It does seem most people do lack financial discipline. The advisors tell you to put some money into savings and at a minimum build a rainy day fund. After I got married and started my first real job, I always saved a little out of every paycheck. Over time as I got raises, I put extra cash away for a few years. Because I did it consistently it did not take long to have a nice cash reserve that was able to cover those unexpected problems. I do agree with mattro53, people do appear to buy a lot of stuff they really don’t need. I think they feel it is necessary to prove to themselves and others that they are successful to others. They want to have the picture perfect vacation, home, car, clothes, etc. I think social media and selfies tend to drive the need to show off stuff. Of course having an economy where the top ten percent has half the countries income and assets greatly contributes to the other ninety percent not having enough money.
October 01, 2016