[disallusioned42]

I completely agree with you. I used to be in a very similar situation. I made about the same amount of money (quite a few years ago when it would have been worth a good bit more than today). I had a very similar experience. I lived paycheck to paycheck with nothing extra in the bank. Any unforeseen expense generated significant stress. It was not a fun experience. I can totally sympathize and agree that it feels miserable. But I cannot agree with the implications this article is making.

I was able to turn my situation around, not by getting tax cuts or help from the government, but by changing my lifestyle and my idea of what I needed. That house that you think you can afford that sets you back 20% of your gross pay? You don't need it. Cut your residence costs to something reasonable like 10% of of gross pay and boom, you magically have a surplus of ~$800 / month. That $400 - $500 / month car payment? You don't need that either. Stash away four months of the savings we just got on our residence and buy a used clunker for $3200, drive that into the ground, and by the time that dies, you will have saved up enough money to buy a perfectly fine used car for cash.

I have an artist friend who lives in NYC on ~$30k / year. She even has a car, which is an expense that a lot of people in NYC do without. Even in this situation she has been able to consistently put money away into savings and investments because she manages her money well. It's not about how much you make. Your choices have far more to do with it than most people are willing to admit.