Skip to comments.The American Dream Now Costs $3.4 Million
Posted on 12/07/2023 11:07:33 AM PST by bitt
The classic "American Dream" including two kids, a house, and car costs more than most make in a lifetime.
The American Dream now costs $3,455,305—that's the estimated lifetime cost of common milestones including marriage, two children, homes, healthcare, cars, and education.
The cost of raising two children to the age of 18 is now estimated at over half a million dollars ($576,896). The average lifetime cost of a home including a mortgage with a 10% down payment and a 30-year fixed rate of 7.2% is now about $796,998, according to Investopedia's analysis.
The American Dream now costs $3,455,305—that's the estimated lifetime cost of common milestones including marriage, two children, homes, healthcare, cars, and education. The American Dream was one of Investopedia's top searched terms of the year, and is typically used to refer to major aspirational events and purchases like buying a home and car, getting married, having kids, and economically prospering. But rising costs have made the typical "American Dream" out of reach for many. In fact, the average lifetime earnings of Americans across all education levels is approximately $2.3 million 1 —that's over one million short of the estimated cost of the American Dream.
(Excerpt) Read more at investopedia.com ...
I love the smell of peaceful slavery in the morning!
They highlight home costs but almost downplay the biggest item - healthcare insurance at $934K.
That’s OK, the government will be there with a program to help you pay for this. Just be sure to mark the ballot next to (D) for future elections. We’re here to help.
Inflation and unequal distribution, cronyism/government corruption and bloated debt are always the result of printed, fiat, centrally-issued money.
Richard Cantillon and Adam Smith knew this 300 years ago. For America’s founders, it was manifestly true. Its why they fought against British imposed money and tax, and also wrote into the Constitution money WAS gold and silver.
It was the great success of progressive/marxist economists like Keynes, that somehow, technocrat central-planners and marxists took over America’s economic and monetary policy.
It’s easy to complain about young people these days. But I think the reality is that the American Dream that Baby Boomers and others believe to be out there for anyone who works hard — that Dream is largely gone. Young people have not much hope. Sure, some are fine. Someone will chime in and say, “Let me tell you about my nephew1 He’s doing great!” But for most young people, there is no bright future. Can’t afford to pay rent. Can’t afford to buy a house. Can’t get out of Mom’s basement. Can’t meet anyone. Can’t get married. I’m glad I’m old. The 20th century was pretty good. The 21st century is not the same.
Over 40 years from the day you get out of college, assuming a 3.5% inflation rate…this amounts to around $40,000 a year. Obviously this assumes that wages will increase with inflation.
This isn’t outrageous.
It’s why few are getting married, having kids, doing the mortgage thing and all that costly stuff that goes along with having a family/home.
They have no money or good paying jobs for that stuff. It’s a no brainer.
Double that for California.
Well, the second half of it, especially if you lived in North America.
The first half was real crappy for Europe. Two world wars, Bolshevik revolutions in Russia and Hungary, civil wars in Russia and Spain, a few genocides, capped by a Cold War.
Some of these costs are just silly, like $35,800 for engagement and wedding rings. I don’t think we spent $1,000 total on those, and we’ve managed to stay married, at least so far.
...well I’m doing it for 1/30th of with 4 kids!
“Live below your means, is the path to wealth”.
But the majority of the young working folk can’t buy real-estate. No way they have money for that.
I know some in their thirties who can barely afford rent on a 2 bedroom 60 year old flophouse apartment.
The American Dream, imho, is Life Liberty and Pursuit of Happiness. There are many who do not follow this formula and consider themselves living the dream. The listed path is full of misery.
And if you’re an illegal alien you just walk in and get it free.
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