I choose not to discuss them often but the basics of personal finance are the same whether you are making $46,000 or $460,000.  I feel like most people are smart enough to understand if you are spending more than you are making that is is unlikely that you’ll get out of the situation you are in (the exception of course is taking calculated risk that works out).

I Can’t Begin to Understand Some People’s Decisions

It is either that people generally don’t understand the basics of personal finance or they are dumb.  I tend to believe it is the former rather than the latter but studies like the two below may prove that I am wrong.  CNNMoney just outlined a study from bankrate that really upset me:

  • 49% of Americans do not have enough money saved to cover 3 months of expenses
  • 28% of Americans do not have any emergency savings

Granted the study was only based on a 1,000 “adults” but that meant 280 of these people didn’t have any emergency savings?!

Evan, it is hard times out there.  I get it and I would sympathize but the above linked articled came out only a couple months after CNN outlined a study by Pew that indicated that:

  • 46% of Americans have a smartphone

Read those stats again.  Nearly a third of Americans do not have any emergency savings but almost half has a smart phone?

What is wrong with people. 

Lest you think I am on my high horse here, but in terms of the personal finance blogging world I am not frugal (real life friends may say otherwise).  The Wife drives a leased car, we both have smart phones, my cable package has every single movie channel, I often tweet pictures of overpriced food and drinks, and I will eventually be paying for a very expensive home instead of moving to a cheaper part of the Country, but there is a difference…I have an emergency savings account!