Goodbye Middle Class: 50 Percent Of American Workers Make Less Than 33,000 Dollars A Year

The truth is that most American families are deeply struggling, but you hardly ever hear this from the mainstream media. Yes, about 10 percent of all American workers are making $100,000 or more a year, but most of those high paying jobs are concentrated in the major cities along the east and west coasts. For much of the rest of the country, these are very challenging times as the cost of living soars but their paychecks do not. According to the Social Security Administration, the median income in the United States last year was just $32,838.05. In other words, 50 percent of American workers made more than $32,838.05 and 50 percent of American workers made less than $32,838.05 in 2018. Let’s be generous and round that number up to $33,000, and when you break it down on a monthly basis it comes to just $2,750 a month. Of course nobody can support a middle class lifestyle for a family of four on $2,750 a month before taxes, and so in most families more than one person is working these days. In fact, in many families today more than one person is working multiple jobs in a desperate attempt to make ends meet, and it still is often not quite enough.

If you want to look at the Social Security wage statistics for yourself, you can find them right here. As you will see, I am not making these numbers up.

These days many would have us feel bad if we are not making at least $100,000 a year, but according to the report only about 10 percent of all American workers make that much money.

Instead, most Americans are in what I would call “the barely getting by” category. Here are some key facts that I pulled out of the report…

-33 percent of all American workers made less than $20,000 last year.

-46 percent of all American workers made less than $30,000 last year.

-58 percent of all American workers made less than $40,000 last year.

-67 percent of all American workers made less than $50,000 last year.

That means that approximately two-thirds of all American workers are making $4,000 or less a month before taxes.

Ouch.

But these numbers help us to understand why survey after survey has shown that most Americans are living paycheck to paycheck. After paying the bills, there just isn’t much money left for most of us.

And for an increasing number of Americans, even paying the bills has become exceedingly difficult. In fact, a brand new report from UBS says that 44 percent of all U.S. consumers “don’t make enough money to cover their expenses”…

Low-income consumers are struggling to make ends meet despite the “greatest economy ever,” and if a recession strikes or the employment cycle continues to decelerate — this could mean the average American with insurmountable debts will likely fall behind on their debt servicing payments, according to a UBS report, first reported by Bloomberg.

UBS analyst Matthew Mish wrote in a recent report that 44% of consumers don’t make enough money to cover their expenses.

That means that about half the country is flat broke and struggling just to survive financially.

Of course those at the top of the economic food chain often don’t have a lot of sympathy for those that are hurting. Many of them have the attitude that those that are struggling should just go out and get one of the “good jobs” that the mainstream media is endlessly touting.

But most jobs in the United States are not “good jobs”.

Today, the poverty level for a household of four in the United States is $25,750. More than 40 percent of the workers in this country make less than that each year.

Starting a business is always an option, but that takes money, and thanks to government regulations it is harder than ever to run a small business successfully.

Just look at what is happening to our dairy farmers. There are few occupations that are more quintessentially “American” than being a dairy farmer, and since most people drink milk and eat cheese, you would think that it would be a pretty safe profession.

But instead, dairy farms are shutting down at a pace that is absolutely chilling all over the nation. For example, just check out what has been going on in Wisconsin

Wisconsin lost another 42 dairy farms in July, and since January 1, has lost 491 farms, reports the Wisconsin Department of Agriculture, Trade and Consumer Protection.

At this rate, the Dairy State could lose 735 dairy farms this year, which would be a decline of 9%. In 2018, the state lost 691 farms, a rate of decline of 7.9%.

Over the last decade the state has lost more than 5,000 farms, or 40% of its licensed dairy farms. To state the obvious, the current rate of exits is more than double that of the last decade.

So why is this happening?

Government.

In profession after profession, government control freaks have made it nearly impossible to make a living, and this has pushed the percentage of Americans that are self-employed to historic lows.

If you are struggling right now, I want you to know that you are not alone. There are tens of millions of other Americans that are really hurting in this economy, and the bad news is that economic conditions will soon get a lot worse.

But you can make it through whatever is ahead. You just have to keep believing.

A lot of people accuse me of spreading “doom and gloom”, but that is not true at all. There is hope in understand what is happening, and there is hope in getting prepared for the hard times that are ahead. When you take steps to prepare, you are telling yourself and everyone around you that you believe that you can make it through the storm that is coming.

Or you could just have blind faith in the system, even though it is exceedingly obvious that the system is crumbling all around us. Those that are blindly trusting the system to take care of them are building their dreams on a foundation of sand, and when the waves come crashing in those dreams are going to get washed away very quickly.

About the Author: I am a voice crying out for change in a society that generally seems content to stay asleep. I am the publisher of The Economic Collapse Blog, End Of The American Dream and The Most Important News, and the articles that I publish on those sites are republished on dozens of other prominent websites all over the globe. I have written four books that are available on Amazon.com including The Beginning Of The End, Get Prepared Now, and Living A Life That Really Matters. (#CommissionsEarned) By purchasing those books you help to support my work. I always freely and happily allow others to republish my articles on their own websites, but due to government regulations I can only allow this to happen if this “About the Author” section is included with each article. In order to comply with those government regulations, I need to tell you that the controversial opinions in this article are mine alone and do not necessarily reflect the views of the websites where my work is republished. This article may contain opinions on political matters, but it is not intended to promote the candidacy of any particular political candidate. The material contained in this article is for general information purposes only, and readers should consult licensed professionals before making any legal, business, financial or health decisions. Those responding to this article by making comments are solely responsible for their viewpoints, and those viewpoints do not necessarily represent the viewpoints of Michael Snyder or the operators of the websites where my work is republished. I encourage you to follow me on social media on Facebook and Twitter, and any way that you can share these articles with others is a great help.

Goodbye Middle Class: The Percentage Of Wealth Owned By The Top 10% Just Got Even BIGGER

The middle class in America is being systematically eviscerated, and it is getting worse with each passing year. As you will see below, one new study has found that 10 percent of Americans now own 70 percent of all the wealth. Once upon a time, the United States had the largest and most vibrant middle class in the history of the world, but pretty soon we are just going to have the ultra-wealthy and everyone else. Our system has been designed to funnel as much wealth as possible to the very top of the financial pyramid, and that means that most of the rest of us are deeply struggling. And when you are just barely getting by from month to month, all it takes is one bad break to knock you completely out of the middle class and into poverty.

I have been chronicling the demise of the middle class for many years, but I didn’t know that the numbers had gotten this bad. According to a study that was recently conducted by the Federal Reserve, the percentage of wealth controlled by the top 10 percent of U.S. households has shot up from 60 percent in 1989 to 70 percent today

Deutsche Bank’s Torsten Sløk says that the distribution of household wealth in America has become even more disproportionate over the past decade, with the richest 10% of U.S. households representing 70% of all U.S. wealth in 2018, compared with 60% in 1989, according to a recent study by researchers at the Federal Reserve.

The study finds that the share of wealth among the richest 1% increased to 32% from 23% over the same period.

The ironic thing is that the Federal Reserve has actually done much to cause this high concentration of wealth among the elite. In response to the last financial crisis, the Federal Reserve pumped unprecedented amounts of money into the financial system, and this has created the greatest stock market bubble in our history

The Dow Jones Industrial Average DJIA, +2.06% has climbed nearly 300% since its closing low in March 2009, the S&P 500 index SPX, +2.14% has climbed 325%, while the Nasdaq Composite Index COMP, +2.65% has soared 535% over the same period.

Meanwhile, wages have stagnated for ordinary Americans. According to the Social Security Administration, the median yearly wage in the United States is currently just $30,533. In other words, 50 percent of all American workers make at least that much per year, and 50 percent of all American workers make that much or less per year.

$30,533 a year breaks down to approximately $2,500 per month, and you simply can’t support a middle class lifestyle for a typical American family on $2,500 a month.

Meanwhile, the cost of living for middle class families has exploded higher over the past few decades…

Everyday expenses continue to rise, and as the shadow inflation increases, it also threatens to wipe out the middle class – what’s left of it anyway. In fact, middle-class life is now 30% more expensive than it was 20 years ago, according to a separate report by CNBC. The cost of things such as college, housing, and child care has risen precipitously: Tuition at public universities doubled between 1996 and 2016 and housing prices in popular cities have quadrupled, Alissa Quart, author and executive director of the Economic Hardship Reporting Project, tells CNBC Make It.

As the cost of living has risen faster than our incomes have, more Americans have been squeezed out of the middle class with each passing month.

As a result, an increasing number of Americans have become financially dependent on the government, and our rapidly expanding welfare state is a big reason why the federal government is now 22 trillion dollars in debt.

Of course many Americans are no longer able to make it at all, and the ranks of the homeless are swelling all over the nation. In fact, we just got some brand new numbers about the growth of homelessness in the Los Angeles area that are absolutely eye-popping

The number of homeless people counted across Los Angeles County jumped 12% over the past year to nearly 59,000, with more young and old residents and families on the streets, officials said Tuesday.

The majority of the homeless were found within the city of Los Angeles, which saw a 16% increase to 36,300, the Los Angeles Homeless Services Authority said in presenting January’s annual count to the county Board of Supervisors.

Yes, it is true that we have a record number of millionaires on the west coast in 2019, but meanwhile our major west coast cities are being transformed into rotting, decaying nightmares right in front of our eyes.

During a recent interview with Laura Ingraham, Dr. Drew Pinsky admitted that there is “a complete breakdown of the basic needs of civilization in Los Angeles right now”

“We have a complete breakdown of the basic needs of civilization in Los Angeles right now,” Pinsky told host Laura Ingraham. “We have the three prongs of airborne disease, tuberculosis is exploding, (and) rodent-borne. We are one of the only cities in the country that doesn’t have a rodent control program, and sanitation has broken down.”

Pinsky’s comments followed news that Los Angeles police officer had contracted typhoid fever, a rare and life-threatening illness that fewer than 350 Americans contract each year.

Los Angeles had a typhus outbreak last summer and will likely have another this summer, Pinsky said. Meanwhile, bubonic plague – a pandemic that killed tens of millions of people during the 14th century – is “likely” already present in Los Angeles, Pinsky added.

Despite all of our great wealth and despite all of our advanced technology, this is what life is like in our second largest city right now.

And if things are degenerating this badly during stable times, what are things going to look like once our society plunges into chaos?

Ultimately, the American Dream is about being self-sufficient. Most people want to be able to work hard and provide a nice life for their families, but that is becoming harder and harder to do.

No matter which political party has been in power in Washington, the middle class has continued to shrink and more wealth and power has become concentrated in the hands of the elite.

Now we stand on the precipice of the next major economic downturn, and many are deeply concerned about what that is going to mean for the future of our society.

Get Prepared NowAbout the author: Michael Snyder is a nationally-syndicated writer, media personality and political activist. He is the author of four books including Get Prepared Now, The Beginning Of The End and Living A Life That Really Matters. His articles are originally published on The Economic Collapse Blog, End Of The American Dream and The Most Important News. From there, his articles are republished on dozens of other prominent websites. If you would like to republish his articles, please feel free to do so. The more people that see this information the better, and we need to wake more people up while there is still time.

62 Percent Of All U.S. Jobs Do Not Pay Enough To Support A Middle Class Life

We just got more evidence that the middle class in America is rapidly disappearing. According to a shocking new study that was just released, 62 percent of all jobs in the United States do not pay enough to support a middle class life. That means that “the American Dream” is truly out of reach for most of the country at this point. Today, Americans are working harder than ever but the cost of living continues to rise much faster than our paychecks are increasing. Earlier this month, I went and looked at the latest numbers from the Social Security Administration, and I discovered that 50 percent of all American workers make less than $30,533 a year. But that is just above poverty level. In fact, the federal poverty level for a family of five is currently $29,420. Most families are just barely scraping by from month to month, and most U.S. workers are just one major setback away from falling out of the middle class.

It wasn’t always this way. At one time, America had the strongest and most vibrant middle class in the history of the world. But now this latest study has discovered that “it’s only 38 percent of people who get the middle class life or better”

When wages are weighed against the cost of living in the largest 204 metropolitan regions across the nation, 62 percent of jobs don’t pay enough for a dual-income household with children to meet the definition of ‘middle class,’ according to a new ‘Opportunity Index‘ developed by Third Way, a Washington D.C.-based think tank.

‘We were shocked to find out it’s only 38 percent of people who get the middle class life or better,’ said Ryan Bhandari, a policy advisor for Third Way, in an interview with DailyMail.com.

It is no wonder why so many people are shopping at Wal-Mart and the Dollar Tree these days.

For many Americans, those are the literally the only places they can afford to shop.

When I was growing up, it seemed like literally everyone else around me was “middle class”, but now those days are long gone. Here is a breakdown of some more of the numbers from this latest study

  • 30 percent of jobs are “hardship jobs,” meaning they don’t allow a single adult to make ends meet.
  • 32 percent are “living wage” jobs, enough to get by but not to take vacations, save for retirement or live in a moderately priced home.
  • 23 percent are middle-class jobs, allowing for dining out, modest vacations and putting some money away for retirement.
  • 15 percent are “professional jobs,” paving the way for a more comfortable life that includes more elaborate vacations and entertainment and a more expensive home.

It sure must be nice to be in that top 15 percent.

And the definition of a “middle class income” changes based on where you live. As the study noted, it is much cheaper to live a middle class lifestyle in the middle of the country than it is to do so on the west coast. The following comes from the Daily Mail

For example, a worker in San Francisco – one of the most expensive housing markets in the country – must make a minimum of $82,142 to achieve a middle class lifestyle.

By comparison, workers in Cedar Rapids, Iowa can achieve middle class status in a job paying $40,046 or more per year.

So many of us have run ourselves ragged doing the things that we were “supposed” to do, and we assumed that a middle class life would be the reward at the end of the trail.

Unfortunately, that reward has never materialized for millions of hard working Americans. USA Today profiled one of those deeply frustrated workers in a recent article…

Esther Akutekha, who lives in Brooklyn, New York, has a good job as a public relations specialist that pays more than $50,000 a year.

But because of the $1,440 a month rent on her studio apartment in the Prospect-Lefferts Gardens neighborhood, she never takes vacations, dines out just once a month and scrapes together dinner leftovers for lunch the next day.

Can you identify with Esther?

I sure can.

It can be soul crushing to work as hard as you can only to realize that your goals are now farther away than ever. At this point, Esther is not even sure that she will ever be able to afford to have children

“I’m frustrated with the fact that I’m not going to be able to save anything because my rent is so high,” says Akutekha, who says she’s 30ish. “I don’t even know if I can afford” to have children.

We have been told that the economy has been “booming” in recent years, but the truth is that it has only been booming for people at the very top of the pyramid.

For most Americans it is as if the last recession never ended, and things just seem to keep getting worse

“There’s an opportunity crisis in the country,” says Jim Kessler, vice president of policy for Third Way and editor of the report. “It explains some of the economic uneasiness and, frankly, the political uneasiness” even amid the most robust U.S. economy and labor market since before the Great Recession of 2007 to 2009. But is the economy robust? Or are we being fed a line by the mainstream media? The middle class is not thriving, and increased regulations and higher taxes make it difficult for people to branch out on their own and create their own business.

We definitely need to make it much, much easier for people to start small businesses, and this is something that I have written about extensively. Small business creation has traditionally been one of the primary vehicles for upward mobility in our nation, but right now the rate of small business creation is hovering near all-time lows. We desperately need to get that turned around if we ever want to have any hope of restoring vitality to our middle class.

If we continue on the path that we are on, we are going to continue to get the same results. Tonight, more than half a million Americans are homeless, and the ranks of the poor are growing with each passing day.

America needs a strong middle class, but currently our middle class is disintegrating at a startling pace.

If we are not able to reverse this trend, what is the future going to look like for our society?

About the author: Michael Snyder is a nationally syndicated writer, media personality and political activist. He is publisher of The Most Important News and the author of four books including The Beginning Of The End and Living A Life That Really Matters.

The Last Days Warrior Summit is the premier online event of 2018 for Christians, Conservatives and Patriots. It is a premium-members only international event that will empower and equip you with the knowledge and tools that you need as global events begin to escalate dramatically. The speaker list includes Michael Snyder, Mike Adams, Dave Daubenmire, Ray Gano, Dr. Daniel Daves, Gary Kah, Justus Knight, Doug Krieger, Lyn Leahz, Laura Maxwell and many more. Full summit access will begin on October 25th, and if you would like to register for this unprecedented event you can do so right here.

Middle Class Destroyed: 50 Percent Of All American Workers Make Less Than $30,533 A Year

The middle class in America has been declining for decades, and we continue to get even more evidence of the catastrophic damage that has already been done. According to the Social Security Administration, the median yearly wage in the United States is just $30,533 at this point. That means 50 percent of all American workers make at least that much per year, but that also means that 50 percent of all American workers make that much or less per year. When you divide $30,533 by 12, you get a median monthly wage of just over $2,500. But of course nobody can provide a middle class standard of living for a family of four for just $2,500 a month, and we will discuss this further below. So in most households at least two people are working, and in many cases multiple jobs are being taken on by a single individual in a desperate attempt to make ends meet. The American people are working harder than ever, and yet the middle class just continues to erode.

The deeper we dig into the numbers provided by the Social Security Administration, the more depressing they become. Here are just a few examples from their official website

-34 percent of all American workers made less than $20,000 last year.

-48 percent of all American workers made less than $30,000 last year.

-59 percent of all American workers made less than $40,000 last year.

-68 percent of all American workers made less than $50,000 last year.

At this moment, the federal poverty level for a family of five is $29,420, and yet about half the workers in the entire country don’t even make that much on a yearly basis.

So can someone please explain to me again why people are saying that the economy is “doing well”?

Many will point to how well the stock market has been doing, but the stock market has not been an accurate barometer for the overall economy in a very, very long time.

And the stock market has already fallen nearly 1,500 points since the beginning of the month. The bull market appears to be over and the bears are licking their chops.

No matter who has been in the White House, and no matter which political party has controlled Congress, the U.S. middle class has been systematically eviscerated year after year. Many that used to be thriving may still even call themselves “middle class”, but that doesn’t make it true.

You would think that someone making “the median income” in a country as wealthy as the United States would be doing quite well. But the truth is that $2,500 a month won’t get you very far these days.

First of all, your family is going to need somewhere to live. Especially on the east and west coasts, it is really hard to find something habitable for under $1,000 a month in 2018. If you live in the middle of the country or in a rural area, housing prices are significantly cheaper. But for the vast majority of us, let’s assume a minimum of $1,000 a month for housing costs.

Secondly, you will also need to pay your utility bills and other home-related expenses. These costs include power, water, phone, television, Internet, etc. I will be extremely conservative and estimate that this total will be about $300 a month.

Thirdly, each income earner will need a vehicle in order to get to work. In this example we will assume one income earner and a car payment of just $200 a month.

So now we are already up to $1,500 a month. The money is running out fast.

Next, insurance bills will have to be paid. Health insurance premiums have gotten ridiculously expensive in recent years, and many family plans are now well over $1,000 a month. But for this example let’s assume a health insurance payment of just $450 a month and a car insurance payment of just $50 a month.

Of course your family will have to eat, and I don’t know anyone that can feed a family of four for just $500 a month, but let’s go with that number.

So now we have already spent the entire $2,500, and we don’t have a single penny left over for anything else.

But wait, we didn’t even account for taxes yet. When you deduct taxes, our fictional family of four is well into the red every month and will need plenty of government assistance.

This is life in America today, and it isn’t pretty.

In his most recent article, Charles Hugh Smith estimated that an income of at least $106,000 is required to maintain a middle class lifestyle in America today. That estimate may be a bit high, but not by too much.

Yes, there is a very limited sliver of the population that has been doing well in recent years, but most of the country continues to barely scrape by from month to month. Out in California, Silicon Valley has generated quite a few millionaires, but the state also has the highest poverty in the entire nation. For every Silicon Valley millionaire, there are thousands upon thousands of poor people living in towns such as Huron, California

Nearly 40 percent of Huron residents — and almost half of all children — live below the poverty line, according to the U.S. Census Bureau. That’s more than double the statewide rate of 19 percent reported last month, which is the highest in the U.S. The national average is 12.3 percent.

“We’re in the Appalachians of the West,” Mayor Rey Leon said. “I don’t think enough urgency is being taken to resolve a problem that has existed for way too long.”

Multiple families and boarders pack rundown homes, only about a quarter of residents have high school diplomas and most lack adequate health care in an area plagued with diabetes and high asthma rates in one the nation’s most polluted air basins.

One recent study found that the gap between the wealthy and the poor is the largest that it has been since the 1920s, and America’s once thriving middle class is evaporating right in front of our eyes.

We could have made much different choices as a society, but we didn’t, and now we are going to have a great price to pay for our foolishness…

About the author: Michael Snyder is a nationally syndicated writer, media personality and political activist. He is publisher of The Most Important News and the author of four books including The Beginning Of The End and Living A Life That Really Matters.

The Last Days Warrior Summit is the premier online event of 2018 for Christians, Conservatives and Patriots. It is a premium-members only international event that will empower and equip you with the knowledge and tools that you need as global events begin to escalate dramatically. The speaker list includes Michael Snyder, Mike Adams, Dave Daubenmire, Ray Gano, Dr. Daniel Daves, Gary Kah, Justus Knight, Doug Krieger, Lyn Leahz, Laura Maxwell and many more. Full summit access will begin on October 25th, and if you would like to register for this unprecedented event you can do so right here.

Handout Nation: Combined Enrollment In America’s 4 Largest Safety Net Programs Hits A Record High Of 236 Million

Margaret Thatcher once said that the problem with socialism “is that eventually you run out of other people’s money”. As you will see below, the combined enrollment in America’s four largest safety net programs has reached a staggering 236 million. Of course that doesn’t mean that 236 million people are getting benefits from the government each month because there is overlap between the various programs. For example, many Americans that are on Medicaid are also on food stamps, and many Americans that are on Medicare are also on Social Security. But even accounting for that, most experts estimate that the number of Americans that are dependent on the federal government month after month is well over 100 million. And now that so many people are addicted to government handouts, can we ever return to a culture of independence and self-sufficiency?

On Wednesday, CNN ran an editorial by Bernie Sanders in which he called President Trump’s proposed budget “immoral” because it would cut funding for government aid programs.

But is it moral to steal more than a hundred million dollars from future generations of Americans every single hour of every single day to pay for these programs?

Of course the answer to that question is quite obvious.

There will always be some Americans that are unable to take care of themselves, and we should want to help them.

But as millions upon millions of Americans continue to jump on to the safety net, eventually we are going to get to the point where it is going to break.

As I mentioned above, the combined enrollment in the four largest safety net programs has reached a new all-time record high…

More than 74 million Americans are on Medicaid and CHIP (Children’s Health Insurance Program).

More than 58 million Americans are on Medicare.

More than 60 million Americans are on Social Security.

Approximately 44 million Americans are on food stamps. And even though we are supposedly in an “economic recovery”, this number is still dramatically higher than the 26 million Americans that were on food stamps prior to the last financial crisis.

When you add the figures for those four programs together, you get a grand total of 236 million, and that doesn’t even count any of the other federal programs which are helping people.

Once again, there is overlap in enrollment between these various programs, but even accounting for that most experts believe that well over a third of the country is currently receiving benefits from the government each month.

How far down this road do we have to go before people start calling it “socialism”?

As I was writing this, I was reminded of one of Benjamin Franklin’s most famous quotes

“When the people find that they can vote themselves money that will herald the end of the republic.”

In our country today, many politicians have discovered that one of the best ways to win elections is to promise the voters as much free stuff as possible. This is one of the primary reasons why Bernie Sanders did so well. Young people loved his socialist policies, and he received more votes from Millennials in the primaries and caucuses than Donald Trump and Hillary Clinton combined.

As older generations of Americans continue to die off, the Millennials will just become even more powerful politically. And considering the fact that they are far more liberal than other generations, that is a very alarming prospect…

In the minds of 80 percent of baby boomers and 91 percent of elderly Americans, communism was a major problem in years past and remains a significant concern today. But millennials, aged 16 to 20 years, see it differently. Only 55 percent of the younger generation take issue with communism, 45 percent say they would vote for a socialist and 21 percent say they’d vote for a communist.

And millennials made all that clear during the Democratic presidential primary, when many of them cast their vote for Vermont Sen. Bernie Sanders, a self-avowed socialist. In fact, the report credits the New England lawmaker with a “bounce” that led to less than half of millennials — 42 percent — having a favorable view of capitalism.

At this point, the Republic that our founders established is barely recognizable, and if it is going to be saved we need a conservative revolution as soon as possible.

A good place to begin would be to dramatically reduce the size and scope of the federal government, and there are some promising signs in the budget that President Trump has proposed. He wants to completely eliminate 66 federal programs, and liberals are screaming bloody murder over this.

Of course Trump’s budget is “dead on arrival” in Congress because many among his own party do not support him. Most Republicans campaign as conservatives but govern like Democrats, and it is high time that we held them accountable for that. In 2018 we are going get Trump a whole bunch of friends in Congress, and a lot of those establishment Republicans that have been betraying conservatives for years are going to have to find a new line of work.

We simply cannot afford to keep sending the same cast of characters back to Washington time after time. Just look at the debacle that the effort to repeal Obamacare has become. According to Senate Majority Leader Mitch McConnell, getting any sort of bill through the Senate is going to be extremely challenging

Referring to behind-the-scenes work among Senate Republicans on a healthcare bill, McConnell said, “I don’t know how we get to 50 (votes) at the moment. But that’s the goal.”

Under a scenario of gathering the votes needed for passage in the 100-seat chamber, Republican Vice President Mike Pence would be called upon to cast any potential tie-breaking Senate vote.

McConnell opened the interview by saying, “There’s not a whole lot of news to be made on healthcare.” He declined to provide any timetable for producing even a draft bill to show to rank-and-file Republican senators and gauge their support.

And yet somehow when Obama was in office the Republicans in the House and the Senate were able to easily pass a bill to repeal Obamacare and get it to Obama’s desk.

Why can’t they get that exact same bill to Trump’s desk?

We definitely need to “drain the swamp” in D.C., and we can start with Congress.

But the alliance between big money and big government is going to be hard to defeat, and so if we want our country back we are going to have to fight harder than we have ever fought before.

(Originally published on The Economic Collapse Blog)

The Real Reason For America’s Looming Retirement Crisis

Did you know that approximately 40 percent of all American workers have absolutely nothing saved for retirement? And did you know that pension funds in the United States are currently underfunded by about six trillion dollars? Social Security is supposed to be the underlying safety net for our entire retirement system, but it is essentially just a massive Ponzi scheme that everyone agrees is heading for a major disaster. Now that the Baby Boomers have started to retire, it is becoming clear that our society simply does not have the resources necessary to keep all of the promises that we have made to them. We are facing a retirement crisis of epic proportions, and by the end of this article you will understand the real reason why we have gotten into this mess.

Like so many other industrialized nations, America’s population is rapidly aging. In fact, in some rural areas of the country entire towns are in the process of slowly disappearing as their populations literally die off. The following is an excerpt from an outstanding article that was published by The Atlantic

It can be a pretty depressing proposition to start counting the deaths in this tiny town set among the hills and buttes of central Oregon.

Sherian Asher, 74, began keeping track a few years ago, despite herself, until she realized the tally: four deaths a month, in a town of 450. Then she stopped counting.

Fossil, Asher said, is “just going to die out.”

Businesses are disappearing, too. There used to be four gas stations, three grocery stores, three car dealers, and a lumber mill. Now, there’s just one restaurant in town open at night. The nearest hospital is more than an hour away, the nearest city, Bend, is two-and-a-half.

The Baby Boomers in particular pose a unique challenge for our society, because they represent a massive demographic bubble that has fundamentally altered our culture as they have passed through each stage of life. Now they are retiring in extremely large numbers, and many of them are completely unprepared for retirement.

Of course most of those coming after them are not preparing for retirement either. In fact, the executive director of the National Institute on Retirement Security says that 40 percent of all American workers have nothing saved up for retirement at all

“We have a lot of individuals who have nothing saved for retirement, about 40 percent of the workforce,” said Diane Oakley, executive director of the National Institute on Retirement Security. When her organization used census data to assess whether households were saving enough to retire with eight times their projected income, a very conservative estimate of retirement preparedness, “we found that 60 percent of households weren’t on track.”

Those numbers are absolutely staggering.

What in the world are we going to do once all of those people hit retirement age?

401(k) plans were supposed to revolutionize the way that Americans prepare for retirement, but that simply has not happened. In fact, USA Today is reporting that those that are participating in such plans only “have an average of $14,500 in their retirement accounts”…

The current retirement system in America hinges on the 401(k) plan, which replaced pensions as the go-to source of retirement income. But over the past 35 years that effort has been failing because participants are not contributing enough, asking for withdrawals and not repaying 401(k) loans. More participants are instead treating their 401(k) as a checking account and making very little effort to learn how to manage their investments. The chart below outlines how less than half of Americans now participate in retirement plans and those that do have an average of $14,500 in their retirement accounts, when they will need between 20 and 30 times that amount.

How long will $14,500 last you?

Perhaps if you are very thrifty it might last you six months.

Of course it is quite difficult to find money to put into your retirement account when you are living paycheck to paycheck, and some recent surveys have found that this is the case for about two-thirds of the population.

In the old days, many large companies offered pensions, but once 401(k) plans were introduced that number dropped significantly.

These days it is mostly federal, state and local government workers that are covered by pension plans, but unfortunately many of those pensions are severely underfunded.

This is something that I covered in substantial depth on the Economic Collapse Blog recently. In my piece, I pointed out a Bloomberg article that stated that overall there would be a pension funding gap of somewhere around 6 trillion dollars if honest numbers were being used. And that 6 trillion dollar shortfall would only apply if stock prices stay at current levels. If stock valuations simply returned to normal levels, pension funds would lose trillions upon trillions of dollars and we would very rapidly have a national crisis on our hands.

But if everything else fails, don’t we at least have Social Security?

I wouldn’t be so sure. Everyone knows that Social Security is essentially a Ponzi scheme that is living on borrowed time.

According to Reuters, one recent survey discovered that just 37 percent of all U.S. workers are “very or somewhat confident” that payouts from the system will continue at current levels in the future…

No surprise, then, that only 37 percent of workers are “very or somewhat confident” that Social Security will be able to maintain current benefit levels in the future, according to survey research by the Employee Benefit Research Institute (EBRI) – although confidence is much higher among older workers and retirees.

From a math standpoint, potential solutions to the problem are straightforward. The cuts can be avoided through increased revenue, benefit reductions or some combination of the two. But the politics are another matter.

Of course there are many reasons why we are in such a mess, but perhaps the biggest reason is because we don’t have nearly enough young people in the workforce paying taxes to support all of the older people that are retiring.

If we had tens of millions more taxpayers, pension funds all across the country would be much more solvent.

If we had tens of millions more taxpayers, the Social Security system would be just fine.

But we don’t have tens of millions more taxpayers, because we killed them.

Since Roe v. Wade was decided in 1973, we have killed close to 60 million children. Most of those children would be in the workforce today, but since they aren’t we have a major financial nightmare on our hands.

Throughout human history, the next generation has always taken care of the preceding generation once they have gotten too old to work.

But we have forfeited that right, because we committed mass murder. Now an unprecedented retirement crisis is looming, and nobody is going to have much sympathy for us when the whole system comes crashing down.

Americans hate the federal government now more than ever

U.S. Capitol Building

If you have to deal with the federal government — be it the seemingly innocuous Social Security Administration or the eternally-despised Treasury Department, home to the IRS — prepare to be even more annoyed than in the past.

According to a report released Tuesday by the American Customer Satisfaction Index http://www.theacsi.org/news-and-resources/customer-satisfaction-reports/reports-2014/acsi-federal-government-report-2014, our satisfaction with the federal government has hit an all-time low (at least since the company began collecting data for this index in 2007). The federal government now scores a 64.4 out of 100 in terms of satisfaction (the average across all industries is 75 out 100). This is the lowest score across the 40 different industries – including industries like airlines, cable companies and others — that the ACSI measures, with the exception of Internet service providers.

(Read the rest of the story here…)

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