Partner Article

Why Middle Class Suffering Low Finances?

The most popular media outlets that were once categorized in the middle class are now on the warpath. While browsing the internet, you will find various news articles about how families that were once earning in six figures are now facing poverty and how the most desirable ‘middle class’ is completely disappearing from the economy. You will even come across endless sad stories about families and people who are surviving without being employed for years and are still getting no response for their hundreds and thousands of resumes sent. All of these happenings are considered the fault of the economy, the government, Wall Street, and, at times, all three.

Don’t you believe it is too early to set your judgment? Think and realize, is it truly the fault of anybody that the middle class is broke?

The Real Reason Why Middle Class Is Disappearing

Ever wondered if recession is the real cause behind the vanishing of the middle class or is it their poor decisions?

With a doubt, unemployment is a major factor to be considered. Obviously, nobody can overlook the fact that the unemployment rate has significantly increased up to the range of eight to ten percent in just a few years. In fact, many people believe that the actual rate of unemployment has crossed fifteen percent as there are even people who have completely stopped hunting for jobs. This is indeed crazy that so many people are not eligible for a paycheck at the end of the month, but fortunately they are still able to maintain a living with government handout programs.

So is it fine to believe that the person unemployed for so long is the one suffering and shouldn’t be mad? While it is true that many of these people are victims of an unfair economy, but poor decision making of these individuals shouldn’t be ignored either.

People earning in six figures earlier are unable to maintain a middle class today because of their own poor decision making for the money they earned. Earning in six figures in a high cost economy is like earning very healthy cash. However, this healthy cash is usually spent on expensive mortgages, rents, purchase of a huge and expensive home, and for loans taken out for new cars. Credit card debt relief is a very important matter of concern.

No income was saved for investments. No part of the income was dedicated to emergency funds. In fact, no amount of the income is saved for the time people retire and decide to stay unemployed. Spending everything earned for current living is the major poor decision many individuals make when they are earning in six figures.

This is the truth that many people broke today cannot deny. Most of the people living in America follow a way of life that starts with their paycheck and restarts with another paycheck. They enjoy a healthy paycheck at the end of the month and then spend it recklessly in a lifestyle they can’t actually afford. These people also tend to stretch the loans repayment period and plan it on a long term basis. Living in such a manner makes you extremely dependent on the paycheck and life would suddenly come to a big full stop in case you are unable to make it to your next check.

If you have a job today, they following advice will work for you.

Learning How to Save

Have you ever experienced that whenever you are short of money, something bad happens. Whenever you have empty pockets, there is an emergency waiting for you outside the door. Therefore, do not tie your entire income into payments and stay prepared to face any emergency at any time.

To do this, you must get rid of some of the crap your major payments are tied up with. Pay all your bills and clear it off as soon as possible and stop the cash outflow to increase your savings. Get credit card debt relief. There are many relief programs available. Make sure you go for the best debt relief programs. Build up significant savings by getting rid of your debts.

Prepare yourself for all the hard time that comes up without prior notice. To do this, you must take immediate action and get rid of all the unnecessary debts that build up. Credit card bills are one of these unnecessary payments you are tied up with every month. Therefore, get the best debt relief programs and start building your savings today!

This was posted in Bdaily's Members' News section by Roxanne .