you and your employers put in $180,000 (about right) and accumulated at only 1% interest that would be $1.2 million after 40 years. Ummm, no. It then goes on to calculate what you should be getting in SS off that fictional $1.2 million. I backed into the interest rate you'd actually need and it was 8%- and that was assuming flat earnings over 40 years when typically your later years are higher-earning years but have less time to accumulate.

At least one had the grace to delete the post.

I like to follow friend’s travels and stay in touch with distant friends. If someone goes political or does those stupid cut and paste posts, they go on mute. My FB feed is pretty clean now.

 

[old medic]

Same here…Not on the edge in terms of bankruptcy, but always on the edge if I had ever lost my job and couldn't have found one quickly

Unfortunately DW had lost her job after working 2 years full time as a temp. We got to the point of possibly losing our house. 3 months behind and massive CC debt. We talked with credit counselling/ debt relief and considered bankruptcy. She then got rehired at the same job 8 months later. Took nearly 2 years to dig out but we did it...

 

[Sunset]

Renters pay property taxes too. They just pay their landlords instead of the local gummit.

Until Renters vote for rent controls to limit rents to 2% increase regardless if the property taxes go up 4% and insurance 10%, etc....

 

[jimbee]

We get the gummint we vote for. SO, "perfect."

I didn't get the government I voted for.

 

[TheWizard]

I was trying to be polite. Public housing and low income. State-wide rent control on the ballot this year.

I checked and yes, we have possibly eleven ballot questions to deal with in November.
The first two are:
The certified questions include:

Rent Control: Limits annual rent increases for residential units to the Consumer Price Index or 5%, whichever is lower.
Income Tax Cut: Gradually reduces the state personal income tax rate from 5% to 4% over three years.

I'll likely vote no and yes on those two...

 

[Jerry1]

I grew up poor. Single mother raising 3 boys. At 15, I got a job and worked until 58. From 15 to 19, I lived paycheck to paycheck and lived with my mom so housing was not an issue. Basically, I took care of everything except my housing/showering. I would eat at home very infrequently. At 20, I married well and have never looked back and never had to struggle. We both worked and we spent judiciously. I went to college while working and raising our two children but my income grew very quickly and we never experienced tight money. I absolutely count my blessings that things worked out so well. Sure, me and DW worked hard, but like most people, one bad event with health or job could have made everything much different. It is concerning how many people seem to be living on the edge. There's plenty of blame to go around, but there's no doubt in my mind that many could live better (less stress) if they lived more frugally. It will be interesting to see how this all shakes out. I'm thankful that my daughters seem to be in pretty good shape and seem to be managing their money well.

 

[Sunset]

Yesterday I got a phone call, person was asking me to talk to my State Representative to say that we should "Tax the rich to fund for a pay increase to some group".

I told her I couldn't do that right now.

I felt like telling her, tell the Governor to not subsidize the football team building a new stadium to hold more people so they can make more ticket sales, and reduce our property taxes instead.

 

[folivier]

Credit card debt is something we never had. Always paid it off each month, just used it as a convenience over writing checks. But DW worked at a local bank and saw so many people come in to buy a house and had to literally cut up their CC's.

 

[Car-Guy]

Speaking of the high cost of gas. Regular gas around here today can be had for as low as $3.85. And most stations are still under $4.00 gal (around here). The year I was born the avg price of regular gas in the US was $0.27. Inflation adjusted that 27 cents would be about $3.47. So it really doesn't seem that high to me.

 

[Jerry1]

MOD NOTE:

The war and comments about the government have creeped into this thread. Please be careful going forward as these comments tend to draw threads off track and end with closure.

 

[marko]

Back to my original point, (and I really hope I'm wrong) how long before new taxes and inflation erodes our "wealth" insulation to the point where we also become among those struggling? Five, ten, fifteen, twenty years?

I can remember back when $30k was considered "executive pay". Gotta find ways to avoid the "won the game" complacency trap!

 

[COcheesehead]

Back to my original point, (and I really hope I'm wrong) how long before new taxes and inflation erodes our "wealth" insulation to the point where we also become among those struggling? Five, ten, fifteen, twenty years?

I can remember back when $30k was considered "executive pay". Gotta find ways to avoid the "won the game" complacency trap!

I think everyone should have inflation hedges.