Half of Americans are poor, have no savings

[Chloë.]

Finance really should be taught throughout elementary and high school. Why isn't it?

The curriculum needs and overhaul.

It kind of is through algebra, from there moving onto differential calculus. They touch on financial math briefly in 12th grade as well.

The issue is most students aside from the ones who get how important it is for finance don't realize it until their twenties and are facing first year math courses without adequate outside prep.

I personally think high school kids should have a mandatory summer preparatory class or session months before they enter university. I also think they should make math mandatory for all four years like English is.

There's such a vast disconnect with many students with where they are academically versus where they need to be for university. I tutor math kids in high school and sometimes it's unfortunate how quick they need to mature academically from 16-17 to 18.

 

[LeeHelm]

Poor people ask what are my payments. Rich people ask what does it cost.

While I am by no means rich, my monthly payment for something is always the last question I ask. My very first question always is "what does it cost". I try very hard to have no debt. I always pay off my credit cards. Until very recently, when I bought a new house, I had zero debt for 10 years. Paid cash for my car and paid the old mortgage off early. I am well on track to get the new home paid off early. I can easily do it right now but for how low the interest rate I have, it wouldn't be smart.

While I always buy a new car, I buy the base model and keep it 15 years. I could have easily afforded a bigger home, I figured it just didn't make sense. I would rather not have to worry if I lose my job.

 

[nondescriptive]

I have a co worker that lives pay check to pay check, he always buys his lunch, never seen him bring a home cooked meal to work, creditors are always after him, it seems like he hits the bars every night...I just shake my head.

I live very modest, have no debts whatsoever, I'm an introvert-very little need to go out for drinks, my meals are home cooked, haven't bought new clothes or shoes in a few years.

I'm doing very well financially for my retirement years.

 

[Indiana]

$40K is still a lot of money to blow in a year. Why did you shoot yourself in the foot like that knowing that you had no source of income? Most if not all of your "other things" can wait until later. And speeding tickets are definitely avoidable.

No it's not.
He said he has no income.
$40k for living expenses 10 months is believable.

 

[Conil]

Most can't afford to fix their cars.

http://www.alternet.org/economy/half-america-or-damn-near-close-living-poverty

.

What a crock of shit website, I'm surprised someone would believe this story. The true story is quite different.

 

[stinkynuts]

I have a co worker that lives pay check to pay check, he always buys his lunch, never seen him bring a home cooked meal to work, creditors are always after him, it seems like he hits the bars every night...I just shake my head.

I live very modest, have no debts whatsoever, I'm an introvert-very little need to go out for drinks, my meals are home cooked, haven't bought new clothes or shoes in a few years.

I'm doing very well financially for my retirement years.

Even when I had lots of money coming in, I always packed my lunch, except for the rare instance where I was too tired, lazy, or just wanted something different, or to treat myself.


Let's say you spend $10 for each lunch, five days a week. That's $50 X 50 weeks = $2500 each year! For 20 years, that's $50,000. Forty years, $100,00!

To me, buying drinks at a bar is crazy. They are so expensive, and then you have to tip the bartender. I'm glad I don't drink.

If you can save $500 each month by scrimping and cutting down on luxuries, you will be well off soon.

I think smokers are crazy. Throwing all that money down the drain, stinking up their clothes, car, and house, getting cancer, and ageing. It makes no sense.

A pack a day is how much now? $15? That's $5500 each year. After 40 years, that's $22000! Enough to buy a condo.

 

[wazup]

It kind of is through algebra, from there moving onto differential calculus. They touch on financial math briefly in 12th grade as well.

The issue is most students aside from the ones who get how important it is for finance don't realize it until their twenties and are facing first year math courses without adequate outside prep.

I personally think high school kids should have a mandatory summer preparatory class or session months before they enter university. I also think they should make math mandatory for all four years like English is.

There's such a vast disconnect with many students with where they are academically versus where they need to be for university. I tutor math kids in high school and sometimes it's unfortunate how quick they need to mature academically from 16-17 to 18.

All of a sudden I feel a strong urge to brush up on my grade 12 math. Boing!!!!!

Chloe - Hi Johnny, I'll be your Tutor, I'm Miss Chloe.

Johnny - Hi Miss Chloe.

Chloe - Johnny, your dad doesn't have to stay, you're fine by yourself.

Johnny - I know, I told him three times already but he won't leave.

 

[explorerzip]

No it's not.
He said he has no income.
$40k for living expenses 10 months is believable.

If you have no income, then you cut back immediately on all of your expenses. And I was referring more to his "travel expenses." Why is he travelling when he has no income? Car repairs can be delayed depending on how serious. Cosmetic dental work can definitely wait. His story should hammer home how important it is to have an emergency fund that us only for emergencies like losing your job.

 

[explorerzip]

Even when I had lots of money coming in, I always packed my lunch, except for the rare instance where I was too tired, lazy, or just wanted something different, or to treat myself.


Let's say you spend $10 for each lunch, five days a week. That's $50 X 50 weeks = $2500 each year! For 20 years, that's $50,000. Forty years, $100,00!

To me, buying drinks at a bar is crazy. They are so expensive, and then you have to tip the bartender. I'm glad I don't drink.

If you can save $500 each month by scrimping and cutting down on luxuries, you will be well off soon.

I think smokers are crazy. Throwing all that money down the drain, stinking up their clothes, car, and house, getting cancer, and ageing. It makes no sense.

A pack a day is how much now? $15? That's $5500 each year. After 40 years, that's $22000! Enough to buy a condo.

Saving is definitely important, but investing is even more. You won't earn a dime on your savings in the bank so you have to always be investing.

 

[explorerzip]

It kind of is through algebra, from there moving onto differential calculus. They touch on financial math briefly in 12th grade as well.

The issue is most students aside from the ones who get how important it is for finance don't realize it until their twenties and are facing first year math courses without adequate outside prep.

I personally think high school kids should have a mandatory summer preparatory class or session months before they enter university. I also think they should make math mandatory for all four years like English is.

There's such a vast disconnect with many students with where they are academically versus where they need to be for university. I tutor math kids in high school and sometimes it's unfortunate how quick they need to mature academically from 16-17 to 18.

The credit card companies know this, which is why they hand out student VISA cards in first year. They even go so far as to have a university branded card.

 

[explorerzip]

taught what?


put some savings away?

buying a house you cannot afford ?


not reading the mortgage and understanding the low rates will go up after a few years?


believing a housing bubble will last forever so time to jump in ?


do not buy on a CC if you cannot pay it off because the rates are 19% ?


you need to be taught this?


but, then again, they elected trump

Don't kid yourself, Canadians are just as dumb with their money as Americans are and the banks aren't helping the situation. Our only saving grace is our banking system is a bit more secure for now and it's a bit harder to qualify for a mortgage.

 

[Chloë.]

All of a sudden I feel a strong urge to brush up on my grade 12 math. Boing!!!!!

Chloe - Hi Johnny, I'll be your Tutor, I'm Miss Chloe.

Johnny - Hi Miss Chloe.

Chloe - Johnny, your dad doesn't have to stay, you're fine by yourself.

Johnny - I know, I told him three times already but he won't leave.

Hahaha!!!! If only .

 

[mmouse]

Agreed,...but who's going to teach them,...???

FAST

Same people that teach basic grammar probably.

 

[wazup]

A recent study put Canadians in the same boat, 50% lived week to week and 25% couldn't come up with 2 grand in an emergency.
https://www.google.ca/url?sa=t&sour...-a4Vd8XgoN1BDmxGA&sig2=EKLYfe-Irk4--IuhwrgWkA

 

[Chloë.]

The credit card companies know this, which is why they hand out student VISA cards in first year. They even go so far as to have a university branded card.

It's terrible. Way too much responsibility for an 18 year old. Maybe 19 to keep it in line with the drinking age for most provinces and the perceived year of "adulthood" already under their belt.

I don't know how anyone is convinced a typical 18 year old can make sound financial decisions after being technically a child in the eyes of the government, less than 12 months prior. They need a year for the honeymoon stage lol.

 

[explorerzip]

It's terrible. Way too much responsibility for an 18 year old. Maybe 19 to keep it in line with the drinking age for most provinces and the perceived year of "adulthood" already under their belt.

I don't know how anyone is convinced a typical 18 year old can make sound financial decisions after being technically a child in the eyes of the government, less than 12 months prior. They need a year for the honeymoon stage lol.

The sad thing is that the teacher's don't know a whole lot more than these teenagers. They also graduated with a mountain of student debt getting their Master's and going through teacher's college.

 

[bazokajoe]

Finance really should be taught throughout elementary and high school. Why isn't it?

The curriculum needs and overhaul.

Agreed.Dump stupid courses like art and music.Fucking waste.By the time kids get to high school they should be taught real life skills,not playing with crayons or banging on the drums for easy credits.

 

[Smallcock]

taught what?


put some savings away?

buying a house you cannot afford ?


not reading the mortgage and understanding the low rates will go up after a few years?


believing a housing bubble will last forever so time to jump in ?


do not buy on a CC if you cannot pay it off because the rates are 19% ?


you need to be taught this?


but, then again, they elected trump

Add in investing, asset classes, inflation, rent vs own conundrum, etc.

Clearly people would be better off if they were taught this. If the stats in the link paint an accurate picture, a lot of people are in serious trouble.

Unless you think all of those people are so dumb they cannot be helped. Have a heart!

Btw, are you a teacher?

 

[FAST]

Same people that teach basic grammar probably.

Good point,...:yo:

FAST

 

[stinkynuts]

Finance really should be taught throughout elementary and high school. Why isn't it?

The curriculum needs and overhaul.

I agree. Smart financial management is a crucial and practical skill that makes a huge difference in your life. Kids need to learn real life skills as well as the acaedemic subjects.