Spending Problem or Income Problem?
By ParaTed2k
@ParaTed2k (22940)
Sheboygan, Wisconsin
December 4, 2011 3:45am CST
Well, that's one of the easiest questions to answer, why? Because financial deficits are almost ALWAYS because of a Spending Problem.
People spend so much on lottery tickets and other gambling, saying that if they could just win "the big one" then they can finally pay off their bills an "get ahead". But while they are scratching those tickets, they are also creating more bills and only paying the minimums on the bills they do have. In other words, it doesn't matter what their income level may be, they have Spending Problem.
I keep hearing how a family needs two incomes to make it anymore. I beg to differ. My wife and I raised 4 kids, most of the time they were growing up we only had ONE income. That income was never more than $30k, and was usually less than $25k.
If two people who had never been to college can figure out how to do it, then I say there's no excuse why Congress can't.
I'm not bragging or suggesting that my wife and I are some kind of financial wizards, we are far from it. We have brought our share of financial misery on ourselves with stupid decisions.
With Congress, it is absolutely a Spending problem. When they are taking on things that were never any of their business, then whining that it's an income problem, they prove themselves liars.
First take care of the necessities (Those things spelled out in the US Constitution). Then budget for the not so necessary, but still important... Then, if there is any money left over, take on a few luxuries.
But QUIT playing the lotto, telling us that we're the ones putting them in debt!
We aren't the problem, idiots in Congress, YOU ARE!!
1 person likes this
6 responses
@Taskr36 (13963)
• United States
4 Dec 11
You're right, and before any lefty brings it up, I want to mention inflation. It's true that while government revenues have remained steady, the cost of things has increased. Here's why that argument is garbage. Average INCOME hasn't increased much either, but many Americans have learned to cut spending to compensate.
I'd love to live it up right now, eating out, buying $14 muffins and such. Instead, I literally eat peanut butter and jelly sandwiches for lunch every day at work. I do have a bit of envy for my coworkers who go out, eat paninis and hoagies and all that, but I know that they spend more on one lunch than I spend on the loaf of bread, and jars of peanut butter and jelly combined. The people doing this have been there longer than me and make more money, so I'm not saying they're irresponsible or anything of the sort, I'm just pointing out that you have to live within your means, and not act like you need to spend as much as the person next to you.
1 person likes this
@ParaTed2k (22940)
• Sheboygan, Wisconsin
12 Dec 11
Yup, having been on both sides of that coin, I understand. I admit, I've spent over $10 a day for lunch for months on end. I thought nothing of it because we had the money to spend. But when times were tighter, I also didn't give starting to pack my lunch a second thought.. or even going without lunch.
@bobmnu (8157)
• United States
8 Dec 11
It is a spending problem. It is like my daughter when she was looking to buy a house. The Bank said that she could afford a $175,000 house. When she sat down with a financial planner they figured she could easily purchase a house of up to $130,000 with a plan to save for the unexpected - new hot water heater, new furnace, painting, etc. For many of the members of congress they will not be around when the bill comes due. Their thinking is if we get a million in tax revenue and can borrow another 5 million then we can afford to spend 6 million.
The government has to get the spending under control and learn to live without a credit card mentality.
@cotton0821 (259)
• United States
5 Dec 11
It is certainly obvious to anyone that the government has a spending problem. However, it is not just how much they spend but what they spend it on. I would not mind paying my taxes if I thought that they were being used for something useful. If the government actually only spent my taxes on things that actually benefit someone besides themselves, their spending would decrease and we would see some improvement in the country, overall.
@taheraa (1545)
• Giza, Egypt
4 Dec 11
I agree with you, it is a spending problem. as far as we control our expense to include our majorities needs as we have a good family budget. and to be more accurate we can get 50% of our income to cover our needs and 30% for our wants, so we can have a remaining to put a side as a save monies. do not gambling by your monies, because easy come easy go.
@scheng1 (24649)
• Singapore
6 Dec 11
Hi Parated, yes, most people do not even know how they have spent all their income, and still get into debt.
I think the poor and the rich are doing financially better than the middle class.
At least the poor cannot get into too much debt, because the banks are not willing to lend to them.
The rich will not get into debt unnecessarily.
All their money are into investments which will generate a profit for them.
As a result, both the poor and the rich seem to manage much better than the middle class.
The middle class usually spends more than their income.
The worst is when government and banks forget the fundamentals.
The government overspends, and the bank gets themselves into too much debt due to risk taking in investments.
@RebeccaScarlett (2532)
• Canada
5 Dec 11
AGREED. There is too much nonsense where I live, about how welfare needs to increase because it just "isn't right" that people on welfare can't afford this, that, or the other thing...but all the things mentioned are LUXURIES. Most of the things they mention that people on welfare "deserve" are things that I deny myself and my family because I am capable of working and earning my own way, and so by gosh, I do!
The whole point of welfare is not that you should be able to sit on your butt and live the same lifestyle as someone who works extremely hard--the point is that it is supposed to be a temporary measure to help someone from hard times get by (yes, that's "get by" not "live in the lap of luxury") until they can get back on their feet. I don't begrudge someone whose been in a crippling accident and needs physiotherapy before getting a new job, but I do begrudge someone who takes out a calculator and their tax forms and thinks "yep, I never have to work again!"
