r/SipsTea • u/CurvyChristina • 5d ago
Chugging tea Well, I’m 42, with zero savings. Definitely have less than $900 in my checking.
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u/VineStGuy 4d ago edited 3d ago
I lived most of my life in survival mode. Finally got $ saved up to buy a house when I was 44. Started saving for retirement. Then BAM. Diagnosed with throat cancer at 46. Whatever I had saved is now replaced with crushing medical debt ensuring I'll never retire.
Edit to add: I beat the cancer. I am 4 years with no-active cancer. It's just all the scans and tests I need to do several times a year to keep tabs on it is expensive.
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u/nginn 4d ago
That sucks big time. I think I'm your position I'd likely hold it until the doctors/hospitals/medical companies either worked with me or allow the accounts to charge off and be bought by a collection agency that may settle for much less. I don't know the figures for medical debt specifically; but I know the average collection agencies pay for credit card debt, for example, is something like four or five cents for every dollar owed.
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u/xyodune 4d ago
Saw this happen to a older man, he got cancer in his balls and had them cut off. Ended up working at Walmart full time after multiple treatments that didn't work. It sucked seeing him come in almost immediately after that surgery to work and being bullied by some of the other workers.
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u/SkittlesNTwix 4d ago
Who tf bullies someone like that. Total POS’s. Very sad.
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u/xyodune 4d ago
Alot sadly, they loved making jokes about him having no balls I lost it a few times and stood up for the guy but he was already defeated and broken so it just kept happening cause he was an easy target.
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u/Still_Hamster9963 4d ago
People are really sick. What happened to this society where people no longer empathize with anyone?
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u/MsMarvelsProstate 4d ago
Ignoring medical debt doesn't work as well when you need continuous care. If you get hit by a bus and spend a 4 weeks in the icu it could work. But if you need to come back once a month for treatment they are going to stop giving it to you if you aren't paying.
Plus there is the debt they gained simply by being sick and losing out on potential income during that time.
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u/buzzlightyear77777 4d ago
society failed. rich people go on 500 million yacht holidays, while the average joe cannot pay his medical bills.
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u/JohnnySpartacus 4d ago
Any reason you can't declare bankruptcy? Medical debt is not like student loan debt. You can wipe the slate clean.
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u/VineStGuy 4d ago
Because I continue to acquire it. Year after year.
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u/ILiveInAVan 4d ago
I pay $10-50/mo for my medical debt with a cancer hospital. If you can, just keep accruing it with one facility. I’m fortunate they also don’t charge interest on the debt.
Some hospitals wipe debts after receiving donations and give relief to those on long timeline payment plans.
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u/Spundinkles 4d ago
Imagine having to consider that, just in order to receive vital health care. Some countries are just f'ed I swear!
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u/GregAbbottsGoodLeg 4d ago
I have a family history of dementia in both sides. When I’m ready to retire I’m gonna mule for the cartel & play up the dementia angle at my inevitable trial. New American retirement plan! 🤷♂️😭
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u/Hennessey_carter 5d ago
I thought global societal collapse was all of our retirement plan.
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u/palmfrond_ 5d ago
Zombie apocalypse is when I’m finally going to be able to get a house
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u/Feral__Daughter 4d ago
Thank you so much for the honest to god laugh. You have no idea how bad this stranger needed this today
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u/alohadawg 4d ago
Hang in there stranger u/Feral_Daughter - it may not get better, but don’t you at least want to see what happens when it gets worse?
(sorry I’m struggling a bit myself, may not be the best to offer encouragement)
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u/CORVlN 4d ago
"Don't worry, the apocalypse is gonna happen any day now"
-He said, taking a bite out of his $25 Klarna burrito
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u/UndecidedLee 4d ago
It's $21.99 if you can endure the Disney Plus ad before you take the first bite.
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u/Rocklobster92 4d ago
No. The plan is to get really sick and avoid the doctor so it gets really expensive to live and then die with a bunch of medical debt.
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u/LovingMaine 5d ago
You are the exact reason why social security exists. If people were held responsible for their retirement, we'd have an entire population working until the day they die because they have nothing saved.
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u/No_Salt_6328 5d ago
alternatively she could have squirrelled away what money she had and gave up whatever small luxuries she could afford, and then lost all the money to medical debt anyway
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u/amigos_amigos_amigos 4d ago
This is why I haven’t stressed about saving. My mom did, then got diagnosed with MS, had to move into a full term care facility, and it was all gone. Had to get rid of all assets for medicaid to pay for it. Or you can private pay and the money is gone quickly anyway.
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u/aROSEsurely-41813 4d ago
Exactly! My grandpa scrimped and saved. He became a self made millionaire but only to get dementia, be forced into a nursing home because all the grandchildren couldn’t agree on his care, and the nursing home basically took it all in the end! System sucks!
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u/JalapenoPopPoop 4d ago
Weird way to look at it. Here's another way: if he hadn't saved all that money that ended up paying for his care, what would have happened to him? That's the whole point of saving, to have money to survive on at the end of your life, the money went towards exactly what he saved it for
Do y'all just fundamentally not understand savings?
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u/SiliconAutomaton 4d ago
Yeah, there’s a chance that can happen, but think it’s worse to do nothing because someone on reddit scared you in to thinking you might lose it all and then find yourself as a healthy 85 year old broke as shit trying to work menial jobs
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u/NightGod 4d ago
And they do that with Medicaid so that generational wealth only exists for the truly wealthy
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u/TwiceUpon1Time 4d ago
Free healthcare and social security go hand in hand and are prerequisites to decent, humane societies.
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u/DSZDBA11 4d ago
The United States is not a decent humane society though. We fucking suck.
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u/Ancient_Ad_9373 4d ago
You are assuming that she had/has the opportunity to do that. Many Americans live paycheck to paycheck. Savings, brokerage accounts, 401Ks, etc. are not an option when you are just trying to survive and keep your family fed. To be clear, I’m not saying that this is her particular situation…but in modern day US it could very well be.
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u/nightfall2021 4d ago
When you constantly live in survival mode, it is really easy to lose sight of the future.
Difficult to say, "I need to save money for retirement" when you can already barely make rent.
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u/DogDizzy4438 4d ago
Going through that now. For the second time. Cancer is expensive even with insurance.
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u/TransporterAccident_ 4d ago
Social Security was never meant to be a retirement program and people were never intended to receive a dollar for dollar investment back. It is a social safety net and a pillar of the societal contract with you fellow Americans. It was created when the elderly were literally starving because of their inability to save for retirement or retirements wiped out during the depression. Get angry at the oligarchs that created the situation then and creating the income inequality we experience now. Stop punching down.
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u/Observational-Mess 5d ago
Which is the exact reason why republicans want to get rid of social security and make us slaves until we die.
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u/ahnowisee 5d ago
We work, to earn the right to work...
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u/ViewAskewRob 4d ago
“The work will set you free”
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u/ahnowisee 4d ago
Should've read the fine print my friend, should've read the fine print
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u/droda59 4d ago
In Quebec we have a song that says, roughly translated in English, " I do coke to work more, make more cash, do more coke"
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u/OralProbe 4d ago
Kill The Noise. I love that video.
I do coke. So I can work longer. So I can earn more. So I can do more coke.
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u/RomoDoomsday 4d ago
This is actually stolen from a late 80s/early 90s anti drug commercial.
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u/SirStocksAlott 4d ago edited 3d ago
The problem is if nothing is done, Social Security fund will run out in 2032 and payments to beneficiaries will be coming directly from payroll taxes which will reduce benefits to 78% of what they are today.
Neither party has done anything to address social security. We need to stop talking about bathrooms and sports and focus on preserving the benefits those paying into the system have already contributed.
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u/EL_Malo- 4d ago
Removing the maximum cap paid by the top earners will keep SS solvent. Anything else is a paid message, brought to you by those same top earners.
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u/thatotterone 4d ago
the truth is that when SS was introduced, it MADE money...and then the government decided to start borrowing on it and using it in their budget. We made a deal..the government has been breaking it ever since.
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u/SeaAshFenix 4d ago edited 3d ago
Inaccurate.
The Social Security trust fund has been required to be invested in US Government Bonds since the Social Security Act first passed in 1935. That its the only sense in which the government has ever "borrowed on it," and it isn't different from any other investor holding US Gov't bonds.
The government isn't robbing Peter to pay Paul: they're managing the Trust Fund in accordance to the exact same law they've been using the whole time.
What hasn't happened since 1990 is that we haven't raise the FICA tax rate. We used to do it regularly. A couple time a decade or so.
There's a decent argument that limiting to government Bonds is too conservative an approach. There's also a good counterargument that you want a social safety net program to invest as safely as possible. And a good argument that we don't want the US government taking that big of a direct stake in something like the stock market.
But whichever side you come down on for that, the current solvency concerns aren't a result the government misappropriating or mismanaging the trust fund. They're a result of Congress not acting despite significant demographic changes.
People are living longer into retirement and thus collecting benefits for longer (61 years in 1935 vs 81 years today). They are also choosing fewer children, which means fewer working age individuals paying in per retiree (avg fertility rate of 3 in 1935 vs 1.7 in 2026).
This is hardly an unsolvable problem: we just need to increase collections. My preferred method would be to remove the income cap. We could also just raise the income cap - and index it to inflation. We could also simply increase the withholding rate. As noted above, we used to do that on the regular.
All of those are politically unpopular: no-one likes the tax man.
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u/Oshwaflz 4d ago
unfortunately the tyrrany of the boomers means that even mentioning this problem makes the largest voting demographic hate you
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u/BlackWinterFox 4d ago
Will likely be a slave anyway even with SS if you don't save for yourself. From Google: The average monthly Social Security check for retired workers is approximately $2,086 to $2,087.52 in 2026.
Doesn't that just cover rent in most places now?
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u/Due-Wonder-1045 4d ago
That's why we're falling apart as a country because people seem to not want to admit that literally no one has done anything about social security not Democrats not Republicans not your hundred Senators not your representatives no one stop pretending that either side cares about you
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u/ciswhitedadbod 4d ago
How much does social security in the US pay? How far would that go for the average is town or city?
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u/monyoubluetuber 4d ago
The federal gov in the US has the capability to make changes to SS payouts, but there’s calculators. For example, if I continue working as I am and retire at 62 it’s $2.2k. Age 67 is $3.2k. Age 70 is $4.2k. These are monthly.
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u/Emotional_Deodorant 4d ago
It depends how much you paid into it over your top 30 earning years. But most Boomers will collect nearly 3 times more than they contributed over their lifetimes, by the time they die.
The government stops taking a Social Security payment out of your check once you hit $180k/year, though. So the top 10% of earners, who average around $250k/year, and own 2/3rds of America's wealth, get that last $70k SS tax-free.
And the top 1% of earners, who average about $800k/year and own 1/3rd of America's total wealth, don't have to contribute on that last $620k each year.
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u/Elfywitch 4d ago
We’ll just ignore that they’re taking money from us now for a retirement we won’t have.
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u/Avalios 4d ago
They take money from us now to pay out to those currently collecting SS.
The reason we wont have it isn't some big conspiricy, we just didnt have babies to eventually work and pay for ours.
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u/Born-Peanut875 4d ago
The fact is though that money for social security was not have been touched, but stupid Washington made they could use that as budget to fund other things with the exact idea on mind that the next generation pays for the current retired generation. Of the government really cared that money would be set up in bonds market or index fund so it could grow with the never ending inflation. Nobody in Washington cares about the people of this country only their own and their large bag donors.
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u/CommonReason6709 5d ago edited 2d ago
I'm almost 38 and I think I just got my catalytic converter stolen in an oil change 😃 and I can't afford to do jack shit!
Edit: Good news, They just did a shoddy job and didn't tighten a piece that they needed to get to the oil. It was hitting I believe the heat shield. I took it back to same place initially and they didn't catch it but another Mechanic did and didn't charge me. This has cost me a lot of time, headache, and money as I didnt work for 2 days. I cried and freaked out thinking the worst because I couldn't afford it.
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u/peanutbutterdrummer 5d ago
Those cats are worth $600 - $1k a pop and are becoming a real pain in the ass to deal with.
Saw one person jack up a car and saw one out within a few seconds - crazy.
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u/PigglyWigglyDeluxe 4d ago
New laws were just recently enacted that cat converters need to have a VIN etched onto them so if they try to sell a stolen converter, the seller needs to produce a title with the same VIN on it otherwise a reputable buyer can’t buy it. If there is no VIN on the converter, reputable buyers can’t buy it.
I’ve been etching VINs onto new and used cars at my shop ever since, and new cars built since the law was enacted come with VINs already on them.
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u/docubed 4d ago
Investing is like planting trees. The best time to start is 20 or 30 years ago and the second best time is now.
Sure some people are set for life. Many aren't. Comparison is the thief of joy. But start today.
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u/LongBeachHXC 4d ago
Comparison is the thief of joy
💯
I've experienced a life altering injury and this is how I get by day to day. I can't compare my life to my time prior injury, I have to compare my life when I was in horrendous pain and hospital bound.
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u/KYL4T 4d ago
Investments are like trees. Some rich asshole will destroy it for a golf course or data center.
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u/Maximum-Class5465 5d ago
If this is you all, please do even a little about it
I've met so many people on SSI, and it's very sad.
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u/Resident-_-CockRoach 4d ago edited 4d ago
I work dollar retail and the amount of old people counting pennies to buy the cheapest hot dog (sometimes baloney) and breads is heartbreaking.
It's the main reason I started doing a retirement fund so I don't become the hotdog old guy. Won't be rolling in dough but at least I'll afford ramen noodle, vegetables, soups, rice, beans, and frozen chicken.
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u/thecorvetteguy95 4d ago
You’d be surprised how many of these people aren’t broke. My grandma pays in change for all sort of stuff, she’s got a paid off home, collects SSI and has squirreled away as much as she could and invested it. She’s doing fine, but she comes from parents that lived the Great Depression, they learned what being broke really feels like and they stashed a lot of money away. Obviously that’s not all elderly people, but it’s probably a lot more than you’d think.
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u/Resident-_-CockRoach 4d ago
Trust me bro we dollar retail workers can tell the difference between penny pinchers and the truly broke.
😭 Especially when we can smell them at 30 feet
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u/corvuscorvi 4d ago
To be fair that dollar store body wash is super watered down.
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u/Melch12 4d ago
Knew a man who bought Nvidia stock for $3k many years ago. He died in his 90s while it was worth at least $400k. Never sold it. Always complained about money. Very stingy the entire time I knew him. He also retired in his mid 50s with a pension I believe.
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u/Tentacle_poxsicle 5d ago
Don't worry soon there won't be an SSI
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u/Greenshardware 4d ago
Sure there will! Honestly, there will.
It's insolvent, not on the verge of collapse.
We planned for the boomers to retire and live a long time in the late 80s, beefing it up something fierce well in advance.
Yes, that fund is starting to dwindle. Payments will have to go down to 80% in the next decade... but boomers are going to start kicking the bucket as fast as they were born. Another pandemic and Bob's your uncle... or, was your uncle...
A mild increase in contributions is certainly an option, and has the added benefit of removing the ability to fear monger over this really simple, predictable, and totally expected situation.
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u/TheRedIguana 5d ago
The elderly are the age group that commits the most suicide.
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u/RandomUsername78421 5d ago
Getting old sucks and you are going to die regardless. Some people decide to take themselves out before it gets worse. Even if you have money, it can't save you from old age.
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u/dpenchev 4d ago
People acting high and mighty here over saving money are just so funny to me. "But if you put just a 100 on the side every month". Right. And if i put 200 I'll be twice better. Why not put 1000 and retire with 40?
Me and my wife are both average earners, no credit, low rent, 2 children. Last time we went on a vacation was last dummer. The time before that was 8 years ago. We're maybe able to put 200-300 on the side per month. Maybe. And once we get to about 2k (so about once every year), either the car breaks, or we need some new furniture or something else happens and it's all gone.
People need to understand that saving money for retirement has become a luxury, a lot of people can't afford. And not becouse they're bad with money or becouse they don't care about the future, but becouse it simply isn't affordable to do so.
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u/Manic-Toaster 4d ago
This needs to be higher up.
Life isn't easy, and saving extra money for retirement is not feasible for many.
Some of us will die working. And it sucks.
Not because we are reckless, but because every time we get ahead, something kicks us back down.
"You don't need extras". What an inadequate statement from people.
Life is short. It's good to be smart with money, but being frugal to the point of not spending a dime of it on something that would make you happy is a sad way to live.
If the dollar crashes, all that money you saved up will be worthless anyways.
It is possible to enjoy the present without going into massive debt.
This is just my opinion. Feel free to disagree with me.
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u/FilmNoirSockMonkey 4d ago edited 4d ago
I'm here to tell you that, all the [way] back in the 1990s, this was already understood through Future Studies computer modelling to be the overwhelming likelihood of ourcurrent time, for young Gen X & Elder Gen Y. The writing was on the wall... which means that governments of Developed or Developing countries, all around the world, chose for this to happen by not choosing to prevent it.
I am a handful of years your junior and in the same boat.
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u/Rei364 4d ago
So get rid of the kids remove all the furniture and eat once a day take a bus boom savings I guess?
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u/YurUsernameChecksOut 5d ago
I'm pretty sure I'm gonna die before I can retire, so meh..
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u/-DoctorSpaceman- 4d ago
Yeah me too. Also literally all 4 of my grandparents had dementia so I’d definitely get it, and fuck that.
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u/Unlikely_Couple1590 4d ago edited 4d ago
I've read before that something like a third of Americans can't cover a $400 emergency and about half can't cover a $1000 emergency, so she's definitely not alone.
My partner and I, 34 and 29 respectively, each have about $4000 in our separate savings, so about $8000 total to our names in liquid cash. In this economy, that feels like a miracle and a blessing but we know that's not stellar savings.
I have about $8.5k in my 401k and my partner has his own. We're a bit behind in that department but we're upping our contributions every year and we're both very lucky to work for companies that also contribute to those accounts. We're looking into investing and some other options to help prepare for the future.
Neither of us had a good start to finances. We both came from financially illiterate and abusive homes (I was also raised by grandparents and was homeless twice by the age of 19, so not a good start). We've had to learn everything on our own. I have no debt, and my partner is paying his student debt (we've paid off nearly $3k this year alone and will be down to $10k by EOY). We're both relatively new to credit and we're working on building credit. We drive a 12 year old paid off car and our next financial goal is to buy a safer, more reliable vehicle. We're not expecting to own a home for a long time.
Ultimately, we both expect to work well into old age because we have no hope of social security still existing when we reach retirement age. I highly doubt we'll be able to fully retire. We're just hoping that we'll have enough of a safety net that maybe we can just work part time when we're old.
ETA: Thanks so much for the words of encouragement and wisdom, internet strangers 💗 We've had to learn everything on our own through research and kind strangers online like you. It's nice to know we're not too far behind and are on the right track. I shared our story so OP and others know that they're not alone in feeling "behind." I didn't expect so much encouragement.
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u/bas5eb 4d ago
I also didnt get a good start with finances growing up super poor. I got lucky tho when I was 18 I got a job I would attend after trade school. My boss took a liking to be and when time arrived to be eligible for a 401k account he sat me down and explained everything to do with finances. He didnt have to do that but I learned a lot and started saving before I got used to having the money. My entire 20's i was maxing out my 401k. There were plenty of times where id be scaring by and wondering why im putting so much away instead of living a more comfortable life. Now at 39 im sure glad I did what I did. But man im known as the cheap guy in my friend group cause I chose to invest rather than vacations and cars. You seem to have good heads on your shoulders im sure you guys will figure it out and come out on top!
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u/Unlikely_Couple1590 4d ago
Thank you for the encouragement! We truly try to live within our means and save as much as we can. We feel blessed to be as comfortable as we are in times like these, and we're trying to be smart with our money.
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u/CowAppropriate7494 4d ago
Hey, internet stranger, I wanted to let you know that you're doing a great job despite incredibly difficult circumstances, and I'm proud for you. $8K in liquid cash, and a 401K is a solid start. Keep going. You sound like good people. I'm pulling for you.
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u/MirrorIcy2778 4d ago
Keep up the discipline. I’m 50, and I can tell you that compounding does work. Stay invested in the S&P 500 (or any of the Vanguard ETFs).
I’m rooting for you!
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u/_SCHULTZY_ 4d ago
I was 35 before I ever learned what compound interest is. While I take full responsibility for my own ignorance I can't help but feel bitter that my family didn't think it was important to teach me basic finance
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u/RedHeadRedeemed 4d ago
Was your family ABLE to teach you basic finance? Like, mine didn't know what compound interest was themselves so there was no way they could teach me. Dad never had a savings account. Hell, he rarely used a BANK account since most his work was under the table.
When you come from poor roots sometimes you start at a disadvantage 😕
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u/_SCHULTZY_ 4d ago
I have family that is/was upper middle class. Certainly could have done better putting me on a long term path. But I also have always had some relatives that were always successful. They had professional financial advisors and financial advisors. But they were also the "we don't discuss money" type that kept everything secretive. Not that any of it was illegal they just thought it was rude to talk about money.
My grandmother for example started out penniless and died a millionaire. But she didn't do anything to push anyone else in the family towards success. Didn't try to get anyone to talk to her financial advisor or open their own accounts or do anything regarding finances.
So yeah, again, as an adult it's on me and nobody else. The internet is full of information and I can access it. I own that. At the same time, you don't know what you don't know and I wish I hadn't waited until I was 38 to open a Roth IRA. I wish I understood the importance of a 401k in my 20s.
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u/uknownix 4d ago
Reason 3568 why I'm happy to live in Oz (we have aged pension AND a forced 401k called Superannuation that all employer must pay at 12%)
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u/Top_Lingonberry8037 4d ago
Him actually proud. Last week my net worth just went over $0. Pushing 40 but for the first time I have a networth. It's like $300 dollars but it's not nothing.
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u/Adventurous_Elk_4039 4d ago
One of the milestones is actually getting to zero. Some people stay in the negative for way, way too long.
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u/TokiVideogame 5d ago
if you are homeless buy a house
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u/Precarious3145 4d ago
Seriously, seeing so many people that "it's never too late to start saving", like ohhhh, just...save money? Why didn't I think of that?!".
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u/Yontamen89 5d ago
I'm 14 and I also have zero retirement savings. What should I do?
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u/QuotableMorceau 5d ago
acquire at least 20 years of experience by next year so you are employable
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u/SpaceMambo369 5d ago
- Get a job.
- Open up a roth ira. Its a tax advantaged savings account. You can do this through apps like robinhood or charles Schaub
- Deposit as much as you can up to the limit (currently $7500/yr)
- In the roth ira, buy exchange traded funds. I recommend VOO or VTI
- When you turn 59.5, profit!
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u/What_the_8 4d ago
This is the stuff they should be teaching in school
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u/Shuttle_Tydirium1319 4d ago
Used to be a teacher. Taught social studies.
Did multiple units of “economics” which was mostly just budgeting and how to invest smartly as possible.Maybe 10 kids out of 150 cared.
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u/_aliased 4d ago
more like the stuff your parents should be teaching you with your first job, instead you have to find out about being a boglehead on your own
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u/SimmentalTheCow 5d ago
Spend all of your money on weed until you’re 49 and then make a twitter post about it
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u/Johnatron2000 5d ago
Took me a moment to realise you weren’t talking to me. I feel seen. Sigh.
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u/Spiritual-Strike481 4d ago edited 4d ago
No joke bro withhold a tiny amount. 10 or 15$ per pay period. The compound interest is bonkers. You can easily have that million. Don’t touch it, increase it and diversify it. If all of us in the workforce did that from 14 we woukd all be singing.
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u/Catch_ME 5d ago edited 5d ago
If you can do $100 a month in S&P500 and other large Indexes from age 18 and up, you are good. You'll be better if you increase your contribution average every year.
Start as soon as you can. Don't fucking touch it until age 59.
I keep this special account separate from my other retirement accounts.
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u/Original-Variety-700 5d ago
Set aside $100k this year and you’ll be good to go when you’re 50!
Edit: nm you’ll need to wait until you’re 60 or 70 bc I didn’t account for inflation.
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u/krazytekn0 4d ago
Put 10% of all money you receive into an index fund and never pull it out until you are ready to retire at like 45
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u/Complex-Fault1133 4d ago
You’re already on the right path by asking. Good job. I didn’t figure out what to do with my money until I was in debt. You’re young so you have time. Whenever you start working and have a checking account, create a savings account as well. Make sure to put 15-20% of any payment into your savings/investing account. Don’t get caught up with having the newest/best thing each year. Don’t waste money. Stay away from credit cards. Google and watch videos on how to save money as a teenager. Start there.
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u/UnusualAverage8687 5d ago
Have you tried simply being reborn to wealthier parents?
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u/VenusValkyrieJH 4d ago
We have no savings. My husband has a great job, we make decent money.. but I have three autistic children and let me tell you: the greedy businesses out there nickel and dime you for every little therapy and service. I hate it. We can’t ever get ahead. We make too much money to qualify for disability.
Not to mention, everything is a subscription. Literally everything. I’m so tired of greed. If I had one wish, I would wish for greed to be gone from this world😔. It seems to be one of the greatest sources of woe
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u/PoohBear512 4d ago
I didn’t start a job that offered a retirement program until I was 52. It’s never too late.
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u/HalfdeadCone 4d ago
Recently 48(in August). Also recently unemployed. I have 39k in savings, and Im living off of it because I dont currently have a job(not by choice). I am a Widower with an almost 12 year old son. No freaking idea what I am going to do.
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u/PianoPatient8168 4d ago
Go on a cruise and find a much older man, marry him and get his retirement savings when he passes…repeat as necessary.
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u/BWildeallday 4d ago
I’m 42, maybe 10k in a 401k but my wife has a house that I pay for so I guess that’s good. In 10 years I’ll probably die at work and my life insurance will pay off most of the house for her so she can move on and life happier.
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u/1-luv 4d ago
imagine budgeting your whole future around dying at work. the return on that is zero.
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u/officeja 4d ago
Quick tip, some banks have an insurance option, so if you have a heart attack, they will pay off your mortgage. Just saying. I’m not talking about death, just critical illness cover or whatever it’s called
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u/cherrymayweather 5d ago
Honestly, I think more people are in this situation than they’d ever admit. The cost of living makes it so hard to get ahead.
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u/joemehl 4d ago
I'm gonna work until I die. I don't really care because I work from home and have spent so much time with my children. More time with my teenage children than I assume most people spend with their kids in a lifetime because they're out there busting their asses saving for retirement. I'm living my best life now while I'm relatively young and I have the skills to work independently for a long time. I don't really care if I'm struggling when I'm old. What good is a bunch of money going to do me when I'm too old to enjoy it. My mother was a workaholic and it didn't matter because she died in a freak accident so all of it was for nothing she never got to enjoy all her hard work because life doesn't care if you're saving for retirement or not. Life will fuck you if it feels like it. So fuck it back while you can!
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u/Publius015 4d ago
I mean, okay, but things happen in old age that you can't foresee or control. You literally may not be able to work if something like that happens.
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u/ExperimentalBranch 4d ago
I think there's a healthy middle ground. I read some statistics that there is a great number of people that are forced to retire much earlier than they ever wanted to. I always thought I would work forever too, but health reasons of your own people around you. There's a lot of circumstances that put you out of work. And I think it could be potentially unfair to your children if you're a burden on them when you're old. And not to mention, I think it's a bit of a relief when you can pass on a little bit of money to them.
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u/Puzzleheaded-Good192 4d ago
I used to be the same way until I was able to start a career that pays me 2k a week. I was 41 when I started this career which is trucking. I love driving so I said what the hell. 1 year later, over 15k in 401k, around 20k in checking. I used to live pay check to pay check and most of the time, ends didnt meet. Just need to find that career that will pay you better...or figure out how to start saving and cutting corners.
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u/StandardEnjoyer 4d ago
Earning more money is the best way to save more money, closely followed by spending less money
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u/redditdinosaur_ 4d ago
I would argue investing is #2
You can only save so much there’s some things that can’t be cut
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u/Sealbeater 4d ago
Facts. I was busting my balls making scrap change. Living cheap as fuck to still be able to save some money and invest. Kept in contact with old coworkers from a previous job and he managed to get into a well known company through a referral. He did a few months and referred me there too and I got the job. 7 years later and 3 promotions and I am doing very well.
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u/bionicjoe 5d ago
I'm 49 next month.
I've got $100,000 in 401k, and not too much debt.
I get worried sometimes, but then I have to realize I'm so much better off than many, many people.
Best advice I have:
Eliminate car debt.
Drive a car as long as you can. Do as much work on them yourself as you can.
You don't need a car payment. The joy of a new car lasts maybe 1 month (scientifically proven).
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u/anavriN-oN 4d ago
I paid off my car last year, and I plan on driving this thing until it falls apart.
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u/N3ptuneflyer 5d ago
Idk I bought a new car 5 years ago and I still get joy from the fact I bought it new.
The real best financial advice is put 10% of your paycheck towards retirement. Especially if your company has a match. By the time you retire you’ll be a millionaire.
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u/Clear-Tradition-3607 5d ago
There's no savings and then there's 100k in debt so honest flat in this environment is better than a lot of folks.
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u/DisastrousBison6774 4d ago
Sell everything. Buy an RV. Drive to Arizona. Park. Done
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u/drezarious 4d ago
Start gambling, that should help.
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u/TypeS2k_ 4d ago
All you have to do is place $500 on black or red 11 times in a row and you have a million bucks 🤷🏻♂️
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u/V1198 4d ago
Only 2.5% of all Americans have the mystic one million in retirement savings.
Only 9.3% have 500k saved.
Gets murky after that but before Covid a study showed about half the population couldn’t afford an unexpected expense of $500 without relying on credit.
So no Virginia, you are not alone.
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u/Throuwuawayy 4d ago
I'm 26 and have $25,000 in my Roth IRA. I educated myself about retirement accounts as soon as I started working because I don't want to rely on family or government benefits that are not promised to my generation.
I've had to educate my SO and many friends about how to prepare for their own futures because they basically thought there was no point in starting "young", it's too hard/tedious to learn and set things up, etc. Also yes things are hard but people are also inexcusably fucking terrible with money. No clue how their credit card works, getting a new car every couple years for no fucking reason, blowing any extra money just because they can, etc. Worst part is most people are like this because their parents are the exact same, just going through life with fingers crossed.
Live below your means always. When you get a raise, increase the percent of your check you put into retirement or savings accordingly- you won't miss money you never let yourself spend. Stop buying things because you just want people to know you have them. Keep your car unless it's totaled. Controversially, don't have kids if you can't afford them. They are not a retirement plan. They don't deserve to walk the tightrope with you. Get yourself stable first.
Before anyone bean soups me, I'm talking about people who genuinely could fix their shit and just don't because they don't care.
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u/Wregzbutt 4d ago edited 4d ago
PEOPLE ARE FUCKING BAD WITH THEIR MONEY. Evidence:
Buy now pay later is very popular.
Very common for people to get a large sum of money and blow it all on useless random garbage instead of ya know, paying off debt(what did you spend your stimulus check on??)
9 year car loans where you end up paying literally 50% extra just so you can afford the monthly payment… and then trade it in while it’s still under water and lose even more money…
Not but a 10 year old car cause you don’t wanna look “poor” (news flash, we fucking are!)
People actually think Kalshi is INVESTING. Fucking retards.
(Edit: this one here seemed to offend a few people, Kalshi gets me crashing the fuck out… I apologize for what your eyeballs have witnessed here)
People pay off credit cards… WITH MORE CREDIT CARDS.
Paying for trips on CREDIT. And then paying that off, with more CREDIT.
Convincing themselves and everyone around them that the cash back program on their stupid fucking credit card is not a net negative…. News flash, they wouldn’t offer that service to LOSE MONEY. ( they think $50 a year in cash back makes sense but ignore that they likely paid double that in interest)
I mean seriously. People are just bad with their money but since it’s most people we get to just blame the system and take ZERO responsibility.
I only make like $23 an hour have over 10k in savings account, decent 401k and only started being able to save like 3-4 years ago. I have also never received a single dollar of financial support in my entire adult life, so it ain’t that.
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u/DoofusIdiot 4d ago
I have a friend who makes more than twice what I do. He’s got a way nicer car with every bell and whistle. He tells me I need to dress better, that I dress like I’m broke. He’s in debt, I have six figures saved. I told him the secret to having money is looking like you don’t.
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u/Sufficient-Food-3281 4d ago
I mean, you can look good for cheap too
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u/Vince_Clortho_Jr 4d ago
Yeah but no fun in that. My mom once told me when we out to eat during a workday, “honey, you do a real good job making sure nobody knows you’re a lawyer.l. That was the sweetest thing she ever said.
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u/anonymous22353 4d ago
Okay you had me until the credit card cashback. That shit is free money. Of course it's used to entice stupid people into opening new credits cards. But if you're not an idiot and you optimize spending categories, you can easily make/save an extra ~ $1,000 per year from cashback
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u/garitone 4d ago
I live in a ~50K population city and it has a relatively low cost of living, but doesn't have everything I need all the time, so I use Amazon. The free Prime Visa gets me 5% credit back on stuff I was going to buy anyway and 3% on gas (I think).
My daily CC is a no-fee one from Fidelity which puts 2% CB into my index fund. Finally, I have a Chase rotating 5% category (gas, groceries, and other random shit I may not need) Every bit helps!
Edit: I pay the balance every month, so interest rate doesn't matter.
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u/98746145315 4d ago
Here come the psyop posts from government accounts about how everyone else your age earns $100k on the low end, with half of a million in the bank and a house already paid off, but you are the odd one out, in order to make you feel like you should just "hustle" more for corporate owners to make up for not having had a privileged life. Every time this topic comes up, the botnet of capitalism is sent to it, the same accounts every time, all copy-pasting the same rhetoric about "just invest" with no clear guidance, because the machine wants you to gamble and lose what little that you do have so that you remain a wage slave forever.
If no one else in your life is living the life which the internet tells you that you are a failure for not having achieved yourself, then you are not the problem. The system under which we were all born is the problem.
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u/complexiblebarracuda 4d ago
they all somehow managed to buy a nice house while working register at a grocery store too
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u/CMDR_Kaus 5d ago
There won't be a working class if we can't afford things like housing, kids, or retirement
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u/Technical_Monk_6521 4d ago edited 4d ago
I know this is not the time to preach but if anyone lost, here is the order in which you can approach financial stability:
- Become debt free:
- a. If any payday loans, that is absolute first
- b. If any credit card debt, thats the next
- c. If any loan that is not against an asset (personal loan for example, thats next)
- d. Any loan over 10%, that is next
- e. Except home loan, anything else thats next. You can live with home loan for a while
- Budget: This might be needed to achieve 1 ideally but know how much you are making and how much you are spending.. Obviously you have to make more than you spend. There is no way you can save or invest if not this.
- a. you will probably have to make some
hard choices or
- decisions to let go of things that is costing you money like a car with high payments
- b. you proably have to cut down something although it might sound like basic necessity like eating outside or coffee outside
- c. Housing is usually biggest expense for people. Move to a smaller house or older house but whatever it takes to get you in budget
- Increase income: Figure out a way to increase income.
- a. Can be doing more than one job
- b. But also picking a career vs a job
- c. Choose sidegigs, again math the math
- Save, invest
- a. If you clearly are making more than your spend, start saving atleast 3 months expenses
- b. Once you have 3 months saving invest.. invest in index and dont do anything else
A lot more can be done like: Ask your parents to help, if not married, marry a spouse who is financially responsible etc.,
DM me if you want to chat. I am not a financial advisor of any kind but I would not consider myself poor anymore
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u/Optimal-Goat-4017 4d ago
I'm 33 and I have 130k in savings work in a grocery store (not management) own my own property (bought myself not inherited) I make 21 dollars an hour my spouse works there also makes 20 dollars an hour been saving since I was 16 and I have 4 cds maturing this year and 2 next year start saving early and stacking cd early you guys can do it!
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u/knowwwhat 4d ago
Genuinely need to know where you live. In Detroit I’m sure that’s totally possible. Where I live there’s no way in hell you’d even qualify for a mortgage making $20 an hour with no family help
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u/gnashingspirit 4d ago
Where the hell do you live?!! Any are there any houses for sale there.
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u/Excellent-Phone8326 4d ago
Why cds? You have a ton of time in the market you're losing out on a lot of gains. ETFs in tax sheltered accounts for the win.
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u/Apprehensive-Ship829 5d ago
This is why I’m in school at 50. I have a few years to prepare for retirement. Even a small one is more than what I have now.
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u/imaginary-dirt2000 4d ago
This is still me.
And I have a PhD and have been straight grad school to professor employment since 2015.
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