Living paycheck to paycheck has become the standard for most Americans today. On August 24, CareerBuilder released a survey containing the shocking financial state of the United States :
Nearly 80 percent of Americans are living paycheck to paycheck, up from 75 percent last year.
More than 1 in 4 do not contribute to savings each month
Nearly 3 in 4 of all U.S. workers are now in debt, up from 68 percent a year ago. More than half say their debt is more than they can handle and that they probably won’t ever get out.
More than half of minimum-wage workers say they have to work more than one job to make ends meet.
‘We Just Need Higher Salaries!’
Is salary the problem? Does earning a higher salary solve tight money issues? One in 10 of those making $100,000 or more per year say they can’t make ends meet, so a higher salary obviously isn’t the issue. It can actually make the problem worse! The more we make, the more we’re likely to spend.
According to a new study from the Center for Financial Services Innovation (cfsi), almost half of Americans spend as much as they earn or more than they earn. “Half of America has no financial cushion,” said the organization’s president and ceo, Jennifer Tescher. “They are living really close to the edge.”
The Debt Trap
Household income is growing, but cost of living is rising even faster. The most recent Quarterly Report on Household Debt and Credit by the Center of Microeconomic Data showed that total household debt rose by $114 billion to $12.84 trillion in the second quarter of 2017.
While 46 percent of people in debt say what they owe is manageable, more than half say they will never leave the debt trap. Less than a third, 32 percent, actually follow a budget, and around 56 percent save $100 or less a month.
“Living paycheck to paycheck is the new way of life for U.S. workers,” CareerBuilder spokesman Mike Erwin told cbs News . “It’s not just one salary range. It’s pretty much across the board, and it’s trending in the wrong direction. Jobs have come back, but we haven’t seen salaries rebound.”
When asked what they were unwilling to give up, regardless of debt, 54 percent said Internet while 53 percent said mobile devices. People are filling their lives with unnecessary things that are only plummeting them further and further into financial crisis.
The Danger of Debt
America is the most prosperous nation in history, yet it is being hit with increasingly dire economic troubles.
America’s massive debt—at household, corporate and government levels—is endangering America’s prosperity and even its survival. “The 2008 financial meltdown was fueled primarily by America’s outrageous debt,” wrote Trumpet editor in chief Gerald Flurry . “Yet what has the U.S. done to correct that problem? Absolutely nothing. … When the foundation of something is shattered, it will never be restored. That is certainly true for our economy.”
This debt is leading to the “collapse of the Western world’s financial system, led by the United States,” he wrote.
Rising debt is leading to this crisis. And even before the crisis hits, staggering debt is causing stress and misery for millions.
How You Can Prosper
Regardless of the fate of the nation, there is a way for you to escape. You can follow the financial laws that lead to success and debt-free living. God wants you to prosper (3 John 2).
“It is God’s desire that we have happy, healthy, abundant lives!” we wrote in our free booklet Solve Your Money Troubles! “But in order to have this kind of life, you must obey God’s laws—including His laws of financial success!”
The U.S. is being cursed by God for its people’s sins, but God will bless individuals if they obey Him and His financial laws. That book continues:
Many nations are heading into the worst economic times since the Great Depression. The struggle to keep your job will only intensify. But if you do your part and follow God’s laws, God will bless you and provide for all your needs. As Christ said, “[S]eek ye first the kingdom of God, and his righteousness; and all these [material] things shall be added unto you” (Matthew 6:33). …
Consider Joseph. He was sold by his brothers into slavery. He was taken captive into a foreign country. He was wrongly accused of a heinous crime. He was thrown in jail. He was forgotten by a man who said he would help. Yet through it all, Joseph ultimately attained the second-highest position of power in the land.
When you obey God, nothing can impede ultimate success. Even an economic cataclysm is nothing against the power of the God who wants you to prosper.
Many are suffering through debt, either because of the general economic climate or their own bad financial planning. But you don’t have to. To learn how you can really prosper, read our free booklet Solve Your Money Troubles! ▪