My general point is people waste a LOT of money on things they don't "need" that don't really add to "comfort". I grew up dirt poor and we stayed within our means. I was comfortable with 3 squares and a roof over my head.
And the cost of living relative to the income of the bottom 20% is much higher today.
Even 'poor' working class people a generation ago could afford a house, car and family on a single income working a single job. That's not the case any more.
But your point is true, one of the bigger problems is people try to live way outside their means. This is also a cultural problem even outside of the lower class, with middle class individuals living paycheck to paycheck -- or in a lot of bad debt.