If you are one missed paycheque from going hungry, you can't afford any risks. No going back to school, no going freelance, no interviewing, no investing in anything. You can't afford the means to make money, whether it's a car, a computer or nice clothes. You can't afford them breaking down, but you also can't afford maintaining them.
The missed opportunities add up over time.
Grapes of Wrath is an excellent book that drives this point home really well. It hurts to read at times.
Not sure I can entirely agree, when I was broke I had a fair amount of free time and I spent a lot of it learning to repair motor vehicles. Parts are not free, but labor & markup is most of the cost anyway.
How did you manage this? I was working my ass off just to keep the bills paid and doing chores to avoid costly services like dining out and maintenance.
A college student can be broke, but a poor person can not afford to be a college student.
If you don't have a job where you can simply take on more hours, but it's also not predictable enough that you can get a second job, you just end up with a lot of useless free time on short notice.
Can't afford hobbies, trips, no significant other (being poor doesn't help your dating life), what else is there to do?
It took money for me to actually run out of free time. I honestly really enjoy tinkering and fixing stuff, but it's usually no longer worth my time (to my own dismay).
Before money learning to fix something meant the difference between keeping the car going, or having your car break down without money for the shop bills. I've fixed lots of stuff by flashlight so I could get to work the next day.
Nowadays being put in that sort of back-against-the-wall scenario isn't likely to happen, unless I sign up for some sort of game show or reality TV where it's purposely planned.
If things are tight enough, you spend all that useless "free time" hunting for more work. You feel you can't afford to just enjoy the time.
More gigs. More waiting for an Uber request. More time polishing your resume, or your profile on Fiverr. Or improving your "Github is the new resume" look.
Then it's not really free time. It's a job, but you're not paid every hour you're working on it.
It can even resemble socialising, because in some lines of work you have to keep socialising for people to think of you when they have a gig.
Presuming there's an Uber and you have a driver's license(they're not free you know) and a car.
>More gigs.
You are aware that gig economy is just about 5 years old, right? And you have to be in a high demand area to do it.
There were coders for hire sites for a long time, but that paid complete crap.
Uber is just to illustrate. It's just an example. If you're in the wrong area, or the wrong time for that matter, then it's something else.
Either way you're (and were) spending that "free" time looking for jobs, quick jobs, whatever jobs. They used to call it pounding the streets or getting on your bike. Even going door to door.
When I was young I did it myself, literally going from door to door asking if they had any work.
> There were coders for hire sites for a long time, but that paid complete crap
That's why I mentioned Fiverr, as an example, which is a version of the coders-for-low-pay thing generalised to other kinds of work.
This depends very much on the location and the community around you.
Looking for odd jobs around you yields no results in a poverty depressed area.
Uber was like $60/day so yeah... although I only made it 4 days straight, never 5 days of bike riding so I would eat the Uber cost one day. I was lucky that friend loaned me $3K to get a car(opportunity). But I bought a bad car/sunk money into it(had to fix).
I would bike home from the factory pitch black road at night(dumb) listening to Changelog haha good times.
My first car was $800 and I bought a few motorcycles over the years for around $400 each.
It blew me away when I got that Scion. It was a steal of a deal. I was looking at used, late 90s model Civics at the time, because I needed a commuter that could do 50 miles one way with decent MPG and with something I knew that I could keep on the road, and those cars held their value so well into the late 2000s that it blew me away. People were asking $3,000-$4,000 for them with 150k-200k miles.
Today, I make something crazy like about 15x what I made in 1996, but I still have that Scion. I plan to keep it on the road for another 11 years. After all, it's a Toyota and it's given me no trouble at 150k miles. It goes to the shop for tires, everything else I handle in my garage. It's a commuter for my wife that goes about 5 miles one way these days.
My neighbors comment on it all of the time. They think it's an unsightly beater sitting in front of our ludicrously expensive homes. I thought about selling it for a while but their shitty attitudes have convinced me to keep it around.
There are many examples of people overcoming crazy challenges, makes for a nice story but also having a regular/"painless" life is also nice. I did not enjoy riding the Walmart bike that far/many hours. It was nice though the nature aspect.
I still think I am being lazy, not trying hard enough, about being an entrepreneur like did I really try... not drop shipping but building some service. I keep thinking is what I do worth it if it doesn't make money since that's my primary concern right now is getting out. (not be worried if I lose my job) I gotta stop responding haha, wish I could condense my previous posts.
edit: clarification, the car was a bad buy(not a car guy) it was just under $2K so I had a buffer but it was partially broken... so I had to drop money on it.
How dare we assume we would be who we are (good or bad / rich or poor) without the life events that exist outside of our own domain (who our parents were, education, income levels etc) of control!
PRESIDENT BARACK OBAMA – Cause you didn’t know what was happening...
FIRST LADY MICHELLE OBAMA – You didn’t know what happened to them. You know, we weren't special. And as a result, you know if something good happens to you, if you have an advantage, you don't hoard it. You share it. You reach out. You give back. And I can say that my family, my neighborhood, my notion of community growing up shaped that view and shaped the choices that I made in life as I felt your experiences shaped yours.
Maybe government can help, depending (likely the underlying motive of the quote. i.e. promotion of social programs over "pull yourself up by your bootstraps" rhetoric). Or maybe government can not help but will try anyway at great expense and possibly make things worse.
We have seen both scenarios. Thus I'm always personally suspicious of any ideology that regards government as a universal and infallible solution to all problems, and any ideology that regards government as perpetual failure at effectively and efficiently solving anything.
The only way to be sure not to make any mistake is to do nothing, which itself makes things worse.
Whilst drunk uncle won’t be saved by the bare minimum a state can provide, he certainly will be worse off if he ends up on the streets. And sometimes all out of work cousin needs is a bit of money to pay rent and food for a couple of months until he finds some work. So yeah, a welfare program is not a panacea but it is useful, and also cheaper overall.
Come on, U-Haul is like $50, including some mileage.
> cost of living is pinned to these minimum wages
That is true. That's also reason #3245 why UBI is a stupid idea.
>That is true. That's also reason #3245 why UBI is a stupid idea.
I actually don't think that is entirely true. For certain things, those most affected by modern supply chains, we generally aren't seeing a corresponding increase in costs to wages.
For other things driven more by scarcity such as housing, healthcare and education we are seeing a dramatic rise in costs.
Our economy is in a strange place and I don't think the obvious one-to-one rules of thumb hold currently.