The United States economy goes through cycles. However, even in prosperous times, some suffer. Furthermore, even in bad times, some prosper.
Currently
things seem to be getting tougher for the average person. The middle class and
poor persons seem to be suffering, while the wealthy remain relatively
prosperous.
Prices
for basic necessities such as food, housing, and health care seem to be rising
much faster than wages for the working class.
The
United States minimum wage of $7.25 per hour hasn’t been raised since July 2009.
It’s true that most jobs pay more than the minimum wage. It’s also a fact that the
majority of states have set higher minimum wages than the federal wage, according
to the National Conference of State Legislatures (NCSL).[*] However, many states,
including my state of Kentucky, have not.
Furthermore,
many low-wage jobs are part-time and do not provide benefits such as paid
vacations and health insurance.
The
advance of artificial intelligence is also changing the marketplace and expected
to continue to.
We
can try to plan ahead for the unexpected. But we still sometimes face
unpleasant surprises. I know from experience.
What
can we do when suffering from a financial setback?
Ways
to Cut Costs
We
can do many things to reduce our expenses. The specifics vary depending on the
individual. But the list below may give you some ideas:
Cook
and eat at home instead of consuming restaurant foods. Prepare dry beans, rice,
cornbread, etc., instead of more expensive meats and processed grains.
Walk,
bicycle, use mass transit, and car pool. Drive your car less. Sell your car if that’s
reasonable.
Wear
clothing longer before discarding it. Buy it cheaper at places like Goodwill
when feasible.
Downsize
to a smaller house or apartment. Live with relatives. Become roommates with a
close friend. Even consider a homeless shelter as a temporary alternative to high
rents, putting items in storage with friends, relatives, or a small storage
facility.
Stop
using tobacco, alcoholic beverages, and any other unneeded drugs. Millions have
done it.
Use
a public library to check out books and DVDs, read magazines, take free classes, use the Internet on a public computer, etc., instead of paying for such things.
Visit
local parks to hike, play ball, and do activities instead of spending money for
entertainment.
Reduce
cell phone data use and change cell phone plans.
Eliminate
subscriptions to things not used enough.
Consider
giving up cable television. The Internet, DVD players, and even radio can be
substitutes.
Play
old-fashioned card games and board games instead of buying and playing video
games.
Ways
to Increase Income
Increasing
income is another way to cope. It may be tougher than cutting costs. But it is
doable.
Sell
unneeded items via Craigslist, Facebook Marketplace, a yard sale, etc., to
generate money.
Take
on a second job part-time. Is there something you enjoy doing that pays decently?
At
your current job seek a pay raise, more hours, or a better position.
Change
careers. Do something else you already know how to do or find something you can
learn to do.
If
unemployed, devote more time to the job search. Be open to a variety of
possibilities.
Seek
food from food banks.
Seek
health care from a free clinic.
Seek
financial aid from your religious place of worship, relatives, friends, or a
government agency.
Budgeting
Set
a budget and seek to stick to it while realizing that unexpected expenses or job
losses can occur. Listing everything one spends money on sometimes yields some
surprises. We may spend more on certain things that are unnecessary than we
thought we did.
Saving
even coins such as those pictured below can add up to significant money over
time.
Closing
Thoughts
As
a Christian, I am a firm believer in the power of prayer. I think it’s the
greatest power available to we human beings. Praying can lead to insights that
may solve financial problems.
But
don’t use prayer as a substitute for needed actions. God gifts each of us with
resources to use on our own too.
While I write from what I have experienced or learned, lots of other information sources are available to you besides me. For example, numerous online articles discuss budgeting, cutting expenses, increasing income, etc. Parents, especially parents with children, face different needs than single persons such as myself.
Finally,
know that help is available from government agencies, charitable organizations,
relatives, friends, neighbors, etc., when it is sought.
DISCLOSURE: My second job is as a part-time
store clerk/customer service representative at a retail store.
ENDNOTE:
[*] “State
Minimum Wages”; National Conference of State Legislatures (NCSL); updated
September 30, 2025; webpage accessed December 31, 2025; https://www.ncsl.org/labor-and-employment/state-minimum-wages
