In Pennsylvania, the Cost of the American Dream Is Out of Reach

https://www.realclearwire.com/ ^ | 5/24/2024 | By Athan Koutsiouroumbas

[bitt]

The American Dream in Pennsylvania has a price tag: $230,464.

That’s the cost for a family of four to live “comfortably” in The Keystone State.

The tally is based on the “50/30/20 Rule,” which holds that half of a household’s income should be spent on housing and necessities, a third on nonessentials like eating out and entertainment, and the rest on savings and debt.

Here’s the problem: the average household income in Pennsylvania is $100,837, which falls short of the American Dream sticker price by more than a factor of two.

In fact, only 10% of Pennsylvania households have an income that exceeds $200,000. Nine out of ten are nowhere close to living comfortably, according to the standards of financial planners.

To get by, Pennsylvanians are pulling out all the stops.

Cohabitation has skyrocketed. Children and grandchildren of Baby Boomers are moving in with their parents to serve as caregivers in exchange for rent-free living and dipping into their elders’ retirement savings. Culturally, moving back in with your parents in your mid-forties has never been part of the American Dream.

Pennsylvania credit card debt is at an all-time high. Nearly 10% of accounts are delinquent. For many, credit cards serve as temporary supplemental income.

The number of beneficiaries of SNAP federal food benefits has grown 75% despite flat population growth in the Commonwealth. With unemployment at record lows, more Pennsylvanians than ever need help paying for groceries.

[Alberta's Child]

There are 67 counties in Pennsylvania. 52 of them are inside the Federally designated Appalachian Region as economically distressed -- including the second-largest city in the state (Pittsburgh).

Pennsylvania has a very old population, and most counties have seen their populations decline over the last 20 years. The weather, terrain, demographics and aging infrastructure would make it a difficult place to do business even if it had the best regulatory climate of any state.

[Diana in Wisconsin]

Insanity! It boggles my mind what some people think are the ‘necessities’ of life.

If you MUST go out to eat, or you will starve to death, go to a Happy Hour for a cheap drink and have a meal of Chips & Salsa. I did that with my BFFs for many years when we were all getting our careers established. ;)

There are lots of tricks to stretch a buck and still have a fun life. :)

[napscoordinator]

People who work hard will make it as always. Lazy people will have a difficult time as was all through history.