Thrift? What’s that?
This is the outlook of most Americans. It affects even the high-income crowd.
Even wealthier Americans are struggling to save enough for retirement, according to a new survey.
The report, released Thursday by SunTrust, found that even among households with incomes of $75,000 or more, roughly a third live paycheck to paycheck at least some of the time, and one-fourth of those with incomes of $100,000 or more do the same. . . .
A third of respondents said a lack of financial discipline at least sometimes holds them back from achieving their goals. But older respondents were significantly more likely than the younger cohort to say they were not saving enough for retirement, or were not sure if they were. To some extent, that may reflect lifestyle habits more than financial struggles. Respondents cited spending on things like entertainment, clothing and dining out as affecting their ability to save.
In other words, they are present-oriented. They want to enjoy life now.
The future? “The future is later. This is now!”
Economist Ludwig von Mises called this outlook “high time preference.” Political scientist Edward Banfield called it “lower class.” It dismisses the costs of the future. It assumes that things will be better. “Don’t worry. Be happy.”
Retirement? “No problem!”
The boomers will go bust. So will the federal government, which has promised the boomers free medical care. Then what will the boomers do?
Move in with their kids.
Then what will their kids do?
