• Chaotic Entropy
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      1 year ago

      Many people recognise that they’re fucked, many others don’t recognise that they’re fucked.

    • Freeman@lemmy.pub
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      1 year ago

      Financial independence isn’t necessarily never work again. Though some definitions include that.

      Even still, the article is talking about financial freedom, which even they recognize as a sliding scale

      Half of Americans describe “financial freedom” as being comfortable, but not necessarily rich, and 49.3% say it refers to meeting financial obligations and having some money left over each month. About 54.2% define it as living debt-free, and 46.2% believe it means never having to worry about money.

      I would be more in the latter part of saying it’s living mostly debt free. Or more depreciating debt free. Aka not house poor and able to manage finances.

      Unfortunately the US (at least, I can’t speak to other parts but it seems Europe can be grouped in here too) has abysmal financial education. So many people by into consumerism at such a deep level that they impoverish themselves in it. I’m not totally free of unnessecary spending, but I don’t buy into so badly it puts me in a bad place or in debt.

      We have debt. Mainly in our house but we still live below our means and always have. Places that loan you money aren’t looking out for you. And Society looks down on people that set boundaries or take the time to understand the full scope of a contract (such as a mortgage. I have seen it first hand).

      Better education and better cultural norms that didn’t prioritize “things” and consumerism would go a long way. And that starts with parents, not schools or teacher. It’s a parents job. We have a lot of lazy parents and it’s now a generational issue.

      Availability of credit wasn’t nearly as widespread in even the 80s but now we have a generation of people living in credit debt that haven’t taken the time to teach their kids either. Heck I’m partially at fault too (though my kids aren’t really of age to understand money quite yet)

      • Flambo@lemmy.world
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        1 year ago

        Better education and better cultural norms that didn’t prioritize “things” and consumerism would go a long way.

        So on the one hand I agree with you. On the other hand, consumer spending is 70% of U.S. GDP. If consumer spending takes a hit, we’re all going to feel it.

        If this sounds awful it’s because it is. Our economy is not designed to benefit all, or even most.

        • Freeman@lemmy.pub
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          1 year ago

          Would agree. I think what is more at issue is the level of indebtedness. Like the % of people that can’t afford a 500 dollar emergency.

          And this isn’t because of inflation.

          https://www.cbsnews.com/news/most-americans-cant-afford-a-500-emergency-expense/

          Inflation of course has made it worse. But when covid hit and the government started just handing out money and suspending loan payments it became a real problem. Many of those people with the loans took that money and continued spending and acting like the loans were just going away.

          Even if the US just wiped all outstanding consumer debt off the table, it’s not going to fix the issue. Because it’s cultural and behavioral. And frankly it’s worrying in that I don’t really see a fiscal or policy that can make it better. People won’t chnage and it means we are heading for more pain (financially).

          Even anecdotally it’s shocking to me when people ask how we paid for xyz emergencies but still get into 1000 dollar a month car loans or buy iPhones on credit.

          It seems silly but it’s happened most of my adult life. And it’s never not been shocking.