Personal savings - lowest since great depression

[Gruntina]

I think with the cost of living and housing has gone way up, more people are alotting a higher percentage of thier wages into that leaving a little less for savings. Because it has been reported in the last few years that some large stores did not reach their selling targets at the end of the year.

We also live in the age of internet and cell phones which was not something we "needed" back then. Our basic operating needs have expanded. I know there are "wants" and "needs" but I think you know what I mean.

[disneysteve]

Originally Posted by Gruntina

We also live in the age of internet and cell phones which was not something we "needed" back then. Our basic operating needs have expanded. I know there are "wants" and "needs" but I think you know what I mean.

I hear this argument a lot and I don't buy it. When I was growing up, we all wanted a portable phonograph. Then the Sony Walkman came along and we all wanted one of those. And we all wanted a boom box. And we all wanted the hand-held Mattel electronic games (basketball, football, etc.). And we all wanted Pong or the Coleco game system.

So 30 years ago, there were plenty of "wants." They were just different ones than we have today.

As for our "basic operating needs", they haven't expanded. What has expanded dramatically is our WANTS and more and more people have seemingly lost the ability to distinguish wants from needs and simultaneously forgotten how to save first and then buy, rather than buy first and then figure out how to pay.

[PRICEPLUS]

They don't count increase in home value or stocks is interesting. They don't count 401Ks is shocking. 10% into your account is seen as a zero savings as was mentioned previously. It just does not make sense.