Time to revisit our basic finances

The simplicity with which Sen Sanders approaches problems continues to amaze me. He has the ability to make a statement or draw a conclusion completely detached from facts, circumstances and most important the actions of individuals. Here is the latest example.

How did it happen … that 40% of Americans “cannot afford” a $400 emergency fund?

It’s not a matter of cannot afford at all. For the overwhelming majority it’s a matter of spending and saving priorities. Perhaps you cannot afford to spend $20 a week on lottery tickets, or $250 on a tattoo or $25 to get a manicure or $28 a week at Starbucks … but many, many people do anyway…even while they cannot afford even a modest emergency fund.

Perhaps we need to ask ourselves how it happened that 40% cannot save $400, but can afford to spend $1,000 a year on a pet.

You see there is no joy in saving, no fun in a emergency fund, no instant gratification or showing off to others.

I wrote about all this spending while there is no money to save once before.

You might want to take a look at “FAREWELL MONEY


  1. That’s the big difference between our generation and our father’s. They mostly lived within their means. Many of the “greatest generation” lived through the great depression and remembered how to do without. Later generatons didn’t have that experience.


  2. How did it happen?
    1) Government policies to ensure our economy is consumer driven and not manufacturing driven. Easy loans and government backed mortgages. Stimulus checks is another example. Low interest rates to discourage savings. Pushing the narrative that everybody must go to college and then giving government backed student loans for majors that will never earn enough to pay them back.
    2) Wall Street pushing for short term results with Madison Ave pushing for instant gratification. You must keep up with the Jones and continue with consumptionism and affluenza. Credit cards want people who carry a balance. Wall Street will build bigger houses and inflate the prices because the government will help you get that mortgage that you can’t afford making you house poor.

    For a service economy to work, you have to get that tattoo even if it adds no value other than toward your ego.


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