Sunday, June 23, 2024

Can people escape poverty by saving money? Here's what people are saying


Saving is not easy, but it is necessary to avoid or avoid financial crunch. There are many different opinions on how to achieve success. Is savings a viable option for lifting the middle class out of poverty? More recently, people have weighed in about whether saving is important or if other factors come into play.

Getting out of poverty is more complex and challenging than many people realize. One user, who we’ll call Stephanie, shared her experience getting out of poverty. At sixteen, she lived off school, part-time jobs, and government assistance while battling depression.

In his opinion, there is no possible way to escape poverty through savings. Although he tried to save five dollars a week, his heater broke down. Then the money he saved went to repairs.

Financial problems she hadn’t anticipated inevitably ate up what little money she had. She broke down how she earned $500 every two weeks, then $870 later on disability, and how fast that money disappeared.

On income like rent, gas, utilities, internet, car insurance, food, and so on. Whatever is left for savings vanishes when an unseen expense comes to the fore. This is also someone who rarely bought clothes and never socialized in a way that required money.

To Save Money, You Need a Surplus

Fortunately, Stephanie expressed her “luckiness” with a better paying job, and only then could she save. In his opinion, this is the only way out of poverty. It is not people’s overspending or laziness, but an impossible task because you have “less money than the cost of living”.

With two kids, Stephanie focuses on cutting down on extra expenses rather than earning more. She also teaches her children to manage finances wisely. But he remembers that saving is pointless when you don’t have enough money to survive.

For some commentators the consensus is similar. It is only logical. If you do not have enough to cover basic living costs, you remain destitute. They agree that a high paying job is the “best route”. Frugality and budgeting only work when you can meet your needs and have money left over.

neglect of social issues

As one commenter points out, the debate around savings ties into the second claim. Blaming the minimum wage and the poor for being poor. Instead of addressing how there are still people below the poverty line in a society with a surplus of rich people, they blame poor people for any frivolous purchases.

They blame wasteful spending on “unnecessary things” such as “the daily latte and avocado toast.” As another user says, “It’s easy to blame the victim.” Then no work is needed from the society as a whole.

The effort is with the poor. This is the “bootstrap” argument which means that hard work equals success. So if you are unsuccessful, you are at fault. unfortunately, some people Even then believe this.

choose to be poor

It’s a strange claim that people living on government assistance avoid well-paying jobs so they don’t lose aid. One user claimed that Stephanie chose to do a substantial job for this specific purpose.

army to the rescue

In regards to jobs, some users chose the military as their ticket out of poverty. After all, as a military member, you receive necessities from medical coverage to housing to food, even covering the cost of a college education.

One such person also calls the army a “powerful social equaliser”. However, as others pointed out, it is sad that the only option is to join the military. Overall the general consensus is that you avoid poverty by saving. Income above living expenses is required.

This Thread Inspired this post.

This article was produced and syndicated by Invested Wallet.