Our Secretary of Treasury, Janet Yellen tells us that we must as a family  put more money in our stockings because we are “extraordinarily vulnerable” to financial setbacks because we have few assets to fall back on.  The Fed’s survey found that an unexpected expense of just $400 would force the majority of American families to borrow money, sell something or simply not pay.  She said the bottom fifth of households by income – about 25 million households – had median net worth in 2013 of just $6,400, and many of these families had nothing saved or negative net worth, meaning their debts were greater than their assets.  For many lower-income families without assets, the definition of a financial crisis is a month or two without a paycheck, or the advent of a sudden illness or some other unexpected expense.  

Yes, I can believe all of that is true!  But, let’s talk about the other side of that coin.  When we have the government shelling out  free money like there is no tomorrow – what incentive is there for people to work and save – the people have the attitude that the money will continue to roll in – so why should they save or work for a living.  The government is going to take care of them.  The government has raised the taxes so high for businesses, plus the big kink in the armour is that all of the high-paying jobs have left the country, our income taxes have risen, our food, gas, and utilities  prices  have risen, we have lost our personal insurance and are paying higher healthcare insurance and the taxes within Obamacare have added more burden to the people, our gasoline tax has risen, and all goods across the spectrum have risen – and people are  supposed to save?  It is a vicious circle because all people do is take their money, pay all of the taxes for goods and services and start over each month.  

So the solution to the problem is the government must give people an incentive to work to begin with.  Then the banks must give people an  incentive to put their money in the bank (now an interest rate for savings is what – about 0.01% – what an incentive); but yet, we are paying 13.99% for a loan or credit card – kinda lopsided don’t you think?  And what about all of the Democrat’s promises of hope and change.  Well, most people have lost hope with this party and certainly have no change in their pockets.

As the saying goes, “There comes a time when you have to choose between turning the page or  just closing the book.”

kommonsentsjane