I guess it is human nature.

[Nika]

I can understand why people who make less can have financial stress, but it always is amazing to see when people who make more than you, sometimes significantly more and for many more years, don't have $40 until they get paid. Especially when you know their spouses make more also, and yet they are just paying the minimum on the credit card. And you know they are not struggling with health problems or anything like that.

Do you ever see this?

[disneysteve]

Do you ever see this?

Absolutely.

A lot of people think, "All of my money problems would be better if I just earned $xxx." Then they start earning $xxx and somehow their problems don't go away.

Most people don't have an earning problem. They have a spending problem. The more they earn, the more they spend, and they don't end up any better off than they were before.

[cougs4bcs]

money does not solve money problems. it is a character issue. BOOM

[corn18]

Absolutely.

Most people don't have an earning problem. They have a spending problem. The more they earn, the more they spend, and they don't end up any better off than they were before.

True dat. And the problem goes from a thousand dollar problem to a hundreds of thousands of dollar problem. Or more.

I know first hand how this works and how out of control it can get. I am thankful we (and that is key) finally decided to fix it. Life is so much better now that we are spending less and saving more.

[LivingAlmostLarge]

I have to admit I thought that too, when we made $x we'd be set. Hasn't happened yet. Instead more savings and more bills just arose! Never imagined we'd make as much as we make and seriously live almost the same as before. Except adding in two kids.

[bjl584]

I see this all the time. A friend of mine makes significantly more than me, but he doesn't have 2 nickels to rub together. In the past 10 years I've managed to save up quite a nice nest egg while he has gone through bankruptcy, two car repos, and a 401K cash out. All while earning more than me.

[hamchan]

money does not solve money problems. it is a character issue. BOOM

Sorry, but no. When I was dealing with thousands of dollars worth of medical issues while trying my best to get by on an income of 10k a year, my money issues were not due to any sort of character flaw. It's a hell of a lot easier to get through stuff like that when you actually make enough to pay your copays, buy your medications, and make payments on larger bills. Dealing with medical issues now, making four times that amount, is still challenging but doable.

[Permanent Temp]

The people around me are no so candid about money and except for one family member who I would love if they shut their mouth about it. These people spend money on luxury items regularly and think the higher the price tag the better it must be and extra income = extra spending. I really don't get it. It is irritating.

Then there's the other end. I see people who live off of the work I do at my part time job and they are smoking, buying Starbucks and whole foods pre-made food everyday etc. These people also manage to get homes while I can't see to find a way to afford them (although later it came up that these are in neighborhoods that I would steer clear from). While I do understand this trap well, what they do serves to remind me to not fall back into that trap while unemployed. Treats are okay but if I can't comfortably afford that on a full-time job I'm not doing myself any favors by doing it when I'm paid almost minimum wage.

[btctony]

I have a friend who recently switched jobs and came out with a salary increase of over 50%. Guess what? This friend has been in the new position for several months and is still living paycheck to paycheck making minimum payments on credit cards and student loans.

[Singuy]

Should we blame the people or the system?
When you have two social safety net in place such as the ability to file bankruptcy, and the ability to have access to emergency medical care regardless of money, then yes you can create a bunch of idiots who will spend everything they have and then some.


Ever wonder why Chinese people don't have such a spending problem? It's because if they don't have money, they will rott outside of the hospital. Saving money is tied to their actual lifeline.