Monday Musings

Reader Maurice sent this comment, “Saving really is a choice, 7-11 coffee vs Starbucks, buying four Bob Evans breakfast sandwiches from the grocery store vs one from McDonald’s, buying a refurb from Amazon vs new from Best Buy. People spend more time researching their Final Four brackets than the house they buy. Sorry if people do not want to hear the truth.”

So, Maurice is saying that for most people who don’t save money, it’s more a matter of they won’t than they can’t. What do you think? I agree with Maurice. Taking the Bankrate article at face value, well over half of Americans are not saving. Given what people earn who are in the 51st-60th percentiles in income, by definition they must be “wasting” money.

A certain segment of the population believes that all people who are less well-off are simply oppressed and/or unlucky. I vehemently disagree. One does not have total control over life outcomes, but luck is not 98% of those outcomes and many, if not most, of those less well-off are not oppressed, they just make bad decisions.



No one is owed anything just because they’re here. However, it seems as though many people are irresponsible with money perhaps because they think someone else will take care of them.

The CNBC article that is linked above shows the results from a survey about saving by GoBankingRates. The results are not encouraging. Sixty-one percent of respondents aged 25 to 34 had less than $1,000 saved and 41% had ZERO savings. If they attended college a 34-year old should have graduated more than a decade before. (Yes, I know about student debt and I also know that government subsidies are the main reason why college has become so expensive. That’s another story for another day, though.)

The lack of financial education in America’s public schools will have very negative consequences. It already has.