“ No matter how hard these people work, there is never enough money to go around. In some cases, they barrow even more in order to pay other creditors and thus perpetuating this vicious borrowing cycle with no end in sight.”
ONE of my clients told me: “My wife and I both work very hard to raise our two children. On most days we work long hours and don’t even get home until late. It doesn’t seem fair. No matter how hard we work, we are flat broke every single month. We don’t even see our paychecks anymore. After paying all our bills every month, our bank account is back to almost zero, sometimes even negative! It’s very frustrating. What are we doing wrong?”
Does this sound familiar? Are you married and have children who depend on you for support? If you belong to a two-income household and are supporting dependent children, do you find yourself working harder and harder than ever before and yet still find yourself falling farther and farther behind in your financial obligations every month? You are not alone. And it’s not your fault.
Unlike the old days, most families nowadays can no longer survive on just one income. Two paychecks are usually needed in order to make ends meet. But it seems like even having two incomes doesn’t leave much at the end of the month for working parents who are supporting dependent children. Senator Elizabeth Warren said in her book, “The Two-Income Trap: Why Middle-Class Mothers and Fathers Are Going Broke”: “The people who consistently rank in the WORST financial trouble are united by one surprising characteristic. They are working parents with children at home…”
See, if you are a parent who is still raising children, you are probably at a stage in your life where your living expenses are at their highest. And then as you grow older and your children become self-supporting adults, your expenses begin to decrease. Hopefully, at the end of your working days, you would also have saved enough money for a comfortable retirement.
You would think that with both parents working in a household, all of the above should not be a struggle and that these households should be financially well. But why is it that parents with dependent children still rank as being in the worst financial trouble according to Senator Warren?
One of the likely answers to the above question is this: A lot of people have simply overextended themselves on debt. A big chunk of their income goes to paying personal debts each month such that very little is left to pay for living expenses and personal needs. And with the outrageous interest that the big banks and credit card companies are charging, most people will remain in debt for the rest of their lives.
The so-called “credit card debt trap” is a reality that a lot of people live with every single day. No matter how hard these people work, there is never enough money to go around. In some cases, they borrow even more in order to pay other creditors, and thus perpetuating this vicious borrowing cycle with no end in sight.
If you belong to a two-income household but are still struggling to make ends meet each month, I suggest you review your finances and find out exactly where your money goes every month. If you are one of the few people who has made it to this point without getting buried in debt, more power to you. But if you are part of the majority who is still not making it in spite of the two incomes that you have, perhaps you need to keep your debt obligations in check before they get out of hand (unless they already are!).
If you are experiencing serious debt problems, how you handle your current situation may not only have a significant impact on your own financial future but it may also affect the future of the ones you love. These are the people who have no one else but you to depend on for their financial support. If you need help and don’t know what to do, I can help you figure out a solution to your debt problems. For immediate assistance, you can call Toll-Free at 1-866-477-7772 to schedule a FREE CONSULTATION with me. n
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None of the information herein is intended to give legal advice for any specific situation. Atty. Ray Bulaon has successfully helped thousands of clients in getting out of debt. For a free attorney evaluation of your situation, please call Ray Bulaon Law Offices at TOLL FREE 1 (866) 477-7772.